Gauteng Business 2022/23

The 2022/23 edition of Gauteng Business is the 13th issue of this highly successful publication that has established itself as the premier business and investment guide for the Gauteng Province. In addition to the regular articles providing insight into each of the key economic sectors of the province, a special feature on the growth and significance of the green economy is included in this edition. Every sector from agriculture to transport and logistics is referenced, with several Gauteng companies taking the lead in the field of creating a more sustainable future for themselves and for their clients. The fact that mining companies and others are starting to build facilities to generate power is significant for the country as a whole. Gold Fields’ 40MW solar project at its South Deep mine is one of the first of its kind and it is certainly a precursor of what we can expect to see a lot more of in the future. The unexpected fall from power in the province’s three big metropolitan municipalities in 2021 of the political party that is in charge at provincial and national level, the African National Congress, is noted in the Regional Overview. Whether this presages a change beyond the borders of Gauteng in elections to come remains to be seen, but the huge budgets which now fall under the control of coalition governments in Johannesburg, Tshwane and Ekurhuleni will certainly serve to sharpen the focus of ANC election planners for national elections in 2024.

OVERVIEW Banking and

OVERVIEW Banking and financial services One of Johannesburg’s stock exchanges has moved. SECTOR INSIGHT Nedbank has listed a green bond. The flurry of new activity in the financial sector has slowed. Several new banks and exchanges have been launched in South Africa since 2017, most of them in Johannesburg. One of the stock exchanges, 4AX, has rebranded as the Cape Town Stock Exchange and moved to that city while ZAR X had its licence suspended in August 2021 by the Financial Sector Conduct Authority (FSCA) because of concerns related to liquidity and capital adequacy. Of the other new exchanges, Equity Express Securities Exchange (EESE) trades in Black Economic Empowerment (BEE) and A2X had 56 listings and a market cap of close to R4-trillion in October 2021, when Tiger Brands announced that it would do a secondary listing on the exchange. The decision by pharmaceutical giant Aspen Pharmacare to conduct a secondary listing on one of South Africa’s newest exchanges, A2X, suggests good timing by the people behind the latest trend in the country’s financial services sector. A2X has attracted nearly 20 companies in a wide range of sectors in less than two years, with a primary focus on secondary listings. Patrice Motsepe’s African Rainbow Capital is an investor in A2X. The JSE is the world’s 19th-biggest exchange and about 344 companies are listed on the JSE or AltX, the JSE-owned exchange for smaller companies. In December 2021 Nedbank listed a R1.09-billion green bond on the JSE, whose proceeds will be used to fund green residential developments. The bond is floated in the JSE’s Sustainability Segment, which serves as a platform for raising capital for green, social and sustainable investment projects. The bond brings the number of ONLINE RESOURCES Credit: Unsplash Association for Savings and Investment South Africa: www.asisa.org.za Chartered Institute of Government Finance, Audit and Risk Officers: www.cigfaro.co.za Financial Sector Conduct Authority: www.fsca.co.za sustainability instruments listed to 35, with a total issued amount of over R17-billion. The launch by Sanlam Investments of a Sustainable Infrastructure Fund is a sign of the times. The South African state has promised a huge infrastructure drive but in the context of climate change caused by the use of fossil fuels, the investment community is increasingly putting emphasis on sustainability. Sanlam Group will invest R6-billion in the fund and aims to attract a further R5- billion from institutional investors. Investments will be made in housing, transport, health, water, waste, communication, conventional energy and renewable energy, a fast-growing sector with enormous potential. Sanlam has entered two partnerships in the insurance market. African Rainbow Life has launched life-cover policies in the low and middle-income market, in association with Sanlam and African Rainbow Capital. Sanlam is also in a venture with Capitec. Naspers Foundry is one of several investment funds looking for opportunities in the financial sector. Insurance technology is of particular interest, together with credit services and payment systems. ■ GAUTENG BUSINESS 2022 40

OVERVIEW Education and training Tshwane University of Technology now offers asset maintenance. The Tshwane Institute for Continuing Education (TICE), a subsidiary of Tshwane University of Technology Enterprise Holdings (TUTEH), has signed a partnership with Optimal Assets Maintenance Solutions, a physical asset management engineering and consultancy company. The partnership will create short learning programmes in asset maintenance and research projects will be undertaken together. TICE offers skills development, continuing education and professional development through research. TUTEH, a wholly-owned company of the Tshwane University of Technology (TUT), exists to generate and grow additional streams of income for the university, separate from government subsidies, student fees, donations and bequests. In response to demand for a more skilled workforce, the Provincial Government of Gauteng has promised by 2025 to establish in every district at least two schools of specialisation linked to the 10 high-growth sectors that have been identified. Public libraries and community centres will become places where online courses in artisan and digital skills will be readily available. A focus on water and energy underpins the newly-established Knowledge Pele Academy in Kramerville, Johannesburg. Independent power producer Pele Green Energy aims to develop skills and entrepreneurship in rural, peri-urban and township communities. The KP Academy has formulated energy and water SETA-approved courses and runs artisan training programmes, learnerships, short courses and workshops. Technical and Vocational Education and Training (TVET) colleges are concentrating on 13 trade areas, including bricklayers, millwrights, boilermakers and riggers. Gauteng has eight TVET colleges. The National Skills Authority (NSA) works with Sector Education Training Authorities (SETAs) in carrying out the National Skills Development Strategy (NSDS). The Human Resource Development Council of South Africa (HRDCSA) is an overarching body working on skills development and training. ONLINE RESOURCES Gauteng Department of Education: www.education.gpg.gov.za National Research Foundation: www.nrf.ac.za TUT Enterprise Holdings: www.tutenterprise.co.za SECTOR INSIGHT TVET colleges are concentrating on 13 trade areas. Tertiary Three of South Africa’s top five business schools are in Gauteng: the Wits Business School, the University of South Africa’s (Unisa’s) Graduate School of Business Leadership and the Gordon Institute of Business Science, on the Sandton campus of the University of Pretoria. Eighty percent of the 1 230 lecturers and researchers at the University of the Witwatersrand (Wits) have post-graduate degrees, and 27 A-rated scientists work there. The university offers studies in more than 40 schools in five faculties. Pretoria hosts the head office of distance university Unisa. The University of Pretoria (UP) is renowned for research. One of the most famous faculties is veterinary science, which is located at Onderstepoort. The University of Johannesburg (UJ) is a comprehensive institution offering diplomas and degrees through a mix of vocational and academic programmes. The Tshwane University of Technology (TUT) and the Vaal University of Technology (VUT) have several campuses. ■ 41 GAUTENG BUSINESS 2022