strategic plan - gauteng enterprise propeller · it is hereby certiﬁ ed that this strategic plan:...

STRATEGIC PLAN2014 - 2019

STRATEGIC PLAN

STRATEGY PLAN 2014/15_2018/19

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FOREWORD BY THE MEC The premier of the Gauteng Provincial Government announced the ten pillar programme which constitutes the core mandate of the fi fth administration of government. The aim of the Gauteng Department of Economic Development is to radically transform, modernise and re-industrialise the economy of Gauteng. Radical transformation, Modernisation and Reindustrialisation are the main drivers in addressing the country`s triple challenge of poverty, inequality and unemployment.

With its continuous e� orts, the department will seek to transform, modernise and re-industrialise Gauteng in order build a seamlessly integrated and economically inclusive City Region by:

▪ Providing an enabling policy and legislative environment for equitable economic growth and development;

▪ Revitalise Gauteng’s township economies;

▪ Build new smart, green, knowledge-based economy and industries;

▪ Ensure decent employment and inclusion in key economic sectors

▪ Facilitate radical economic transformation, modernisation and re-industrialisation

▪ Include the marginalised sectors of women, youth and persons with disabilities in mainstream economic activities; and

▪ Establish appropriate partnerships for delivery and ensure the DED e� ectively and e� ciently delivers on its mandate.

During his 2015 State of the Nation Address, the President of South Africa, Honourable Jacob Zuma said that,

“Economic transformation to unlock growth also means improving the support provided to small enterprises especially township and rural enterprises which will promote economic activities at local level.”

The department as part of the revitalisation scheme, will intensify e� orts to support SMME`s as key drivers of growth and mainstream the township economy. Strengthening the capacity of the GPG to direct economic development and enhance the competitiveness of strategic economic sectors, the department will also continue to support the automotive sector to accelerate the development of sustainable SMME`s within the vehicle assembly industry.

The Premier of Gauteng, honourable David Makhura, in his 2015 SOPA, adopted the fi ve development corridors as the drivers of radical economic transformation, decisive spatial transformation and re-industrialisation. The second major lever to change the economy and space of the Gauteng City Region will be through a massive and well-coordinated infrastructure investment programme.

The organisational structure of the department will be assessed for delivery against its focused mandate for the fi fth term. We will however, retain the approach of a departmental nerve centre that primarily guides, co-ordinates and oversees implementation by a set of implementing agencies namely:

▪ Gauteng Growth and Development Agency (GGD);

▪ Gauteng Enterprise Propeller (GEP);

▪ Gauteng Tourism Agency (GTA); and

▪ Gauteng Gambling Board (GGB).

A full range of programmes and projects that will be implemented during the period 2014-2019 MTSF are detailed in the Annual Performance Plan and Programme of Action for each year. The department identifi ed key game changers in economic development activities.

Therefore the department will during the period above work tirelessly in contributing to the service excellence of our province and the sta� will be performance focused with results based evidence information to ensure that the departmental mandate is e� ectively realised.

Lebogang Maile (MPL)MEC for Economic Development, Environment, Agriculture and Rural Development


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OFFICIAL SIGN OFFIt is hereby certifi ed that this Strategic Plan:

▪ Was developed by the management of Department of Economic Development under the guidance of MEC: Mr. Lebogang Maile;

▪ Takes into account all the policies, legislation and other mandate for which the Department of Economic Development is responsible; and

▪ Accurately refl ects the strategic oriented goals and objectives in which the Department of Economic Development will endeavour to achieve over the fi ve year period 2014 - 2019.

Mr. Branham Francis Signature: __________________________Head O� cial Responsible for Planning Date: 05 March 2015

Mr. Kgomotso Mojapelo Signature: _________________________Chief Financial O� cer Date: 05 March 2015

Ms. Phindile Mbanjwa Signature: __________________________Accounting O� cer Date: 05 March 2015

MEC Lebogang Maile Signature: __________________________Executive Authority Date: 05 March 2015

Signature: __________________________Head O� cial Responsible for Planning Date: 05 March 2015

Signature: _________________________Chief Financial O� cer Date: 05 March 2015

Signature: __________________________Accounting O� cer Date: 05 March 2015

Signature: __________________________Executive Authority Date: 05 March 2015

Chief Financial O� cer Date: 05 March 2015

Signature: __________________________

Chief Financial O� cer Date: 05 March 2015

Signature: __________________________ Signature: __________________________Accounting O� cer Date: 05 March 2015


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TABLE OF CONTENTSFOREWORD BY THE MEC ........................................................................................................................................2

OFFICIAL SIGN OFF ...................................................................................................................................................4

ABBREVIATIONS .........................................................................................................................................................5

PART A: STRATEGIC OVERVIEW ............................................................................................................................6

INTRODUCTION ........................................................................................................................................................6

1. Vision ................................................................................................................................................................................................................... 6

2. Mission ............................................................................................................................................................................................................... 6

3. Values ................................................................................................................................................................................................................ 6

4. Legislative and other Mandate ...........................................................................................................................................................7

4.1 Legislative Mandate ............................................................................................................................................................................7

4.2 Policy Mandates .................................................................................................................................................................................. 8

4.3 Relevant Court Rulings ................................................................................................................................................................... 9

4.4 Planned Policy Initiatives ............................................................................................................................................................... 9

5. Situational Analysis ..................................................................................................................................................................................10

5.1 Performance Environment .........................................................................................................................................................10

5.2 Organisational Environment .....................................................................................................................................................15

6. Description of the Strategic Planning Process .......................................................................................................................15

7. Strategic Outcome Oriented Goals................................................................................................................................................16

PART B: STRATEGIC OBJECTIVES ......................................................................................................................18

8. PROGRAMME 1: ADMINISTRATION ...............................................................................................................18

8.1 Strategic Objectives ........................................................................................................................................................................18

8.2 Resource Consideration ..............................................................................................................................................................18

8.3 Risk Management ............................................................................................................................................................................19

9. PROGRAMME 2: INTEGRATED ECONOMIC DEVELOPMENT SERVICES ............................................ 20

9.1 Strategic Objectives ........................................................................................................................................................................ 20

9.2 Resource Consideration.............................................................................................................................................................. 22

9.3 Risk Management .............................................................................................................................................................................23

10. PROGRAMME 3: TRADE AND SECTOR DEVELOPMENT ........................................................................23

10.1 Strategic Objectives ......................................................................................................................................................................24

10.2 Resource Consideration ........................................................................................................................................................... 25

10.3 Risk Management ......................................................................................................................................................................... 25

11. PROGRAMME 4: BUSINESS REGULATION AND GOVERNANCE ..........................................................26

11.1 Strategic Objectives ................................................................................................................................................................ 26

11.2 Resource Consideration .......................................................................................................................................................27

11.3 Risk Management .................................................................................................................................................................... 29

12. PROGRAMME 5: ECONOMIC PLANNING ..................................................................................................29

12.1 Strategic Objectives ................................................................................................................................................................. 30

12.2 Resource Consideration ........................................................................................................................................................32

12.3 Risk Management ......................................................................................................................................................................33

PART C: LINKS TO OTHER PLANS ......................................................................................................................34

13. Links to the Long-Term Infrastructure and other Capital Plans ........................................................................34

14. Conditional Grants ..........................................................................................................................................................................34

15. Public Entities .....................................................................................................................................................................................34

16. Public-Private Partnerships .......................................................................................................................................................34


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ABBREVIATIONSAPP Annual Performance Plan

BRICKS Brazil, Russia, India, China, South Africa

CEO Chief Executive O� cer

CFO Chief Finance O� cer

COH WHS Cradle of Humankind World Heritage Site

COJ City of Johannesburg

DDI Direct Domestic Investment

DED Department of Economic Development

DTI Department of Trade and Industry

FDI Foreign Direct Investment

G2055 Gauteng 2055

GCR Global City Region

GDP Gross Domestic Product

GEGDS Gauteng Employment Growth Development Strategy

GEP Gauteng Enterprise Propeller

GGB Gauteng Gambling Board

GGDA Gauteng Growth and Development Agency

GLB Gauteng Liquor Board

GPG Gauteng Provincial Government

GTA Gauteng Tourism Authority

HOD Head of Department

HR Human Resources

ICT Information Communications Technology

IDP Integrated Development Plan

IEDS Integrated Economic Development Services

IGR Inter-Governmental Relations

LED Local Economic Development

MEC Member of Executive Council

MTEF Medium Term Expenditure Framework

NDP National Development Plan

NPA National Programme of Action for Children Framework

PFMA Public Finance Management Act

SLA Service Level Agreement

SMME Small, Medium and Micro Enterprises

SONA State of Nation Address

SOPA State of Province Address

TER Township Economic Revitalisation

TMR Transformation, Modernisation and Re-industrialisation


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PART A: STRATEGIC OVERVIEWINTRODUCTIONThe crux of DED’s Strategic Plan for 2014-2019 is the theme of radical economic transformation to address the triple challenges of poverty, inequality and unemployment. Specifi c proposals and outcomes that guide radical economic transformation to address the triple challenges are contained in the NDP, the Gauteng 2055 (G2055) discussion document, President Jacob Zuma’s 2014 State of Nation Address (SONA) and Gauteng’s Premier Makhura’s State of Province Address (SOPA).

DED 2015/16-2018/2019 strategic plan is derived from the objectives in the NDP and G2055 and as pronounced by the President and the Premier of Gauteng. During 2014, DED reviewed its vision and adopted the following vision: “A radically transformed, modernised and re-industrialised economy in Gauteng, manifesting decent work, economic inclusion and equity.” This revised vision of the department is derived from the key planning documents outlined above. Gauteng can only become a vibrant, sustainable economic centre and gateway if there is radical transformation, modernisation and re-industrialisation of its economy in a manner that creates and sustains decent employment.

