The OR Tambo SEZ attended the Infrastructure Africa Conference held in Cape Town on 16 and 17 July 2024. The conference, which, inter alia, focused on the status and capabilities of Africa’s infrastructure agenda, connected stakeholders from the continent on issues that promote and challenge infrastructure development.
These discussions are central to the OR Tambo SEZ’s development trajectory, which is presently focused on the development of infrastructure at its ORTIA SEZ Precinct 2 location (a 29 ha land parcel located next to OR Tambo International Airport and suitable for the production and export of high-value light weight products that move via air freight) and the Springs Precinct (a 13,9 ha land parcel located next to a major platinum refinery and suitable for the production of platinum related products such as fuel cells and electrolysers).
In respect of the development of large infrastructure projects such as Special Economic Zones, the conference provided insight on the importance of ensuring that bankable feasibility studies are undertaken; reducing project risk and facilitating access to development financing. In this regard, it was noted that the challenge for African projects was not lack of financing but rather, that sometimes, insufficient project preparation work resulted in an elevation of project risks that made the unlocking of the necessary development funding problematic.
Another discussion theme at the 2-day conference was Public-Private Partnerships (PPPs), specifically the importance of structuring projects in a way that encourages private sector to participate in large infrastructure continental projects.
Financing options such as blended financing instruments, concession financing, loans and even public sector funding necessary to unlock infrastructure necessary to crowd in private sector interest and uptake, formed part of the discussions.
In addition to financing, infrastructure development challenges were discussed. These include political environments that sometimes limit private sector investment uptake or even government red tape that can constrain or delay the roll out of already approved key projects.
Despite the myriad challenges and constraints, it was highlighted that the African continent is committed to unlocking infrastructure capital and development, ensuring that the objective of accelerating Africa’s industrialization and growth is realized.
The OR Tambo SEZ shares in this vision and already has in place, a globally competitive Special Economic Zone infrastructure development programme that will contribute to enhanced industrialization on the African continent as well as the creation of much needed job and growth opportunities in its key sectors of focus.
Sectoral focus of the OR Tambo SEZ and its readiness for investment uptake
Supported by bankable feasibility studies and business cases, the OR Tambo SEZ is leveraging its competitive location next to and in proximity to sub-Saharan Africa’s largest and busiest airport to promote the production and export of products that utilize air freight as a mode of transport. These include time-sensitive products such as fresh foods and pharmaceutical & health products.
Other products identified as suitable for manufacturing at the OR Tambo SEZ include electronics, capital and mining equipment components as well as inputs that support the renewable energy industry e.g. electrolyzers and fuel cells that support the production and export of green hydrogen.
Leveraging off its bankability and infrastructure roll-out readiness, investor engagements on the compelling value proposition of OR Tambo SEZ and its capability to provide a platform for positive returns on investment by potential investors that wish to consider the SEZ as an investment destination are already underway.
For more information on the investor opportunities, visit www.ortambosez.co.za; email info@gidz.co.za
