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HomeConstruction and EngineeringInfrastructure development projects in SEZ seeks investment partners

Infrastructure development projects in SEZ seeks investment partners

A summary of infrastructure development projects in and around the Maluti-a-Phofung Special Economic Zone in the Free State Province of South Africa.

Roll out of phase 2 of bulk earthworks at the Maluti-a-Phofung Special Economic Zone

Project description:

  • Roll out of phase 2 of the fitting of bulk earthworks at the Special Economic Zone (SEZ)
  • Maluti-a-Phofung Special Economic Zone was designated as brownfield with most of the park being without essential services like water, sewage, roads and electricity
  • Phase 2 of the bulk earthworks project aims to install these services in alignment with the establishment of new investors and their top structures within the SEZ
  • Phase 2 will be a multi-year bulk earthworks project focusing on installing new bulk services and new road networks
  • This phase will also focus on water reticulation and upgrading existing water infrastructure
  • This project will allow the development of new serviced sites for the housing of potential investors in precincts 2 and 4 of the SEZ
Investment value:
  • R450-million
Sources of funding:
  • Department of Trade and Industry or relevant funding partner
Funding gap:
  • R450-million for bulk infrastructure
Number of jobs to be created (direct and indirect):
  • 300 temporary jobs
Empowerment:
  • Employment of previously disadvantaged persons (including youth)
Partnerships:
  • Department of Trade and Industry
  • Free State Development Corporation
  • Maluti-a-Phofung Special Economic Zone
To discuss, please contact the Project Manager.

NB: Kindly use subject line: MAP SEZ – Phase 2 of bulk earthworks


Municipal infrastructure upgrades

Project description:

  • The Maluti-a-Phofung Special Economic Zone (SEZ) is located within the Maluti-a-Phofung Municipality.
  • The infrastructure that immediately surrounds this SEZ is in desperate need of upgrades and refurbishments.
  • These include upgrades to the water and power reticulation systems and refurbishment of the water treatment plant.
  • The municipality is expected to repair the water treatment plant for the treatment of effluent water.
  • This treatment plant has not been operational for a year and must be brought back on-line with immediate effect. This is the most crucial infrastructure project at present.
  • The municipality, in partnership with Eskom and the SEZ, are expected to upgrade the sub-station in order for it to accommodate the required 80 MVA for the SEZ.
  • The municipality currently receives 10 Megaliter (ML) of water per day for the area. This needs to increase by 40 ML per day to accommodate the SEZ’s 20 ML per day requirement and the estimated 20 ML per day that is now required for the residential area.

Funding gap:

  • Estimated amount of R70-million funding over two financial years required.

Sources of funding:

• Department of Trade and Industry and/or relevant funding partner.

Number of jobs to be created (direct and indirect):

  • The number of jobs will be determined by the Municipality’s scope of work.

Empowerment:

  • The project will seek to employ previously disadvantaged persons, including the youth.

Project schedule:

  • Projects to commence as soon as funds are available.

Project status:*

  • The municipality does not have the funds to undertake the urgently required repairs of the waste water treatment plant.
  • Eskom is to be presented with the power requirements of the area in order to upgrade the power supply. This can only be done through municipality as the power supply runs from Eskom to the municipality and then to MAPSEZ.

Unblocking issues needed to be resolved:

  • Funding required as the municipality is currently under administration and as a result is not functioning at its full capacity.

Partnerships:

  • Maluti-a-Phofung Municipality
  • MAPSEZ
  • Eskom
  • MAP Water
To discuss, please contact the Project Manager.

NB: Kindly use subject line: MAP SEZ – Municipal infrastructure upgrades


Upgrade and redevelopment of roads within and leading to SEZ

Project description:

  • Re-align the intersections on the N5 that leads to entrances into the MAP SEZ
  • Redevelop the main road of the SEZ. This is the responsibility of the Department of Police Roads and Transport, as it is a provincial road.
  • Repair the municipal road leading to the SEZ from the Tshiame Township (located adjacent to the SEZ). This road has reached its life span.
Sources of funding:
  • Department of Police, Roads and Transport, SANRAL, Department of Trade and Industry and/or relevant funding partner
Funding gap:
  • R65-million funding required 
Empowerment:
  • The project will seek to employ previously disadvantaged persons, including the youth.
  • 180 temporary jobs will be created.
Project schedule:
  • Project planned for 2020/2021 financial year
Project status:*
  • MAPSEZ has requested meeting with SANRAL to present Traffic Impact Assessment that will determine the extent of realignment needed on the N5 intersections
  • MAPSEZ has sent a request to Department of Police, Roads and Transport for a meeting to plan and formulate budget for road of the construction
  • Municipality currently does not have funds for the road construction.
Current partnerships:
  • MAPSEZ
  • Maluti-a-Phofung Municipality
  • SANRAL
  • Department of Police, Roads and Transport
To discuss, please contact the Project Manager.

NB: Kindly use subject line: MAP SEZ – Road infrastructure upgrades


Funding required for new railway lines within MAPSEZ

Project description:

  • Following Gateway Review 2, Transnet Freight Rail will begin with Front End Loading 3 (design stage) process
  • Funding for professional work for Front End Loading 3 required by Transnet
Sources of funding:
  • Transnet, Department of Trade and Industry or relevant funder
Funding gap: R50-million
Incentives available:
  • Preferential 15% Corporate Tax
  • Building Allowance
  • Employment Incentive
  • 12I Tax Allowance
Empowerment:

The project will seek to employ previously disadvantaged persons including the youth. 80 direct / indirect jobs to be created.

Project schedule:
  • 10-month construction program
Project status:*
  • Transnet currently does not have the funds to finance the Front End Loading 3 Project
  • Transnet has elected to first access the freight demand in the area before commencing with Front End Loading 3 process
Current partnerships:
  • Transnet
  • MAPSEZ
To discuss, please contact the Project Manager.

NB: Kindly use subject line: MAP SEZ – Rail infrastructure upgrades


Construction of office buildings in Special Economic Zone

Project description:

  • Construction of the SEZ office building to house full staff of the Special Economic Zone
  • This office includes a One-Stop-Shop (SARS, Department of Home affairs, Department of Trade Industry, Fire Brigade, Police Station)
Investment value:
  • R80-million
Sources of funding:
  • Department of Trade and Industry and/or potential funder
Funding gap: R80-million
Project schedule:
  • 18 month construction period
Empowerment:
  • The project will seek to employ previously disadvantaged persons including the youth. 50 temporary work opportunities.
Partnerships:
  • Department of Trade and Industry
  • Free State Development Corporation
  • MAP SEZ
To discuss, please contact the Project Manager.

NB: Kindly use subject line: MAP SEZ – Construction of office buildings

Strategic location of the Maluti-A-Phofung SEZ in the Free State Province.

*Projects’ status updates are from 2021
Contact the project teams for the latest updates:

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