The concept of equitable growth and prosperity presupposes equal participation of all people, with all participations reaping equal benefi ts. This document recognises the central role of economic growth and development in creating a better life for all during the second phase of the country’s transition from apartheid to a national democratic society and builds on the achievements of the past 20 years of democratic governance of the country.

1. VISIONA radically transformed, modernised and re-industrialised economy in Gauteng, manifesting decent work, economic inclusion and equity.

2. MISSIONThe mission of the DED in pursuit of its vision is to:

▪ Ensure radical transformation, modernisation and re-industrialisation of the Gauteng economy;

▪ Provide an enabling policy and legislative environment for equitable economic growth and development;

▪ Develop and implement programmes and projects that will:

▪ Revitalise Gauteng’s township economies;

▪ Build new smart, green, knowledge-based economy and industries;

▪ Ensure decent employment and inclusion in key economic sectors;

▪ Facilitate radical economic transformation, modernisation and re-industrialisation;

▪ Include the marginalised sectors of women, youth and persons with disabilities in mainstream economic activities; and

▪ Establish appropriate partnerships for delivery and ensure the DED e� ectively delivers on its mandate.

3. VALUESThese values are informed by the vision and mission of the department namely:

▪ Serve as a centre of excellence in leading radical economic transformation, modernisation and re-industrialisation of Gauteng’s economy;

▪ Provide ethical, consultative and people-focused services;

▪ Facilitate equity, redress and access to economic opportunities and decent employment;

▪ Ensure that Gauteng’s economic profi le refl ects its demographic profi le;

▪ Practice transparent, participatory and good governance at an internal level; and

GAUTENG DEPARTMENT OF ECONOMIC DEVELOPMENT

PART A: STRATEGIC OVERVIEW


7

▪ Foster high levels of professionalism, innovation, e� ectiveness, e� ciency and the practice of Batho Pele amongst the sta� of DED and all its implementation agencies.

4. LEGISLATIVE AND OTHER MANDATES

4.1. LEGISLATIVE MANDATE

ACT RELEVANCE TO THE DED

Constitutional Mandate The South African Constitution requires that all spheres of government work together to address poverty, unemployment, inequality, underdevelopment, marginalisation of individuals and communities and other legacies of apartheid and discrimination. The constitutional obligations of GPG and its departments, including the DED, are e� ected in a number of Policies and Acts.

Credit Agreements Act, 1980 Regulates certain transactions, i.e. purchase or lease of certain moveable goods and services, on credit.

Business Act, 1991 Provides for licensing and carrying on of business.

Sales and Services Matters Amendment Act, 1995

Controls sales of goods and rendering of services and appointment of the Controller. The Controller responsible for display of markings and prices and how goods are sold on auction.

World Heritage Convention Act, 1999

Provides for the regulation and establishment of World Heritage Sites, the establishment of Authorities and the granting of additional powers to existing organs of state.

Municipal Systems Act, 2000 Guides implementation of Local Economic Development (LED) initiatives, Integrated Development Plans (IDP) and Spatial Development Frameworks

Convention Concerning the Protection of the World Cultural and Natural Heritage (adopted by the General Conference UNESCO on 16 November 1972 and by the RSA on 10 July 1997)

Provides for protection of cultural heritage, assures conservation and protection of world heritage and making recommendations to nations concerned.

National Environmental Management: Protected Areas Act, 2003

Protects the conservation of ecologically viable areas and pro ides for inter-governmental collaboration and public consultation on matters concerning protected areas.

Gauteng Gambling Act, 1995, 1996, 2001

Provides for licensing of casinos, bingo games, lotteries, totalizators, betting pools and for the restriction, regulation and control of gambling.

Gauteng Unfair Business Practices Act, 1996

Provides for investigation, prohibition and control of unfair business practices, protection of consumers, establishment of a Consumer A� airs O� ce and municipality consumer advice o� ces.

Gauteng Tourism Act, 2001 Establishes the Gauteng Tourism Authority and provides for the sustainable development and improvement of tourism in Gauteng; registration, classifi cation and grading of hotels; registration of restaurants and other types of accommodation and the licensing of tour operators, guides and couriers.

Gauteng Liquor Act, 2003 Controls retail and supply of liquor; establishes the Gauteng Liquor Board, local committees and Liquor Trade Association and regulates application of licences and granting of di� erent kinds of licences.

Blue IQ Investment Holding Act, 2003

Manages various projects through various enterprises.

Gauteng Intergovernmental Fiscal Relations Act, 1997

Promotes co-operation between all three spheres of government’s fi scal, budgeting and fi nancial matters and prescribes process for determining equitable sharing and allocation of revenues raised nationally.

Township Planning and Township Ordinance, 1986

Establishes the Town Planning Appeal body.




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ACT RELEVANCE TO THE DED

Development Facilitation Act,1995

Facilitates land development applications.

Less Formal Township Establishment Act, 1991

Fast-tracks less formal township establishment.

Preferential Procurement Policy Framework Act, 2000

Provides a framework for the implementation of procurement policies.

Broad Based Black Economic Empowerment Act, 2003

Provides a framework for black economic empowerment.

Companies Act, 1983 as amended in 2009

Consolidates and amends law relating to companies.

Intergovernmental Relations Framework Act, 2005

Provides for mechanisms and procedures for settlement of inter-governmental disputes between the three spheres of government

GENERIC GOOD GOVERNANCE LEGISLATION

▪ Public Service Act, 1994, as amended

▪ Public Finance Management Act (PFMA), 1999

▪ Municipal Finance Management Act, 1999

▪ Promotion of Access to Information Act, 2000

▪ Promotion of Administrative Justice Act, 2000

▪ Skills Development Act, 1998

▪ Employment Equity Act, 1998

▪ Public Service Regulations, 2001 as amended

▪ Labour Relations Act, 1995, as amended

▪ Basic Conditions of Employment Act, 1997

▪ Occupational Health and Safety Act, 1993

▪ South African Qualifi cations Authority Act, 1995

▪ National Records and Archives Services Act, 1996

4.2. POLICY MANDATES

NATIONAL AND PROVINCIAL POLICY FRAMEWORKS AND

PLANSRELEVANCE TO THE DED

The National Development Plan Socio-economic development plan and Vision 2030 for all of South Africa.

The Medium Term Expenditure Framework

Implementation plan of the NDP and its 14 outcomes.

The G2055 and its precursors such as the Global City Region (GCR) perspective

Socio-economic development plan and Vision 2055 for Gauteng Province and building Gauteng as a GCR.

The Creative Industries Development Framework

Development of creative industries sector to maximise socio-economic benefi ts in alignment with the Gauteng Growth and Development Strategy.

The Gauteng Employment, Growth and Development Strategy

Increased shared socio-economic growth and development, job creation and support to targeted economic growth sectors.

The New Growth Path National framework for economic policy and driver of job creation strategy.

The Gauteng Social Development Strategy

Confi rms connection between social and economic development.




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NATIONAL AND PROVINCIAL POLICY FRAMEWORKS AND

PLANSRELEVANCE TO THE DED

The Gauteng Spatial Development Perspective, 2007

Ensures prioritisation and targeting of infrastructure investment and government action.

GENERIC GOOD GOVERNANCE POLICY FRAMEWORKS

▪ South African National Policy Framework for Women Empowerment and Gender Equality: December 2000;

▪ White Paper on Transforming Public Service Delivery (Batho Pele White Paper)

▪ National Development Strategy

▪ National Youth Policy Development Framework: 2002 – 2008

▪ National Programme of Action for Children Framework (NPA): 1996

▪ Gauteng Monitoring and Evaluation Policy Framework: 2010

▪ National Disability Policy Framework, 2009

4.3. RELEVANT COURT RULINGS

The Constitutional Court on 18 June 2010 confi rmed the order made by the Supreme Court of Appeal in respect of the constitutional invalidity of Chapters V and VI of the Development Facilitation Act, 1995 and this confi rmation needs to be accounted for in the fi nalisation of the new Gauteng Planning and Development Bill and Regulations.

4.4. PLANNED POLICY INITIATIVE

▪ TER programme: the department will expand infrastructure provision in order to facilitate economic activity, growth and job creation and expand the skills base of our economy and stimulate regional economic competitiveness as well as spatial development and economic equity;

▪ There will be a roll out township enterprise hubs across Gauteng’s oldest townships;

▪ The department will make interventions and create opportunities for small businesses and cooperatives to form part of the producer value chains, funds will be directed to GEP; and

▪ The department will continue to provide support and assistance to the automotive sector through investment facilitation, skills development and training, incubation programmes and supply-chain development.

In order to radically change the structure of the economy and unlock the potential of di� erent sectors, the following key priorities will be implemented:

ECONOMIC CLUSTER: 2014-2019 MTSF PRIORITIES

MTSF PRIORITY STRATEGIES FOR DELIVERING ON A PRIORITY

REVITALISATION OF AND BUILDING TOWNSHIP ECONOMIES

Revitalise and build township economies by supporting the development of township enterprises, cooperatives and SMME’s that will produce goods and services that meet the needs of township residents. Provincial government and municipalities shall work together to provide training, funding, economic infrastructure and markets for the goods and services produced by township and community enterprises.

KEY AND NEW ECONOMIC SECTORS

Develop key and new economic sectors that have the potential to address the twin policy imperatives of creating decent employment and greater economic inclusion. These sectors include fi nance, automotive industry, manufacturing, ICT, tourism, pharmaceuticals, creative industries, construction and real estate.

INNOVATION-DRIVEN, KNOWLEDGE-BASED, SMART AND GREEN ECONOMY

Develop innovation-driven, knowledge-based, smart and green economy by working with research institutions to vigorously promote innovation within the provincial economy and fast-track the development of new industries.




