Eastern Cape Department Of Economic Affairs

Eastern Cape Department of Economic Affairs, Environment and Tourism Policy Speech 2005/06 by MEC André de Wet 17 March 2005 Madame Speaker Honourable Premier Members of the Executive Council Members of the Legislature Invited guests Ladies and gentlemen INTRODUCTION The victory of the democratic movement in the country’s first election 10 years ago marked the formal termination of a bitter and painful period of some 300 years in our country’s history. Our government inherited the daunting task of transforming the country’s economy and society in general and dealing with problems created over these centuries of deliberate neglect, racial and economic inequality, injustice and discrimination. The Eastern Cape bore the brunt, more acutely than others. While much of this legacy, 10 years on, is still visible today, with unacceptably high under and unemployment, high poverty levels and shortcomings in infrastructure, no one would argue that much has been achieved over the past 10 years. Working together, we have ensured positive change. Meeting these challenges in the Province demanded a holistic and integrated provincial development plan. The aim of that plan is towards reaching the objective of building our economy and infrastructure that we may compete effectively. The Province has adopted as its blueprint for development and a better life for all in the Province, its Provincial Growth and Development Plan (PGDP) that guides and directs our programmes and associated budget allocations. Working together, with a clear and concise plan we will make a difference. The achievement of the targets identified in this document will to a large extent be reliant on the economic development and successes of the economic stakeholders of the Province and their competitiveness and growth. Working together, as strategic partners with shared objectives we can make a difference. The Department of Economic Affairs, Environment and Tourism has been entrusted with this noble challenge, we have accepted this and we will pursue the attainment of our strategic objectives with resolute vigour, passion and dedication. The key to success in the implementation of this policy and programme is based on close interdepartmental co-operation, consultation with provincial stakeholders – including labour, business and civil society, local economic development, partnerships with municipalities – at metro, district and local level, developing strategic partnerships with all development partners at national and provincial level, ensuring sound corporate governance, accountability and integrity within the Department and all public entities, promotion of a creative entrepreneurial culture throughout the

extended organisation. We are furthermore committed to ensuring the working together, we can do it! The Provincial Economic Context The President in his State of the Nation Address and the Minister of Finance both noted that they expected the national economy to experience growth upward of 4% in the coming financial year. This shows that we are on a positive growth path that will ultimately translate into delivery in terms of the People’s Contract we have pledged our commitment to. As a Province, we will improve our current growth levels from around 2% per annum to contribute greater to the national economy. Given the Eastern Cape’s strategic location, quality of life, natural resources and human capital the province should rank amongst the top areas for economic performance and contribution to national GDP. Budget for 2005/06 The Department’s budget for 2005/06 amounts to R622.77 million, which represents a decrease of about 27% over the 2004/05 budget of R849,5 million. Of this total amount, R470 million (76%) is allocated to Transfer Payments to Public Entities that implement the Department’s policy responsibilities in terms of Service Level Agreements (SLAs). The greater proportion of the allocation to Public Entities continues to consist of transfers to the Coega Development Corporation (R180 million), the East London Industrial Development Zone (IDZ) (R105 million) and the Eastern Cape Development Corporation (R69,5 million), totalling nearly R355 million. Although this does constitute a decrease of 41% of their allocation compared to allocations received in 2004/05, it nevertheless comprises 57% of the entire budget of the Department, a sure indication of our continuing commitment and dedication to creating a world-class infrastructure that will generate investment and revenue for the benefit of the Province as a whole. Promoting tourism and regulating the gambling and liquor industries absorb a further R45 million of the Department’s budget, whilst R65 million has been allocated to the Eastern Cape Parks Board which will in 2005/06 take over the personnel of the Provincial Protected Areas, including all associated costs. The balance of approximately R143 million has been allocated to the Department’s normal operational activities, more or less unchanged from 2004/05. Summary details of the Department’s budget for 2005/06 are indicated in the Annexure to this presentation. Provincial Growth and Development Plan Much effort has gone into ensuring that all departmental programmes and projects are aligned to the strategic agenda set by the PGDP. The PGDP has adopted six strategic objectives for the Plan’s ten-year period.

