15 December 2020 - NW2971
Lorimer, Mr JR to ask the Minister of Trade, Industry and Competition
(1)With regard to the Musina-Makhado Special Economic Zone, what (a)(i) are the reasons that the specified project was designated a Presidential Project and (ii) date was it done so, (b) does such designation mean, (c)(i) state-owned entities and (ii) government departments are either participating and/or intended to participate in this project, (d) total amount has each of the specified entities spent on the project so far, (e) total amount do they intend to spend in the next 10 years and (f) value will be delivered to the South African persons in return; (2) whether any kind of environmental exemptions will be provided by the Government during the course of the project; if not, what is the position in this regard; if so, what is the source of the non-South African governmental investor’s finance? [NW3797E]
1. The Musina-Makhado Special Economic Zone (SEZ) was designated by Cabinet in accordance with the Special Economic Zone Act No 16 of 2014. The Act prescribes a process in which all special economic zones are designated.
I am advised that the project was not designated as a Presidential project.
The Department reports that implementation of Musina-Makhado is coordinated through a Steering Committee that consists of various departments and State owned entities such as the Department of Water Affairs and Sanitation and Eskom. The purpose of the steering committee is to support the SEZ company with the mobilisation and management of stakeholders, particularly with regards to sector departments and state owned entities. At this stage, departments have not committed specific funding towards the development of the project. The province is still finalising the Master plans and environmental authorisation processes.
2. The Environmental Impact Assessment (EIA) application for Musina Makhado Special Economic Zone has been launched in terms of the National Environmental Management Act and the associated regulations. The process is still underway.
The Limpopo government has advised the Department that it has an investor pipeline of $15.2 billion with potential investors in various projects ranging from power generation to minerals beneficiation. According to the Province, the investors will be bringing their own funds to finance their investment projects.