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ECONOMIC CLUSTER: 2014-2019 MTSF PRIORITIES

MTSF PRIORITY STRATEGIES FOR DELIVERING ON A PRIORITY

EXPANSION OF YOUTH EMPLOYMENT

Expanding youth employment by encouraging the involvement of youth in all the planned interventions.

REINDUSTRIALISATION THROUGH STRATEGIC INFRASTRUCTURE DEVELOPMENT

The massive rollout of public transport infrastructure across the province shall be utilised to revitalise and modernise old industries that will locally manufacture or assemble buses, trains and locomotives. Work closely with PRASA and Transnet to re-industrialise the province and build economic infrastructure that would boost employment creation and economic inclusion.

KNOWLEDGE-BASED ECONOMY

Expansion of the Gauteng Biotechnology Science Park’s Research and Development and manufacturing facilities.

The following are the game changers adopted for realising the 2014-2019 plans:

Township Economies Revitalization

Strategic Economic Infrastructure

Township Tourism

Revenue Generation

KEY GAME CHANGERS: 2014 - 2019

5. SITUATIONAL ANALYSIS

5.1. PERFORMANCE ENVIRONMENT

The performance environment of DED is entrenched in realising government-wide Outcome 4: Employment – Decent employment through inclusive growth, where the department fall within the Economic Cluster which focuses amongst other outputs faster and sustainable inclusive growth, and more labour absorbing growth; improved support to small business and cooperatives. The focus of DED plan is premeditated in contributing to Outcome 4 as aligned with the delivery agreement of the Economic Cluster that include the following outputs income and equality, labour absorption and employment, GDP growth, diversifi cation of the economy

DED has a Logic Model (see page 11) that schematically provides the following relationships of the parts of the plan the relationship between the department’s identifi ed outcomes with Outcome 4 in the following manner: the relationship between the immediate outcomes and the intermediate outcomes, the relationship between the intermediate outcomes and the ultimate outcome, and the relationship between the ultimate outcome and the government-wide 4: Employment – Decent employment through inclusive growth.




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12

Gauteng like the rest of the country continues to face the persistent triple challenges of poverty, unemployment, inequality and underdevelopment. These challenges informed the GPG’s adoption of the government’s new growth path. GPG during the period 2009-2014 adopted a number of initiatives in line with the new growth path. The following are some of the initiates that were adopted: Gauteng Employment and Growth Development Strategy; Gauteng Youth Employment Strategy; Gauteng SMME Policy Framework and Gauteng Industrial Policy Framework. Gauteng Employment and Growth Development Strategy (GEGDS), was formulated to assist post-2008 crisis growth.

The South African Government approved the National Development Plan (NDP) Vision-2030, a comprehensive plan aimed at eliminating poverty and reducing inequality in the country by 2030.The NDP aims to create 11 million jobs by 2030, this means that per annum, calculating from the beginning of 2015 the South African economy is supposed to create 733 000 jobs. The Gauteng province accounts for almost 30% of total employment currently, the NDP target implies that the Gauteng economy must contribute 220 000 new jobs per annum. The projections suggest that over a 3-year horizon (12 quarters), the Gauteng economy is projected to create 149 000 jobs. This means that on an annual basis, the Gauteng economy is projected to create about 50 000 new jobs.

Gauteng has adopted ten pillars as a guide in implementing the NDP objectives, below are six of the ten pillars that are more relevant to the department, namely:

▪ Radical economic transformation;

▪ Transforming the state and governance;

▪ Modernisation of the public services;

▪ Modernisation of the economy;

▪ Re-industrialise Gauteng and South Africa; and

▪ Take a lead in Africa’s industrial revolution.

South Africa witnessed Gauteng provincial economy growing during the past years -period 1995 - 2013. Nonetheless, it is critical to assert that this economy is shared among few monopolies, meaning that there is a huge polarisation gap between these few monopolies and SMMEs in terms of economic share. Transformation, Modernisation and Re-industrialisation (TMR) was adopted by DED as a radical programme for revitalisation of the township economy and regeneration of township infrastructure. The programme is crucial in stimulating and sustaining the SMME township entrepreneurship.

Despites challenges faced by South Africa, the country continue to make e� orts in growing its economy. The country’s Growth Domestic Product (GDP) growth rate increased by 3.3 per cent during the period 20015 – 2004, and this adds 0.7 per cent to the World GDP. As illustrated in the Figure 1 below, South Africa’s GDP growth rate is low when compared to developing countries like Brazil, China and India. This clearly shows that the country is not doing well when compared to other developing countries.

TABLE 1: GDP GROWTH & CONTRIBUTION TO WORLD GDP, BRICS, 2008-2017

CountryGDP Growth Rates % of World GDP

2005-2013 2014-2018 2005-2013 2014-2018

Brazil 3.5% 1.9% 3.0% 2.8%

China 10.2% 6.9% 12.2% 16.9%

India 7.5% 6.4% 5.7% 7.0%

Russia 3.8% 1.2% 3.6% 3.2%

SA 3.3% 2.4% 0.7% 0.6%

Gauteng province is the largest contributor of the country’s GDP when compared to other provinces, see table 2 below. The rate of the province’s GDP has been hovering at 30 per cent for a number of years. The 2008 economic crises revealed that Gauteng is much interlinked with the global economy which at one hand, the province has an advantage to the global economy and at the world’s economic crises a� ects the province’s economy. The provincial economic growth has been decreasing due to the exogenous economic shocks and structural economic challenges that further contributed to slowing of economic growth.




13

TABLE 2: GDP-R CONTRIBUTION.

Source: Global Insight

The province’s economy is open to infl uence by global economic crises because it is part of world economy. Access to participation to the global economy equally means that the province should have mechanisms in place to minimise possible impacts. Obtainable approach and as a required mechanism is to put e� orts on the province’s most performing sectors such as fi nance, government community services and manufacturing. As shown in the table 3 below and despite the fact that it is agonising that there is high reliance of government support on communities, these three sectors are the pillars of the provincial economy because they have been performing better for the period of fi ve years namely between 2009 - 2013 when compared to other sectors. A special focus is required on the sectors that are struggling to realise their objectives to achieve their short and long-term targets.

TABLE 3: GROSS VALUE ADDED BY SECTOR (GVA-R) AT CONSTANT 2005 PRICES

Sector 2009 2010 2011 2012 2013

Finance 26.0% 25.6% 25.8% 26.0% 26.2%

Community

services

24.5% 24.3% 24.5% 24.7% 24.8%

Manufacturing 16.4% 16.8% 16.8% 16.8% 16.5%

Trade 13.2% 13.5% 13.6% 13.7% 13.7%

Transport 9.9% 9.8% 9.8% 9.8% 9.8%

Construction 3.9% 3.9% 3.7% 3.7% 3.7%

Mining 3.1% 3.1% 2.8% 2.6% 2.6%

Electricity 2.5% 2.5% 2.4% 2.3% 2.3%

Agriculture 0.5% 0.5% 0.4% 0.4% 0.4%

Total 100% 100% 100% 100% 100%

Source: IHS Global Insight, 2015

Gauteng anticipates growing its economy to 2 trillion by 2030. Noting from the previous and the current pace of growth rate, Gauteng economy will in the next three years continue to experience slow economic growth. The growth rate of Gauteng is estimated to increase to 3.7% in 2018. However, this is not something to revel on, considering the fact that some African countries such as Kenya, Nigeria and Angola projected to achieve a conservative 5% growth rate during the same time period.

The provincial economic growth rate is expected to have enfeebled to 1.7% in 2014, from 2.2% in 2013. The reason behind the decline is partly driven by the spill over from the labour unrest and stoppages in the platinum industry. The national growth rate is also expected to have come below expectation in 2014 at 1.4%, refl ective of domestic




14

challenges, including tense labour relations, energy supply constraints and the generally low business confi dence levels. The economy of Gauteng is dominated by tertiary industries which have expanded to contribute at least 60.8 percent to growth. The fi nance, real estate and business services sectors contribute 22.8 percent to the Province’s GDP.

The manufacturing, government services, wholesale, retail, motor trade and accommodation sectors contribute 16.5 percent, 16.3 percent and 12.6 percent respectively. The manufacturing sector is important for the Gauteng economy because it attracts semi and unskilled-labour. With concerns to unemployment rate in the province, growth in manufacturing sector is aligned with government initiatives to increase employment. Agriculture, forestry and fi sheries contributed the lowest share to GDP-R of 0.4 percent and are forecast to remain at their current rate until 2018.

South Africa rates the least in labour market when compared with some of the leading and developing countries and with high unemployment rate when compared to other African leading countries in economy like Nigeria. Wholesale & retail trade and the public sector were the largest employers. Manufacturing contribution is declining in line with its decreased contribution to the economy.

Trade accounted for the largest share of employment in Gauteng both in 2009 and 2014, despite job losses experienced in the sector. Community, social services and fi nance experienced signifi cant increases in their share of employment during the period, while manufacturing’s share of employment declined from 15.1 percent to 12.7 percent during the period. South Africa’s unemployment rate is one of the highest in the continent. The NDP confi rms that about two-thirds of the SA youth is unemployed and this further means that youth is more than double when compared with adult unemployment rate. High unemployment has remained synonymous with black Africans.

Gauteng Province is the smallest province in terms of land size in the country (i.e. 18,178m2, but it has about 12, 2 million people). Between 2009 and 2014, unemployment rate in Gauteng province has averaged 25 percent. The province is highly urbanized and considered to be the economic hub of South Africa. Although Gauteng contributes signifi cantly to GDP, it has a high unemployment rate even when compared to the national average. However, the province has one of the highest standards of living in the country.

It is critical to highlight the demographic profi le of a region as it has direct bearing on planning and economic development of a region. The rate at which the population grows is imperative for planning and budgeting processes (e.g. a higher rate of growth in population need to be accompanied by increased employment rate as demand for such services also rises).