The Department of Economic Affairs, Environment and Tourism is the lead department of the Economic Growth and Infrastructure Cabinet Committee, which also includes the Departments of Agriculture, Public Works, Housing, Local Government and Traditional Affairs and Transport. We will be making a concerted effort to realise the potential of the cluster by maximising the synergies between departments and relevant roleplayers. Appropriate participation in the supporting cluster to the Cabinet Committee by public entities, national parastatals, national departments, and other key players has been and will be ensured continuously. This will bring immediate results in the field of inter alia, agro-processing, which is identified as one of the key sub-programmes of the PGDP. Our Province is one of the most populous in the whole of South Africa, and we should be using our buying power as consumers to create jobs. Specific deliverables in relation to the six strategic focus areas identified by the PGDP and actively pursued by the Department as well as associated public entities are as follows: Systematically eradicating poverty Poverty is primarily characterised by lack of access to opportunities for a sustainable livelihood. Economic development within the Province should therefore be based on the eradication of the extreme levels of poverty found in the former Transkei and Ciskei areas as well as underdeveloped townships within the Province. This overarching objective will address the social, economic and political dimensions of poverty and will be actively pursued through the activities of the Department, associated public entities as well as the Economic Growth and Infrastructure Cabinet Committee. The development of small, medium and micro enterprises (SMMEs) remains the single biggest challenge for the province. The establishment of fair and equitable markets remains a priority for our Department and we will ensure that the majority of our resources are geared toward providing market access and growth for the SMME environment. Broad-Based Black Economic Empowerment (BEE) will require much more attention than it has received in the past, so that SMMEs, workers and communities are the main beneficiaries of our empowerment policies. BEE interventions should not benefit a select few, but rather impact on the majority of our people. The Department is investigating whether provincial government can assist in ensuring the empowerment of black businesses through provincial procurement in particular. Accreditation of proven empowerment entities will also receive attention. The Eastern Cape Development Corporation (ECDC) has already begun a micro credit pilot operation in order to assist financing of micro enterprises. The loan threshold of R100 000 at ECDC has been a point of contention, for a number of years. This threshold has now been removed and all loans will be considered forthwith. Working together, we can eliminate poverty and ensure a better quality of life for all! Agrarian transformation and food security

This objective is closely linked to the overarching objective of poverty eradication, but focuses on the rapid transformation of the agricultural sector, more specifically so in the former homeland areas. Sadly, the Province imports processed agricultural products from other Provinces despite the fact that we can produce and process the same products right here in the Eastern Cape. Maize and maize meal is a prime example of this contradiction. The experience of our Massive Food Production Programme teaches us that our Province can produce maize very cheaply but that we do not have the capacity to get the maize from the field to the mill or the market. Our Department, together with the ECDC and Department of Agriculture, will be identifying suitable trading mechanisms to move the maize up the value chain from the maizefield to the maizemill and onwards, via Broad-Based BEE consortia, which will market the finished product. This will be done in line with the PGDP, but importantly also, the Integrated Development Plans (IDPs) of the relevant municipalities. The ECDC is also involved in the aforementioned maize milling, Kei Corridor and cotton projects. In addition to these, the timber cluster project located between the Langeni and North East Forests remains a priority for the Province. The value adding processes that are earmarked for this project could potentially attract a R1 billion investment into the former Transkei area. We are happy to announce that two major investors both with foreign partners have already declared their interest in this investment opportunity. The Magwa Tea Estate is back on track with the retention of over 1200 direct jobs. Investors, Ferrostaal and J V Gokal together with the Department of Agriculture, the Department of Trade and Industry and the ECDC have made good use of the offset system, to re-engineer Magwa into a world-class tea estate. We are also enthusiastic about Gokal’s intention to introduce value-adding activities in the tea estate, which will ensure the competitiveness of Magwa Tea. The recent deal struck between the ECDC, Fort Hare, the small farmer community in Alice and dairy producers from the Tsitsikama has proven that teamwork does achieve results and that new dairy capacity and value added products will manifest in the general area of Alice. This also affords Fort Hare agricultural students to do specialised education in dairy management and will create numerous jobs in the short to long term. Another likely possibility in agro-processing is cotton, which is no longer grown in our Province despite the existence of textile factories which are on record as ready to buy all we can produce. The ECDC and the Department of Agriculture, together with a private partner, have formed a joint cotton development planning committee, which will promote cotton production among established farmers, together with a gin mill at Adelaide to process the cotton, and an export programme targeting key European and United States retail markets. The cotton project has already created 450 direct jobs, and looks forward to having 6000 hectares under cotton within the next three years. Working together, we can address hunger and rural inequalities! Manufacturing diversification and tourism

