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KwaZulu-Natal Business 2024-25

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The 2024/25 edition of KwaZulu-Natal Business is the 16th issue of this highly successful publication that, since its launch in 2008, has established itself as the premier business and investment guide for the KwaZulu-Natal Province. A special feature on the state of the estate market in South Africa notes some features beyond the obvious attractions such as security and coastal living. New factors in the growth of the estate living market include a focus on conservation and nature, developers offering a broader (and lower) price range for buyers of homes and residential estates now becoming part of bigger “precincts” offering other zones such as retail and commercial. Examples from KwaZulu-Natal are cited regarding these new trends. The province’s ports, including the inland Dube TradePort situated at the King Shaka International Airport, were firmly in the spotlight as the first-ever shipment was made out of South Africa in terms of the African Continental Free Trade Area (AfCFTA). If the country is to take full advantage of the agreement then its logistics infrastructure has to run efficiently. To complement the extensive local, national and international distribution of the print edition, the full content can also be viewed online at www.globalafricanetwork.com under ebooks. Updated information on KwaZulu-Natal is also available through our monthly e-newsletter, which you can subscribe to online at www.southafricanbusiness.co.za, in addition to our complementary business-to-business titles that cover all nine provinces, our flagship South African Business title and the latest addition to our list of publications, The Journal of African Business, which was launched in 2020.

OVERVIEW Energy Big

OVERVIEW Energy Big manufacturers are going off-grid. Toyota South Africa plans to spend about R800-million in a drive to convert its Durban manufacturing plant to renewable energy. The company’s Hino truck plant within the Prospecton complex south of the Port of Durban is already running on renewables, part of the 10MW of solar power that is currently powering the vehicle manufacturer’s operations. The plan is to take that up to 31MW, find better ways to dispose of waste and to introduce more low-carbon equipment into the production line, all in pursuit of the goal of having 100% of the plant’s energy supplied by renewables by 2028. Toyota has been selling hybrids in South Africa for some time, including the Corolla Cross, but in 2025 the company’s first fully electric vehicle, the BZ4X, pictured, will be sold in South Africa. This is part of the global company’s goal to halve emissions by 2035 and become carbon neutral by 2050. Several alternative-energy options are being considered by the public and private sector to produce additional power. These include using waste heat generated by industry and biomass fuels using waste from forestry and natural gas. At Donnybrook in the Harry Gwala District Municipality a refurbished Biomass Factory is making various green products and biochar from organic biomass waste streams such as sawdust and bagasse. A study into using solar energy to provide power for the Sundumbili Water Treatment Works in the iLembe District Municipality was conducted through the Vuthela iLembe LED Support Programme. Funded by the Swiss State Secretariat for Economic Affairs (SECO), the study found that the system, estimated to cost just over R5-million to build, would result in savings of about R4.8-million over a nine-year period. This study is just one of several initiatives regarding energy taking place within the iLembe District Municipality. Moves to improve the efficiency of the electricity supply to the coastal areas are starting to take shape, but stronger collaboration between the public and private sector is needed to secure reliable power. Also in the district, an open-cycle gas turbine plant at Shakaskraal can be converted to gas-fired technology, a method which energy planners are encouraging. The 670MW plant came on stream in 2017. As part of the provincial government’s strategy to boost regional ONLINE RESOURCES National Department of Energy: www.energy.gov.za South African National Energy Development Institute: www.sanedi.org.za SECTOR INSIGHT A biomass factory in Donnybrook has 35 employees. development, the iLembe District has been named as an Industrial Economic Hub (IEH) for the renewable energy sector. The eThekwini Metropolitan Municipality has entered the field of renewable energy provision with the publication of its eThekwini Integrated Resource Plan (EIRP). This document outlines the steps the city will take towards its cleaner energy goals. Illovo Sugar SA is keen to produce biofuel and bio-energy and at the company’s Eswatini mill , Ubombo, it has a commercial supply agreement with the Eswatini Electricity Company. The first project in Eskom’s Battery Energy Storage System (BESS) project was unveiled in KwaZulu-Natal when South Korean company Hyonsung Heavy Industries broke ground at Elandskop in December 2022. The 8MW facility will move to producing an additional 144MW in the second stage of the project. ■ KWAZULU-NATAL BUSINESS 2024/25 32 PHOTO: Toyota SA

OVERVIEW Water Major projects are underway. SECTOR INSIGHT Construction of the Canelands pipeline bridge has begun. The Inanda Dam is on the uMngeni River. The City of eThekwini and surrounding areas will receive more water as a result of the R28-billion Upper uMkhomazi Water Project. An offtake agreement was signed between various parties in April 2024. Two state entities are working together to deliver the project, which includes the building of the Upper uMkhomazi Dam, a tunnel from Smithfield Dam and a pipeline connecting the tunnel to the Baynesfield Water Treatment Works. The project will effectively link the under-utilised uMkhomazi River to the existing uMngeni watercatchment area. The Trans-Caledon Tunnel Authority (TCTA) will implement the raw water component of project and Umgeni Water will be responsible for the bulkwater treatment component for distribution to six water services authorities. The yield of raw water which will become available in the uMngeni Water System will increase by 55%, once the project is complete. Work on the multi-year, R250-million Northern Aqueduct Augmentation project continues. As part of the fifth phase of the project, construction of the Canelands pipeline bridge began in 2023. This project comprises water and sewer pipelines and is in response to growing communities in the north, particularly in Wards 58 and 60. The major project was launched in 2014 and is intended to provide water for Durban North, Umhlanga, Newlands, KwaMashu, Phoenix and Cornubia. The main pipeline will supply water from the Durban Heights Treatment Works to the Waterloo, uMhlanga and Blackburn (Cornubia) reservoirs. In the Harry Gwala District Municipality, an amount of R30-million has been set aside for 28 solar-powered boreholes with elevated ONLINE RESOURCES National Department of Water and Sanitation: www.dws.gov.za Umgeni Water: www.umgeni.co.za Water Research Commission: www.wrc.org.za tankstands to be constructed. In the Umkhanyakude District, Mhlathuze Water has been appointed as the implementing agent to install boreholes across all four local municipalities. The water infrastructure servicing the coastal areas from Southbroom to Port Edward and the inland rural areas will receive more than R40- million in upgrades and repairs. In response to loadshedding, the iLembe District Municipality and two local municipalities, in partnership with the KwaZulu- Natal Department of Economic Development and Tourism and funded by the Swiss State Secretariat for Economic Affairs, has conducted a feasibility study into using renewable energy to abstract raw water from the lower Tugela River, treat it to safe drinkable standards and pump it to consumers in the Mandeni and KwaDukuza municipalities. A provincial Water Intervention Plan is being rolled out in hotspots where municipalities are struggling to provide consistent services. The main pipelines of Kokstad and Underberg are receiving upgrades, as are the water supply systems at Bergville, Skhemelele and Moyeni Zwelisha. ■ PHOTO: Umgeni Water 33 KWAZULU-NATAL BUSINESS 2024/25

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