Gauteng has been accounting for the largest share of the country’s population when compared to other provinces of the country and its share was at 21.4 percent in 2009 and increased to 23.9 percent in 2014. Gauteng’s population growth is projected to grow due to the perception as the province with the most economic opportunities.

The City of Johannesburg (COJ), accounting for 36.5 percent of the Gauteng population and this may be as a result on migration of people into the region in search for jobs. In comparison with COJ, Ekurhuleni municipality is accounting 25.7 percent of the province population, while West Rand district municipality is accounting 6.4 percent, share of the Gauteng population. Gauteng province won in reducing the number of people living in poverty. Table 4 shows the share of those living below the food poverty line and the poverty gap for Gauteng and South Africa from 2009 to 2013.

TABLE 4: POVERTY INDICATORS, GAUTENG AND SOUTH AFRICA, 2009-2013

Source: IHS Global Insight, 2015

Gauteng 2009 2013 2009 - 2013Share below food poverty line 22.6% 15.9%Poverty gap 29.3% 27.5%

South Africa

Share below food poverty line 34.7% 23.2%Poverty gap 30.9% 28.1%




15

5.2. ORGANISATIONAL ENVIRONMENT

DED STRUCTURE AGENCIES STRUCTURE

Member Executive Authority

O� ce of the Head of Department

Branch: Business Regulations and

Governance

Branch: Economic Planning and

Development

Branch: Corporate Management

Chief Directorate: Financial

Management

Chief Directorate: Legal Advisory

Services

Chief Directorate: Communications

Directorate: Executive Support

Directorate: Risk Management

Gauteng Growth Development Agency

Gauteng Tourism Agency

Gauteng Enterprise Propeller

Gauteng Gambling Board

6. DESCRIPTION OF THE STRATEGIC PLANNING PROCESSThe 5th general elections held in May 2014 signalled a new term of democratic governance premised on radical socio-economic transformation for the second phase of building South Africa into a national democratic society. Detailed political and socio-economic development imperatives are outlined in the NDP, the G2055, SONA, SOPA and a number of related documentation. These key policy documents have fundamentally informed and guided the department’s strategic planning processes and strategies.

The department, its implementing agencies and trading entities strategic planning process involved the:

▪ Reviewing and assessing the status of its current programmes and projects;

▪ Identifying all specifi c economic growth and development imperatives in the NDP, G2055, SONA and SOPA;

▪ Assessing the extent to which the DED’s current programmes and projects respond to the new mandate, vision, mission, strategic objectives and adjusting them in response to the strategic policies;

▪ Identifying game-changers, catalytic projects, fl agship initiatives and new projects that will ensure the vision of the DED is achieved; and

▪ Re-alignment the 2015/2016 APP to refl ect the intent of this 2014-2019 Strategic Plan.

Each senior manager worked with his/her sta� to conduct the above assessment for their specifi c focus areas. Strategic overviews emanating from this assessment were presented to the strategic planning retreat of approximately 80 senior managers from the department and its agencies. The fi rst retreat was held on the 8 - 10 July 2014 and fi nal retreat session was held on the 24th and 25th February 2015. The MEC: DED honourable Lebogang Maile set the strategic direction for the department in his key note address at the retreat sessions and provided a framework for all discussions.

The retreat proceedings were consolidated into the strategic plan and the annual performance plan for 2015/16. These documents were distributed to all senior managers of the department and it’s implementing agencies for feedback, comment and fi nalisation. The feedback process took the form of one-on-one meetings with the managers of each unit and agency of the department.




16

7. STRATEGIC OUTCOME ORIENTED GOALSThe Strategic Outcome Oriented Goals of the DED are as follows:

Strategic Outcome Orientated Goal 1

Gauteng’s economy radically transformed

Goal Statement This goal is intended to move away from the current monopoly dominated economy to an inclusive and job creating economy that:

§ Harnesses indigenous resources, skills and capacity as part the mainstream economy

§ Develops new, smart, green knowledge-based economy and industries

§ Addresses the legacy of apartheid’s skewed spatial economic development planning through revitalising and modernising township economies

§ Addressed the dominance of monopoly capital that perpetuates high levels of poverty, unemployment and inequity

§ Brings SMME’s, township enterprises and cooperatives into the eleven (11) identifi ed key economic sectors at all levels of their value chain

§ Guarantees energy security through appropriate and sustainable energy mixes, application of green technologies and processes and radical transformation of the economic sector

§ Regulates the Liquor Industry and facilitates its contribution to job creation and an inclusive economy

§ Regulates the Gambling Industry and facilitates its contribution to job creation and an inclusive economy

§ Promotes and protects the rights of consumers


Gauteng’s economy re-industrialised

Goal Statement This goal is intended to address the policy imperatives of creating decent employment, ensuring greater inclusion in the mainstream economy and enhancing competitiveness and growth through:

§ Supporting the province’s eleven (11) identifi ed economic growth sectors (Finance, Automotive Industry, Manufacturing, ICT, Tourism, Pharmaceuticals, Creative Industries, Construction, Real Estate, Mineral Benefi ciation and Agro-processing)

§ Strategic economic infrastructure development (R300 billion in post, freight, rail and pipeline capacity)

§ Revitalising and modernising old industries with the massive roll out of transport infrastructure

§ The procurement of 75% of government goods and services from South African Producers

§ Supporting local manufacturing e.g. of steel

§ Increasing domestic and export demand for South African manufactured goods

§ Promoting benefi ciation activities

§ Supporting high growth, competitive and labour absorbing sectors

§ Attracting Domestic Direct Investment (DDI) and Foreign Direct Investment (FDI)

§ Increasing trade and export opportunities on the African Continent and globally




17


DED capacitated to deliver and implement e� ciently and e� ectively

Goal Statement This goal is intended to ensure that the DED is able to deliver and implement its core-function programmes and projects through the provision of supportive services in the areas of:

§ Financial management

§ Human resource management

§ Centralised planning, co-ordination and management

§ Business intelligence to drive the work of the DED

§ Auxiliary and Legal services

§ Communication, Marketing and Branding

§ Information and Communication Technology

§ Agency oversight and governance


18

PART B: STRATEGIC OBJECTIVES8. PROGRAMME 1: ADMINISTRATION

PURPOSE

To provide strategic leadership, support and transversal business solutions to enable the MEC, HOD and DED group to e� ectively deliver on the mandate of the Department.

Programme Structure is as follows:

UNITS FUNCTIONS

O¥ ce of the MEC ▪ Supports the MEC to perform his role; and

▪ Provides political and strategic direction to the DED group

O¥ ce of the HOD ▪ Provides strategic direction to the DED Group;

▪ Oversees and ensures service delivery and implementation; and

▪ Responsible for programme performance management.

Financial Management ▪ Financial Management;

▪ Management Accounting; and

▪ Supply Chain Management.

Corporate Services ▪ Human Resource Management;

▪ Communication, Marketing and Branding;

▪ Auxiliary and Legal Services; and

▪ Information and Communication Technology

▪ Risk management

8.1. STRATEGIC OBJECTIVES

Strategic Objective 1.1 Financial accountability and compliance to all prescribed fi nancial regulations and guidelines.

Objective Statement To ensure fi nancial accountability and compliance to prescribed fi nancial regulations and guidelines.

Baseline No baseline information, new strategic objective.

Strategic Objective 1.1 Sound fi nancial management, e� ective fi nancial administration, internal control systems and procedures aligned to prescribed fi nancial regulation and guidelines.

Objective Statement To improve internal control and be in the position to provide reliable fi nancial operational reports.

Baseline No baseline information, new strategic objective.

Strategic Objective 1.2Provide e� ective human resource development, administration and creating a conducive environment.

Objective StatementTo ensure adequate human resource to meet the strategic goals and operational plans of the department.

Baseline No baseline information, new strategic objective




19

8.2. RESOURCE CONSIDERATION

SUMMARY OF PAYMENTS AND ESTIMATES: ADMINISTRATION

OutcomeMain

appropriationAdjusted

appropriationRevised estimate

Medium-Term Estimates

R thousand 2011/12 2012/13 2013/14 2014/15 2015/16 2016/17 2017/18 2018/19 2019/20

O� ce Of The MEC

14 079 13 973 12 094 16 167 11 780 11 780 11 200 12 710 13 346 14 013 14 714

O� ce Of The HOD

28 418 16 454 10 072 21 794 18 709 18 709 19 000 19 615 20 596 21 626 22 708

Financial Management

13 116 18 599 21 974 22 422 27 282 27 282 40 474 39 750 41 738 43 825 46 016

Corporate Services

73 823 80 838 88 404 110 996 120 562 120 562 119 323 132 648 139 280 146 244 153 556

Total Payments And Estimates

29 436 29 864 132 544 171 379 178 333 178 333 189 997 204 722 214 959 214 959 236 993

The administration budget is used for the payment of leases, cleaning services, security services, bursaries and o� ce buildings. The allocation for this programme increased slightly from R129.4 million in 2011/12 to R132.5 million in 2013/14 before increasing to R171.3 million in 2014/15. The increase is due to the approved rollover for accruals amounting to R6.9 million. Over the MTEF, the allocation increases to R190 million, R204.7 million and R215.0 million in 2015/16, 2016/17 and 2017/18 respectively. The increased allocation will cater for the recruitment plan of the department which plans to fi ll all vacant post by 2015/16. Corporate Services received the biggest portion of the budget due to payment of leases and provision of ICT support to the department.

For Compensation of Employees the expenditure increases from R56.2 million in 2011/12 to R66.8 million in 2013/14 before increasing further to R87 million in 2014/15 and again to R116.9 million in 2015/16. The signifi cant increases are due to the progressive implementation of the departmental structure which is aimed at capacitating the department in respect of its provincial mandate. The allocation increases to R123.2 million in 2016/17 and R130.8 million in the outer year due to the continued implementation of the organizational structure.