Currently, our manufacturing sector is based on a relatively small number of volatile export markets. This sector requires consolidation of the value chain and diversification into new markets. Towards this end, the Department will seek to facilitate the generation of higher levels of economic growth and employment creation and reduce economic inequalities in the Province. It will also establish a sound approach to implementing the DTI Microeconomic Reform Strategy and the associated Integrated Manufacturing Strategy. Amongst the key strategic interventions to be undertaken will be: * SMME policy development; * Co-operatives development and support; * Broad Based BEE in respect of preferential procurement; * Lobbying for the liberalisation of the regulatory framework governing trade and SMMEs; * Identifying opportunities linked to major events such as the World Cup 2010. Going forward, a further key output of the next financial year’s programme will be the development of a Provincial Industrial Strategy. Amongst the goals of such a strategy would be to: * * * * *

identifying opportunities for diversification; developing improved research and development capacity and capability; strengthening spatial linkages and facilitating investment into the IDZs; identifying sources of local demand; and expanding agricultural production and agro-industrial development.

Working together, we can develop our provincial manufacturing capacity for sustainable economic growth! Tourism has also been identified as one of the key drivers of the PGDP, and here of course the Eastern Cape Tourism Board (ECTB) will play a leading role as the Province’s Destination Marketing Organisation. It is our firm belief that the high potential of tourism to create employment and raise incomes in rural areas through community tourism programmes should be fully explored and supported. Some of the key priorities already identified include the development and protection of parks and reserves, improvement of infrastructure, especially along the Wild Coast, development of cultural and historical heritage products and the development of a strong marketing brand showcasing a number of core attractions and themes. As such, the strategic partnership between the ECTB, the Eastern Cape Parks Board (ECPB), the ECDC and other relevant roleplayers will be continuously strengthened. Transformation will be advanced by facilitating the BEE scorecard and taking an integrated approach to Destination Marketing and Management. To support the ongoing integration of Destination Marketing and Management, and to consolidate its partnership programme, the Tourism Board will be launching a Co-operative Marketing and a Development Fund. The purpose of each fund is to enable industry role-players to work in partnership with ECTB to increase the marketing and tourism development benefits for the Province.

