Page 60 - Demo

Estimates of the Provincial Revenue and Expenditure (EPRE) %u2013 2025/26 Financial Yearrole, Special Economic Zones need to offer a range of packaged support to attract business investments within the zone. Current support measures funded by government within the zones comprises of exemptions from custom duties and regulations, tax incentives, provision of infrastructure including water, electricity, transport, land, buildings and top structures, ICT connectivity. Coega SEZ: Coega remains one of the largest Special Economic Zones (SEZs) in South Africa, with a highly diverse investment base. For the 2024-25 period, it has successfully consolidated an investment pipeline across several sectors. The investments include R5 million in manufacturing, R26 million in automotive, R250 million in energy, R260 million for two agroprocessing projects, and R400 million for minerals handling. In 2024/25, the Department of Trade, Industry and Competition (the dtic) funded five infrastructure projects in the Coega SEZ: %uf0b7 Development of a customs control area.%uf0b7 Construction of an Orion Engineered Carbons Tank Farm.%uf0b7 Security installation with electric fence, radar systems and surveillance systems.%uf0b7 Development of a facility to produce energy from waste rubber products.%uf0b7 Construction of the Stellantis automotive facility.There have also been investor-driven projects in the Coega SEZ such as the Dynamic Commodities Extension, San Miguel Facility, East Cape Mushrooms and Coega Steels rolling mill extension. In addition to the funding support that Coega SEZ receives from the provincial government for investment attraction totalling R90 million for 2025/26 MTEF, the Coega SEZ has managed to develop the first National Treasury approved capital project financing scheme/ agreement between a public entity and the private sector with limited risk exposure for the fiscus. Such innovative financing arrangements will enable the SEZ to expand its portfolio of mega capital projects spanning renewable and green energies, ICT and digital infrastructure, Government Office Precincts (Bhisho). East London SEZ: The East London SEZ is one of the major industrial complexes in the province with access to some of the major logistics infrastructure networks in the country including the N2 coastal highway, East London port, the King Phalo airport in East London and Transnet Freight Rail infrastructure from Gauteng to Western Cape. The zone supports through clustered infrastructure services and caters for high growth firms from emerging to large multinationals across a wide base of sectors including renewables, ICT, BPO, Automotive, agroprocessing, aquaculture, logistics, general manufacturing and pharmaceuticals. For 2024-25 financial year, there were 76 potential investors interested in operating in the East London SEZ, these investors were at different stages in terms of investment facilitation. About 28 of these investors were interested in general manufacturing , followed by 15 in renewable energy, 11 in agro-processing, and 9 in automotive. As of December 2024, four construction projects were rolled out in East London SEZ at different stages of implementation. %uf0b7 Upgrade of the electrical network.%uf0b7 Development of the data centre.%uf0b7 Golf course development.%uf0b7 Development of the manufacturing incubator.39