Goods and Services expenditure amounts to R67.9 million in 2011/12 before decreasing to R60.6 million in the 2013/14 fi nancial year. The allocation grows to R65 million in 2014/15. Over the MTEF, the goods and services budget of the programme decreases again to R67.2 million in 2015/16 before increasing to R62.9 million in 2017/18.

Machinery and Equipment decreased from R4.7 million in 2011/12 to R1.6 million in 2013/14 before increasing to R19.2 million in 2014/15. Over the MTEF, the allocation declines to R6 million in 2015/16 before increasing to R21 million in 2017/18. The fl uctuation is due to a number of projects that Information Technology will be embarking upon such as budgeting for the disaster recovery site for the purposes of system recovery and continuity during the time of emergency or disaster. The allocated budget will also cater for the implementation of community ICT hubs that will be used for SMMEs to access internet and broadband.

8.3. RISK MANAGEMENT

RISK MITIGATION

Lengthy turn-around times for decision-making that delays delivery and implementation

Assessment of decisions required and processes entailed in arriving at decisions. Development of strategy and systems to shorten processes. Set performance indicator of 24 hour turn-around time. Internal policy for all of DED group on speedy turn-around processes and times.

Duplicated responsibilities between HOD and CEO’s of DED Agencies

Service Level Agreement (SLA) between DED and Agencies to clearly spell out specifi c and concurrent responsibilities; and how concurrent responsibilities will be managed.


PART B: STRATEGIC OBJECTIVES


20

RISK MITIGATION

Disjuncture in approaches and priorities between O� ce of the MEC and O� ce of the HOD

Joint structures between relevant sta� of each o� ce meeting regularly e.g. a short weekly meeting.

Di� erent corporate services policies, approaches and systems between DED and its Agencies

DED to provide “shared” corporate services for all within the DED group, operating from and implementing single policies e.g. HR policy across DED and its Agencies.

9. PROGRAMME 2: INTEGRATED ECONOMIC DEVELOPMENT SERVICES

PURPOSE

To ensure radical economic transformation that addresses the triple policy imperatives of decent work, an inclusive economy and equality.


UNITS FUNCTIONS

Enterprise Development ▪ Inclusion of SMME’s, township enterprises and cooperatives into the value of the 11 identifi ed sectors

▪ Building the capacity of SMMEs, township enterprises and cooperatives to participate in mainstream economic activities; and

▪ Revitalising and modernising township economies

Regional And Local Economic Development

▪ New. smart, green, knowledge based economy and industries;

▪ Green technologies, processes and industries;

▪ Township economies; and

▪ Energy security and project management support.


Programme 2 will work towards the following fi ve strategic objectives:

▪ New, smart, knowledge-based economy and industries as part of a radically transformed Gauteng economy;

▪ Revitalised and modernised township economies refl ecting radical transformation and re-industrialisation of Gauteng’s economy;

▪ SMME’s, township enterprises and cooperatives participating in mainstream economic activities as part of a radically transformed and reindustrialised Gauteng economy;

▪ Appropriately skilled human resource and business capacity that meet the needs of a radically transformed and re-industrialised Gauteng economy; and

▪ Green industries contributing to energy security as an important element of radically transforming and reindustrialising Gauteng’s economy.

Strategic Objective 2.1 New, smart, knowledge-based economy and industries as part of a radically transformed Gauteng economy

Objective Statement To develop new, smart, knowledge based economy and industries that are responsive to the triple policy imperatives of job creation, an inclusive economy and equality; and fosters competitiveness




21

Baseline As at the end of 2nd quarter of 2014/15 fi nancial year, performance under the strategic objective above was as follows: 2 new Open Innovation Solution Exchange (OISE) technology o� ers were incubated against the annual target of 5; 6 OISE innovations challenges were posted on the platform against the annual target of 5, 16 new ICT mobile applications developers were supported in mLab agaist the annual target of 20, 7 new ICT mobile Apps incubated at the mLab were commercialised against the annual target of 20, 4 innovations were commercialized from Maxum, Biopark & mLab against the annual target of 10, 11 companies were in pre-incubation (4 entrepreneurs from townships) against the annual target of 26, 19 companies were incubated at Maxum core (1 company from township) against the annual target of 16.

Strategic Objective 2.2 Revitalised and modernised township economies refl ecting radical transformation and re-industrialisation of Gauteng’s economy.

Objective Statement To revitalise and modernise township economies to address the legacy of apartheid’s spatial economic planning and contribute to the triple policy imperatives of job creation, an inclusive economy and equality.

Baseline SMMES and Co-ops support in the 11 sectors (Tourism, Finance, Automotive, Manufacturing, ICT, Pharmaceuticals, Creative Industries, Construction, Real Estate, Mineral Benefi ciation and Agro-processing) was as follows as at the end of second quarter of 2014/15: 96 existing SMMEs were fi nancially supported against the annual targets of 105, 1824 existing SMMEs were non-fi nancially supported against the annul target of 1 260, 140 new SMMEs were fi nancially supported against the annual target of 230, 391 new SMMEs supported non-fi nancially against the annual target of 540, 32 existing Co-ops supported fi nancially against the annual target of 70, 167 existing C-ops supported non-fi nancially against the annual target of 210, 5 new Co-ops were supported fi nancially against the annual target of 40; 58 Co-ops supported non-fi nancially against the annual target of 90, and 3 Township Enterprise Hub sites were identifi ed and concepts were developed.

Strategic Objective 2.3 SMME’s, township enterprises and cooperatives participating in mainstream economic activities as part of a radically transformed and re-industrialised Gauteng economy

Objective Statement To ensure participation of SMME’s, township enterprises and cooperatives in the full value chain of the eleven (11) identifi ed key economic sectors and in other mainstream economic activities; and contribute to the triple policy imperatives of job creation, an inclusive economy and equality.

Baseline The following was performance under the strategic objective above (as at the end of 2nd quarter of 2014/15): 4 entrepreneurs were supported through the Leverage Funds against the annual target of 12, 4 designers received business mentorship against the annual target of 4.

Strategic Objective 2.4 Appropriately skilled human resource and business capacity that meet the needs of a radically transformed and re-industrialised Gauteng economy.

Objective Statement To build the skills and capacity of SMMEs, township enterprises and cooperatives to become e� ective businesses.

Strategic Objective 2.1 New, smart, knowledge-based economy and industries as part of a radically transformed Gauteng economy




22

Baseline A number of achievement were witnessed towards realising the strategic objective above and the following were achievements as at the end of 2nd quarter of 2014/15 fi nancial year: 5 BEE SMMEs were incubated at the Ford Incubation Centre against the annual target of 6, 13 auto industry companies were provided with on-site e� ciency services against the annual target of 20, 45 young people participated in the Youth Reskilling Project to qualify as artisans against the annual target of 40, 60 auto-body repairers were provided with mentorship and training over a 3 year period against the annual target of 60, 113 FET students were trained in a 5 day vehicle assembly practical training course using the Ford T6 Simulator against the annual target of 200, 105 SMMEs & entrepreneurs completed growth and development training courses (Maxum, CIC, GAP) against the annual target of 200, 455 people were trained at the Learning Centre (LC) Based in Rosslyn; and 66 ICT Postgraduate students and individuals were provided with Coach-lab’s market entry training against the annual target of 90

Strategic Objective 2.5 Green industries contributing to energy security as an important element of radically transforming and reindustrialising Gauteng’s economy.

Objective Statement To build energy security through appropriate and sustainable energy mixes, application of green technologies and processes

Baseline At the end of 2nd quarter of 2014/15, 10 Green companies were receiving technical advisory services against the annual target of 30, and 10 Green companies were incubated against the annual target of 20 towards realising the strategic objective above.


SUMMARY OF PAYMENTS AND ESTIMATES: INTEGRATED ECONOMIC DEVELOPMENT SERVICES

OutcomeMain

AppropriationAdjusted

AppropriationRevised Estimate


R thousand 2011/12 2012/13 2013/14 2014/15 2015/16 2016/17 2017/18 2018/19 2019/20

Enterprise

Development97 435 111 142 132 596 139 485 146 485 139 485 131 938 136 706 143 541 150 716 158 254

Regional

And Local

Economic

Development

2 950 4 864 1 791 14 503 14 557 14 557 2 000 1 044 1 096 1151 1208

Economic

Empowerment57 994 80 452 87 689 114 147 134 993 131 993 187 312 127 716 127 325

133 691140 378

Total payments and estimates

158 379 196 458 22 076 268 135 296 035 286 035 321 250 265 466 271 963 285 560 299 838

The expenditure for this programme in the 2011/12 fi nancial year was R158.4 million, increasing to R196.5 million in 2012/13 and increasing again to R222 million in 2013/14. In 2014/15 it increased to R268.1 to expand the number of the SMMEs that will be supported fi nancially. Over the MTEF, the planned expenditure grows to R321.3 million before decreasing to R272 million for 2015/16 and 2017/18 respectively.

This allocation caters for transfers to the GEP under the Enterprise Development Sub-programme and provides support to local municipalities under the Regional and Local Economic Development Sub-programme. Provision is made for projects under the Economic Empowerment Sub-programme such as Waste to Energy, establishment of bio digesters, industrial waste energy etc. The allocation for this programme is based on strategic programmes

Strategic Objective 2.4 Appropriately skilled human resource and business capacity that meet the needs of a radically transformed and re-industrialised Gauteng economy.




23

that will stimulate the competitive and social transformation of Gauteng; attracts investments that will result in a greener economy; and create decent jobs.

The expenditure for Goods and Services increased from R61.1 million in 2011/12 to R83.2 million in 2013/14 and R118.4 million in 2014/15 respectively. The budget increases to R187.4 million in 2015/16 before decreasing to R126.6 million in the 2017/18 fi nancial year. This will cater for projects in relation to job creation and the implementation of the Gauteng Economic Growth and Development Strategy (GEGDS).

In the 2015/2016 fi nancial year, the department will continue to be a catalyst for enterprise development and regional and local economic development. The GEP will provide fi nancial and non-fi nancial support to SMMEs and cooperatives. A total of 165 SMMEs will be supported fi nancially and 1800 SMMEs will be provided with non-fi nancial support. The cooperatives assistance programme will continue, providing fi nancial support to 100 cooperatives. Non-fi nancial support will be provided to 231 cooperatives.

Over the 2015 MTEF, a total amount of R129.8 million will be transferred to GEP in 2015/16; this is to cater for the continuation of the Regeneration of Old townships programme, involving the regeneration of old township industrial sites into vibrant and productive spaces. GEP will continue with the provision of non-fi nancial and fi nancial support to SMMEs and cooperatives.


RISK MITIGATION



Duplicated roles and functions between DED units and DED Agencies


Disjuncture between DED plans and Agencies plans

Strengthened oversight and governance role of DED. Ensuring Agencies plans are aligned to and refl ect the DED strategic goals and objectives. Revival of Agencies CEOs Forum.

Insu� cient professional capacity to conceptualise and manage implementation of economic development plans, programmes and projects

Increase project management support capacity in the IEDS Management o� ce.

Misperceptions amongst stakeholders and benefi ciaries of the realignment process and new strategic focus

Regular communication and feedback with stakeholders and benefi ciaries

10. PROGRAMME 3: TRADE AND SECTOR DEVELOPMENT

PURPOSE

To ensure re-industrialisation that addresses the triple policy imperatives of decent work, an inclusive economy and equality.


UNITS FUNCTIONS

Trade And Investment Promotion

Attract Domestic Direct Investment (DDI) and Foreign Direct Investment (FDI);

▪ Increase trade, investment and export opportunities on the African Continent and globally; and

▪ Invest in strategic economic infrastructure




24

Sector Development ▪ Support high growth, competitive and labour absorbing sectors;

▪ Support local manufacturing;

▪ Stimulate competitiveness and transformation of identifi ed sectors;

▪ Radically transform the energy sector;

▪ Revitalise and modernise old industries; and

▪ Tourism and Creative Industries.


▪ The Trade and Sector Budget Programme will work towards the following two strategic objectives:

▪ Strategic economic infrastructure that supports and facilitates radical economic transformation and re-industrialisation of Gauteng; and

▪ Increased trade, investment and export activities in Gauteng, the country, the African continent and globally leading to radical economic transformation and re-industrialisation of Gauteng’s economy.

Strategic Objective 3.1 Strategic economic infrastructure that supports and facilitates radical economic transformation and re-industrialisation of Gauteng.

Objective Statement To invest in strategic economic infrastructure that will facilitate and enhance increased economic activity, growth and development to address the triple policy imperatives of job creation, economic inclusion and equality.

Baseline As at of quarter 2 of 2014/15, Mini Factory phase 1 was at 79 per cent completion, ASP Infrastructure (Construction on Mini Factory 11 at the Automotive Supplier Park commenced and top structure completed) was at 50 per cent completion, and Bio-Park facility was at 90 per cent completion.

Strategic Objective 3.2 Increased trade, investment and export activities in Gauteng, the country, the African continent and globally leading to radical economic transformation and re-industrialisation of Gauteng’s economy.

Objective Statement To attract and increase the amount of Domestic Direct Investment and Foreign Direct Investment especially in the 11 identifi ed economic sectors, revitalising and modernising township economies and supporting the participation of SMME’s, township entrepreneurs and co-operatives in the mainstream economy. To Increase trade, investment and export opportunities on the African Continent and globally towards increasing competitiveness an generating new growth and development which will contribute to the triple policy imperatives of job creation, economic inclusion and equality.

Baseline 1 foreign Direct Investment was facilitated against the annual target of 5, R9.5m was generated as rand value of Foreign Direct Investments against the annual target of R60m, 1 Domestic Direct Investments were facilitated against the annual target of 6, 5m was generated as a rand value of Domestic Direct Investment against the annual target of 50m, 56 enterprises were assisted through GGDA’s export readiness programme against the annual target of 100, 13 fi rms were assisted to access DTI export support programmes and incentives against the annual target of 35, and 7 fi rms were assisted to secure trade deals through Export Promotion against the annual target of 18.




25


SUMMARY OF PAYMENTS AND ESTIMATES: TRADE AND SECTOR DEVELOPMENT

OutcomeMain




R thousand 2011/12 2012/13 2013/14 2014/15 2015/16 2016/17 2017/18 2018/19 2019/20

Trade And

Investment

Promotion

- - 1 576 9 000 9 000 9 000 4 331 5 515 6 021 6 332 6 638

Sector

Development168 809 157 302 150 925 160 889 176 413 167 237 214 245 225 600 236 880 248 724 261 160

Strategic

Initiatives241 528 294 808 359 684 340 776 343 476 340 776 338 033 355 949 373 746 392 433 412 055


410 337 452 110 512 185 510 665 528 889 517 013 556 609 587 064 616 647 647 479 679 853

The expenditure for this programme increased from R410.3 million in 2011/12 to R512.2 million in the 2013/14 fi nancial year. The allocation subsequently decreases to R510 million in 2014/15 before increasing to R556.6 million in 2015/16 and R616.6 million in 2017/18. The biggest portion of the allocation is refl ected under the sub-programme Strategic Initiative and Sector Development due to the transfer to GGDA, GTA of which all entities are under the control of the department which implements various projects on its behalf.

The expenditure for trade and investment promotion in the 2012/13 fi nancial year amounted to R1.5 million and increased to R9 million in the 2014/15 fi nancial year due to the appointment of o� cials. In the 2011/12 fi nancial year, the expenditure for Strategic initiatives grows from R241.5 million to R359.8 million in the 2013/14 fi nancial year, then declining to R340.8 million in the 2014/15 fi nancial year. Over the MTEF, the budget increases from R338 million in 2015/16 to R373.7 million in 2017/18 due to programmes and projects that emanate from the strategic pillars.

The allocation for Goods and Services was to conduct 11 industrial sectoral analyses for the current fi nancial year in line with the 2014 SOPA announcements. These studies will assist in the overall strategic orientation of the provincial industrial sectoral strategies which will be geared towards meeting the basic needs of the poor majority. In the 2015/16 fi nancial year the allocation has decreased to R100 000 due to a once o� study that was conducted in the 2014/15 fi nancial year and will not continue during the MTEF.

The budget for Compensation of Employees signifi cantly increases from R399 000 in 2011/12 to R5.5 million in 2013/14 before increasing to R10.6 million in 2014/15. Over the MTEF the budget decreases to R4.2 million in 2015/16 before increasing to R5.9 million in 2017/18. The purpose of the unit was to source alternative funding from government and private companies that were never included in the old structure, whilst in the new structure positions were created to support and stimulate the competitiveness of, and transform, the 11 identifi ed economic growth sectors which will continue attracting Domestic Direct Investment (DDI) and FDI and Increase trade, investment and export opportunities on the African continent and worldwide. The unit also continues to contribute in skills development initiatives as part of making a contribution in developing youth.


RISKS MITIGATION



Duplicated roles and functions between DED units and DED Agencies





26

Disjuncture between DED plans and Agencies plans


Insu� cient professional capacity in terms of trade and sector development programmes and projects, project fi nancing and deal structuring

Increase project management support capacity in the Management o� ce. Amend recruitment policies to allow for attracting and employing specialised skills.

Misperceptions amongst stakeholders and benefi ciaries of the realignment process and new strategic focus

Regular communication and feedback with stakeholders and benefi ciaries

11. PROGRAMME 4: BUSINESS REGULATION AND GOVERNANCE

PURPOSE

To ensure that DED’s Agencies, Consumer A� airs, The Gauteng Liquor Board and The Gauteng Gambling Board are implementing interventions that contribute to achievement of the DED’s strategic goals.


UNITS FUNCTIONS

Liquor a¦ airs ▪ E� ective governance and regulation of the liquor industry;

▪ Ensure ethical business practice and empowered stakeholders;

▪ To promote & maintain an e� ective & e� cient regulatory system for the liquor industry;

▪ To maximise the benefi ts derived from the liquor industry and minimise the potential negative impact thereof; and Generate revenue from the industry and the regulation services o� ered for socio-economic development in Gauteng

Consumer a¦ airs ▪ Ensure awareness of consumer rights through education and awareness programmes;

▪ Ensure consumer protection and compliance of business with applicable consumer legislation; and

▪ Provide secretarial support to the consumer a� airs court

Governance ▪ Manage and coordinate special projects;

▪ Manage inter-governmental relations and strategic partnership on behalf of DED; and

▪ Provide strategic direction in respect of corporate governance matters to the DED and its agencies.

IGR And Strategic Partnerships

▪ Manage strategic partnership engagement on behalf of the department; and

▪ Facilitate and build e� ective inter-governmental relationships


Programme 4 will work towards the following four strategic objectives:

▪ New, smart, increased consumer satisfaction that secures long term sustainability and facilitates the growth of businesses;

▪ Stakeholders from all three spheres of government and from other sectors of society working jointly to radically transform and reindustrialise Gauteng’s economy;




27

▪ A properly regulated liquor industry in Gauteng that generates revenue towards the socio-economic development of the province; and

▪ A properly regulated Gambling and Betting Industry that generates revenue towards the socio-economic development of the province.

Strategic Objective 4.1 New, smart, increased consumer satisfaction that secures long term sustainability and facilitates the growth of businesses.

Objective Statement To protect and promote the rights of consumers and facilitate ethical business practices in relation to customer service.

Baseline 689 consumer complaints were resolved against the annual target of 1 800, 242 consumer education programmes were conducted against the annual target of 250 as at the end of 2nd quarter of 2014/15.

Strategic Objective 4.2 Stakeholders from all three spheres of government and from other sectors of society working jointly to radically transform and reindustrialize Gauteng’s economy.

Objective Statement To sustain relationships with other spheres of government for coherent/concrete planning and delivery of projects jointly by promoting consultation on broader development projects taking into account interdependencies between the three spheres.

Baseline New strategic objective, no baseline information.

Strategic Objective 4.3 A properly regulated liquor industry in Gauteng that generates revenue towards the socio-economic development of the province

Objective Statement To regulate the Liquor Industry and maximise the benefi ts from the industry that can accrue to broader socio-economic development in the province.

Baseline 1 243 liquor inspections were conducted against the annual target of 2 700, 93 awareness and education programmes on liquor was conducted against the annual target of 110, 57 440 131 people were reached through awareness programmes per annum against the annual target of 5 500 000 as at the end of 2nd quarter of 2015/15.

Strategic Objective 4.3 A properly regulated Gambling and Betting Industry that generates revenue towards the socio-economic development of the province.

Objective Statement To regulate the Gambling Industry and maximise the benefi ts from the industry that can accrue to broader socio-economic development in the province.

Baseline 906 gambling licences were issued were issued against the annual target of 500, 5 awareness programmes were conducted against the annual target of 5, 149 515 people were reached with messaging on the dangers of gambling against the annual target of 180 000


SUMMARY OF PAYMENTS AND ESTIMATES: BUSINESS REGULATION AND GOVERNANCE

OutcomeMain



Medium-term estimates

R thousand 2011/12 2012/13 2013/14 2014/15 2015/16 2016/172017/18

2018/19 2019/20

Governance 12 306 16 297 4 011 12 549 12 799 12 799 9 170 8 002 8 577 9 006 9 456




28

IGR And

Strategic

Partnerships

2 602 1 542 2 047 8 600 9 600 9 600 8 738 9 175 9 634 10 115 10 621

Consumer

Protection

13 084 16 225 18 632 30 288 21 138 21 138 18 026 18 927 19 699 20 684 21 718

Liquor

Regulation

15 100 32 670 21 887 30 255 30 255 30 255 25 327 26 695 28 030 29 432 30 903


43 092 66 734 46 577 81 692 73 792 73 792 61 261 62 799 65 939 69 237 72 699

The expenditure for the 2011/12 fi nancial year amounted to R43.1 million and increased to R66.7 million in the 2012/13 fi nancial year. The allocation for 2013/14 was reduced to R46.6 million. This fl uctuation is due to the GLB receiving a total of R32.7 million for compensation of employees. Over the 2015 MTEF, the total programme budget increased from R61.3 million in 2015/16 to R62.8 million in 2016/17 and R65.9 million in the 2017/18 fi nancial year.

The largest portion of the budget is allocated to Consumer Protection followed by GLB. In the 2011/12 fi nancial year, the budget for consumer protection was R13 million and increased to 16.2 million in 2012/13 whilst in 2013/14, a signifi cant increase is refl ected which is due to the number of consumer awareness programmes, workshops and training to support consumers. Over the 2015 MTEF the allocation increases to R18 million in 2015/16 and R19.7 million in the 2017/18 fi nancial year.

In the 2011/12 fi nancial year, the allocation for liquor regulation was R15.1 million and increased to R32.7 million in 2012/13 before decreasing to R21.8 million in the 2013/14 fi nancial year. In the 2014/15 fi nancial year, the allocation was R30.3 million which caters for Compensation of Employees. Over the MTEF, the allocation increases to R25.3 million, and R28 million for 2015/16 and 2017/18 respectively due to increase in revenue collection by the GLB.

The compensation budget for 2011/12 amounted to R23.1 million and increased to R29 million in the 2012/13 fi nancial year. The increase was due to the number of sta� appointed in the programme. The allocation for the 2014/15 fi nancial year was R45.7 million decreasing to R28.4 million in 2015/16 due to the fi nalization of matching and placing of personnel.

The Goods and Services budget amounted to R4.5 million in 2011/12 and decreased to R3.7 million in 2013/14 before increasing to R5.7 million in 2014/15. Over the 2015 MTEF, the budget continues to fl uctuate at R7.5 million in 2015/16 before decreasing to R6 million in 2017/18. The goods and services budget for the consumer programme also caters for workshops such as; disability, Spend Wisely Campaigns, World Consumer Rights Month, Savings Month Campaign, Youth Month, Human Rights, and Workers’ Month etc.

Key to the work of the Business Regulation and Governance programme during the 2015 MTEF will be the promotion of integrated planning, implementation and performance reporting of agency programmes. There will also be continued focus on consumer education, advocacy and awareness campaigns in the 2015/2016 fi nancial year.

The number of liquor licenses issued will be maintained at 2 000 licenses per annum in the 2015/2016 fi nancial year. Liquor abuse education and awareness programmes will also continue. The focus on the inherent regulatory function of the Board will be maintained by increasing the number of pre-inspections and inspections conducted. Gauteng Liquor Board regulates the liquor industry and maximises benefi ts from the industry for socio-economic development.

SUMMARY OF PAYMENTS AND ESTIMATES: BUSINESS REGULATION AND GOVERNANCE

OutcomeMain



Medium-term estimates

R thousand 2011/12 2012/13 2013/14 2014/15 2015/16 2016/172017/18

2018/19 2019/20




29


RISK MITIGATION

Lengthy turn-around times for

decision-making that delays

delivery and implementation


Lack of compliance by the

liquor and gambling industries

Development of systems, processes, legal solutions and partnerships to enforce regulation and compliance

Disjuncture between DED plans

and Agencies plans


12. PROGRAMME 5: ECONOMIC PLANNING

PURPOSE

To provide thought leadership to transform and re-industrialise economic Gauteng City Region through, policy and strategy development.


UNITS FUNCTIONS

Policy And Planning ▪ Modelling and scenario planning on economic policies to anticipate needs of economy;

▪ Identify areas requiring enhanced coherence and alignment as well as policy gaps and emphasis;

▪ Evaluate policies and strategies that could lead to sustainable, shared and faster economic growth; and

▪ Identify critical interventions that will enable Gauteng province to accelerate the implementation and realise its policy objectives.

Research And Development ▪ Conduct and publish on-going economic reviews and provide comprehensive insights on the provincial economic landscape;

▪ Produce intelligence reports for decision making;

▪ Prepare indicator studies documenting and mapping the performance of the Gauteng economy on an annual basis;

▪ Develop and implement knowledge management concept, strategy and systems;

▪ Identify areas of transversal research to support implementation of DED strategy; and

▪ Collect data and update the DED database of statistics and management research information.

Sector And Industry Development

▪ Enhance the global competitiveness of resource based sectors;

▪ Build a strong, globally competitive, innovative and diversifi ed manufacturing capabilities in Gauteng;

▪ Enhance and increase the contribution of service based sectors to job creation; and

▪ Co-ordinates work to identify and realise job and economic opportunities related to long term environmental and climate change challenges.




30

UNITS FUNCTIONS

Inclusive Economy ▪ Facilitate the empowerment of previously disadvantaged individuals and communities;

▪ Facilitate and support the establishment of viable and sustainable cooperatives sector in the province that contributes positively to economic growth and creates decent work; and

▪ Mobilise, align, coordinate and capacitate local economies towards enhanced and sustainable regional economic development and integration.

12.1. STRATEGIC OBJECTIVESProgramme 5 will work towards the following seven strategic objectives:

▪ Research based economic policies/strategies and intelligence reports that inform and guide projects to achieve the DED’s Strategic Goals of radically transforming and re-industrialising Gauteng’s economy;

▪ Up-to-date and accurate business intelligence data guiding all economic and business development decisions of DED (Coordination of the youth placement programmes);

▪ Impact Analysis reports informing the appropriateness and contribution of DED’s policies, strategies and projects to achieving DED’s Strategic Goals of radical economic transformation and re-industrialisation of Gauteng;

▪ Revitalised and modernised township economies refl ecting radical transformation and reindustrialisation of Gauteng’s economy;

▪ Strategic economic infrastructure that supports and facilitates radical economic transformation and re-industrialisation of Gauteng;

▪ Revitalised and modernised industries refl ecting reindustrialisation of Gauteng’s economy; and

▪ Green industries contributing to energy security as an important element of radically transforming and re-industrialising Gauteng’s economy

Strategic Objective 5.1 Research based economic policies/strategies and intelligence reports that inform and guide projects to achieve the DED’s Strategic Goals of radically transforming and re-industrialising Gauteng’s economy.

Objective Statement To provide for e� ective intervention in economic projects by conducting all the economic research required for development and improvement of policies/strategies.

Baseline No baseline, new strategic objective.

Strategic Objective 5.2 Up-to-date and accurate business intelligence data guiding all economic and business development decisions of DED (Coordination of the youth placement programmes).

Objective Statement To provide for informed decision making by providing intelligence reports, tracking key economic performance indices, and sourcing, analysing economic data required for policies/strategies and intelligence.

Baseline 2 Business Intelligence reports were developed against the annual target of 4 as at the end of 2nd quarter of 2014/15.

Strategic Objective 5.3 Impact Analysis reports informing the appropriateness and contribution of DED’s policies, strategies and projects to achieving DED’s Strategic Goals of radical economic transformation and re-industrialisation of Gauteng.




31

Objective Statement To provide quantitative information about total economic (direct and indirect) impact by researching and writing reports about information on the value of the benefi ts of a projects and policies being implemented in the province for informed decision making, improvements on strategies and policies being implemented, through providing estimates of economic impacts of projects and policies, measuring their overall contribution to the economy at regional, national/provincial, and estimates of di� erent industries including benefi ts that they bring to Gauteng economy.

Baseline New strategic objective, no baseline information.

Strategic Objective 5.4 Revitalised and modernised township economies refl ecting radical transformation and reindustrialisation of Gauteng’s economy.

Objective Statement To revitalise and modernise township economies to address the legacy of apartheid’s spatial economic planning and contribute to the triple policy imperatives of job creation, an inclusive economy and equality.

Baseline 3 economic development projects were supported at local and regional levels, 3 capacity building interventions were held to municipalities against the annual target on 4.

Strategic Objective 5.5 Strategic economic infrastructure that supports and facilitates radical economic transformation and re-industrialisation of Gauteng.

Objective Statement To re-industrialise and build economic infrastructure that will boost employment

creation and economic inclusion.

Baseline Mini Factory (ASP 10 and 11) - The mini factory 10 phase 1A (factory) is scheduled for completion at the end 2014/15 fi nancial year Phase 2

Mini Factory 11 - second building construction will commence in April 2015

Construction of phase 1 of the Bio Park was completed and launched in October 2014

Hominid House upgrade at Maropeng was concluded and handed over during December 2014

Strategic Objective 5.6 Revitalised and modernised industries refl ecting reindustrialisation of Gauteng’s economy.

Objective Statement Re-industrialisation to support the growth of labour intensive industries.

Baseline DED has contributed to the Gauteng Master Skills Plan and/or re-industrialisation as it pertains to its focus area. These include training for body repair shops, simulator training academy, foundry and tooling training, tourism, reskilling and technical training.

Strategic Objective 5.7 Green industries contributing to energy security as an important element of radically transforming and re-industrialising Gauteng’s economy.

Objective Statement Green economy interventions to support sustainable economic growth and interventions.

Baseline The CIC has been established to provide a one-stop shop enterprise development support to SMMEs and researchers.

CIC has contracted ten new pre-incubates receiving technical advisory and incubation services.

CoachLab currently has 36 learners in the CoachLab@JCSE and Maxum Innovation Factory has 23 new pre-incubation entrepreneurs in the programme and Maxum Core managed to secure 22 incubation companies.




32


SUMMARY OF PAYMENTS AND ESTIMATES: ECONOMIC PLANNING

OutcomeMain




R thousand 2011/12 2012/13 2013/14 2014/15 2015/16 2016/17 2017/18 2018/19 2019/20

Policy and Planning

4 357 8 198 5 565 10 877 12 333 12 333 16 608 19 514 20 490 21 515 22 590

Research and

Development7 100 4 809 6 721 10 203 7 175 7 175 8 000 8 400 8 820

9 261

9 724

Knowledge

Management3 502 3 025 715 10 919 1 599 1 599 - - -

-

-

Monitoring

and Evaluation3 192 12 173 404 8 791 3 335 3 335 3 824 4 068 8 846 9 288 9 753

Economic

Infrastructure

Development

- - - - - - 96 900 38 853 40 796 42 836 44 978

Sector and

Industry

Development

- - - - - 38 760 35 290 37 055 38 908 40 853

Inclusive

Economy- - - - - - 12 400 13 121 13 777 14 466 15 189


18 151 28 205 13 405 40 790 24 442 24 442 176 493 119 247 129 783 136 273 143 087

The Economic Planning programme will continue to be the economic intelligence nerve-centre in forming strategic decision making and targeted sector development strategies within the department. In this regard, a data-driven Government Information System will be established to improve the quality of outputs produced by the Research and Knowledge Management sub-programme.

The focus of the programme is the development of evidence based policies and tracking the contribution of the GEGDS. The total allocation of the programme amounted to R18.2 million in 2011/12 and increased to R28.2 million in the 2012/13 fi nancial year before decreasing to R13.4 million in 2013/14. The fl uctuation is as a result of the additional research work completed under the Research and Development sub-programme in 2012/13. For the 2014/15 fi nancial year, the allocation was adjusted to R24.4 million and funds were reprioritised towards TER projects. Over the 2015 MTEF, the total programme budget grows to R176.5 million in 2015/16 due to infrastructure projects to the value of R136.3 million. In the 2016/17 fi nancial year, the allocation declines to R119.2 million before increasing to R129.8 million in 2017/18.

In the 2011/12 fi nancial year, the largest budget under the programme was allocated to Research and Development with R7 million, followed by the Policy and Planning sub-programme which amounted to R4.3 million. In the 2015/16 fi nancial year the budget for Policy and Planning increased to R16.6 million and in 2017/18 increased to R20 million.

In the 2013/14 fi nancial year, the allocation for Research and Development remained high at R6.7 million, followed by Policy and Planning at R5.6 million, Knowledge Management at R715 000 and Monitoring and Evaluation with a budget of R404 000. In the 2017/18 fi nancial year the allocation for Policy and Planning amounts to R20.5 million; both allocations for Research and Development and Monitoring and Evaluation amount to R8.8 million; while Economic Infrastructure amounts to R40.8 million.

The department has added Economic Infrastructure Development which will facilitate the implementation of infrastructure projects within the group and across the province. The funding for Economic Infrastructure came from the TER programme. There is also Sector and Industry Development which focuses on delivering sustainable sector development strategies and programmes that ensure decent work, foster economic growth and diversifi cation of the provincial economic base. The department has reprioritised the budget to accommodate this sub-programme.

Compensation for this programme fl uctuated from R8.1 million in 2011/12, decreased to R7 million in the 2013/14 main appropriation. The compensation budget signifi cantly increases to R27 million in 2014/15. Over the 2015 MTEF, the allocation increases even further to R62.6 million in 2015/16 and then to R64.1 million and R64.4 million in 2016/17 and




33

2017/18 respectively. The increase in personnel is due to the newly created sub programme to cater for the emerging priorities emanating from SOPA.

Goods and Services grows from R9.9 million in 2011/12 to R14.9 million in 2012/13 before decreasing R6.4 million in 2013/14 fi nancial year. An amount of R13.1 million is allocated in the 2014/15 fi nancial year and is reduced to R6.7 million in the adjustment budget due to the implementation of cost cutting measures. In the 2015/2016 fi nancial year the budget increases to R110.8 million mainly for infrastructural projects before decreasing to R55.1 million in 2016/17 and R65.3 million in 2017/18.


RISK MITIGATION

Lengthy turn-around times for

decision-making that delays

delivery and implementation


DED Agencies developing their

own policies, strategies, etc.

Service Level Agreement (SLA) between DED and Agencies to clearly spell out specifi c and concurrent responsibilities; and how concurrent responsibilities will be managed in terms of economic policy and planning.

Disjuncture between DED

economic policies and plans

and those developed by

Agencies

All polices, plans and strategies developed by Agencies to be checked for alignment and discrepancies by the DED Economic Planning unit

Insu� cient professional capacity

to conduct research and

develop policies, strategies and

plans

HR to focus on recruiting the appropriate skills for this unit of the DED


34

PART C: LINKS TO OTHER PLANS13. LINKS TO THE LONG-TERM INFRASTRUCTURE AND OTHER CAPITAL PLANS The matter of long term infrastructure and other capital plans is not applicable to the DED at this stage.

14. CONDITIONAL GRANTSThe matter of conditional grants is not applicable to the DED at this stage.

15.PUBLIC ENTITIESThe MEC is responsible for the following public entities which have been established in terms of various legislations.

Consequently the department subsidises these entities on an annual basis namely:

NAME OF PUBLIC ENTITY SERVICES RENDERED BY THE PUBLIC ENTITY

GGDA Serves as an implementing arm of the DED and is primarily responsible for developing and implementing programmes and projects that respond to the triple policy imperatives of job creation, economic inclusion and equality and contribute to the strategic outcome oriented goals of radically transforming and re-industrialising Gauteng’s economy. The GGDA has to specifi cally contribute to the strategic objectives of the DED’s Integrated Economic Services and Trade and Sector Development budget programme areas.

GEP Serves as an implementing arm of the DED and is primarily responsible for supporting and building the SMME and Co-operatives sectors. The GEP provides fi nancial and non-fi nancial support to entities in these sectors. The success of work is embedded in the success of the entities its supports and the extent to which those entities contribute to the triple policy imperatives of job creation, economic inclusion and equality. The GEP contributes directly to the strategic outcome oriented goals of radical economic transformation and reindustrialisation of Gauteng’s economy. It specifi cally contributes to strategic objectives that speak to SMMEs, Co-operatives, township economies, trade and export promotion and 75% local procurement

GTA Serves as an implementing arm of the DED and is primarily responsible for developing and implementing programmes and projects, within the tourism sector, that responds to the triple policy imperatives of job creation, economic inclusion and equality. The GTA/ DIN/ COH contribute to the strategic outcome oriented goals of radically transforming Gauteng’s economy. The GTA has to specifi cally contribute to the strategic objectives of the DED’s Trade and Sector Development budget programme areas.

GGB Serves as an implementing arm of the DED and is primarily responsible for regulating the gambling industry and maximising the benefi ts that can be reaped from the industry for broader socio-economic development. The GGB specifi cally contributes to the relevant strategic objective of the DED’s Business regulation and Governance budget programme areas.

16. PUBLIC-PRIVATE PARTNERSHIPSThere are no public-private partnerships that will be ending during the fi ve-year period.


35

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94 Main Street, Matlotlo House, Johannesburg

Private Bag x 091, Marshalltown, 2107

Tel: 011 355 8000Fax: 011 355 8694

www.ecodev.gpg.gov.za

strategic plan - gauteng enterprise propeller · it is hereby certiﬁ ed that this strategic plan:...

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