The Eastern Cape Parks Board will start the new financial year as a fully-fledged public entity with its own assets and its own personnel, financially autonomous although receiving transfers from the Province until it grows its own revenue to the point of self-sustainability. The Department will furthermore continue with initiatives in the fields of ecotourism and land conservation, particularly around such projects as the Maloti Drakensberg Transfrontier Project and the Wild Coast Sustainable Development Project that will consolidate all the different ecotourism initiatives in that region. We continue also with such ever-popular programmes as the Cleanest Town Competition the Eastern Cape Environmental Awards and the Enviro Expo, which have done so much to spread the message of conservation to the younger generation of all our diverse population. The Annual Game Sale, which will again be held at Thomas Baines Reserve near Grahamstown, will appeal to an older and more commercial generation as well as providing the Province with much-needed revenue probably exceeding the R1,761,000 generated in 2004. At the same time, we will be dealing firmly with threats to the environment. We will be gaining an enhanced legislative mandate as a result of the National Law Reform process, and will be introducing new measures such as the Eastern Cape Environmental Management Bill, which will consolidate remnants of environmental legislation from the previous dispensations; the National Environmental Management Amendment Act, which will deal with the rectification of unlawful activities, and the National Coastal Management Bill to promote conservation and sustainable development of the coastal zone. The Wild Coast Illegal Cottages Task Team will continue their sterling work of dealing with illegal structures built within the coastal conservation area. The Eastern Cape Parks Board has championed the following flagship projects: * The ECPB has received R52m from the Extended Public Works Programme (EPWP) through the Department of Environmental Affairs and Tourism (DEAT). The projects are labour-intensive and will create 931 jobs over three years for the local communities in and around Baviaanskloof (R16m), Great Fish River Complex (R10m), Hluleka (R11m), Silaka (R6m) and Mkhambathi Nature Reserves (R9m). * The Mkhambathi Land Claim was settled on the 17 October 2004 and this has culminated in a community reserve managed by the Eastern Cape Parks Board with emphasis on socio economic development of the area. A Co-Management Committee, which is constituted by the local government (Qawukeni Local Municipality and OR Tambo District Municipality), Eastern Cape Parks Board, the Mkhambathi Land Trust, Department of Agriculture and Land Affairs and the Regional Land Claims Commission, has been set to drive the planning and the implementation of the development initiatives. * The Baviaanskloof Mega Reserve is the third largest reserve in the country. Sections of the Baviaanskloof Mega Reserve have been declared a World Heritage Site in terms of the requirements of United Nations Educational, Scientific and Cultural Organisation (UNESCO) and the Biodiversity Act. The total budget for the Baviaanskloof Mega Reserve project is R35,4m and 50 jobs have been created. * Negotiations are underway with WWFSA, SANParks, ECPB and DEAT to declare Karoo Nature Reserve a National Park managed by the Province (ECPB) in terms of the Protected Areas Act. This will be the first National Park managed by the Province in the Country. Further initiatives to be undertaken include:

* Fast-track the finalisation of the R75m investment for the Mkhambathi ecotourism facilities, review and fast track legal compliance for Silaka (R20m) and Doubledrift (R30m) investments; * Restart the second phase of the commercialisation of the ecotourism facilities with an estimated investment of approximately R175m, and revamp ecotourism infrastructure with a view to improving revenue; * Fast track the declaration of Ntsikeni wetland, the third largest wetland in the country which focuses on, amongst others, conservation of the endangered Blue Crane; * Development of the Great Fish River Reserve, which is one of the five flagship reserves, as a model reserve with the big five and accessible ecotourism facilities targeting the local market is underway. Working together, we can ensure that our natural and cultural heritage improves the quality of life of the people of the Province! Human resource development In his State of the Nation Address, our President said it was “clear that more work will have to be done to raise the skills level of our people.” He also mentioned that a new National Skills Development Strategy had been prepared with an amount of R21,9 billion allocated to its implementation over the next five years. It is incumbent upon us to facilitate that the people of the Province benefit from this fund and develop the necessary skills to play a meaningful role in our provincial economy. One of the Province’s major strengths is its people. The human resources available, whether skilled, semi-skilled or unskilled, are an asset to the Province. This represents a great reservoir of skilled and unskilled labour ready to work at any time should the economic conditions facilitate such. Human resource development strategically underlies the eradication of poverty and the growth of the economy through improving levels of general education, increasing the technical skills required by the economy and promoting high level skills for participation in the new economy. A need exists to develop strategies on addressing the low skills base in the Province, increase the investment into skills development, addressing labour market segmentation and the better alignment of training with socio-economic development requirements. Working together, we can ensure that the people of the Province are appropriately skilled to participate meaningfully in building the provincial economy! Infrastructure development Infrastructure investment will have strong growth promotion effects on the agriculture, manufacturing and tourism sectors by improving market access and by “crowding-in” private investment and as such has been prioritised in terms of the PGDP. The Department remains committed to the realisation of successful industrial development zones (IDZs) in East London and Coega. We have invested significant portions of our provincial budgets to these projects over the last six years and we

now have a high expectation of delivery in the form of populating the zones with investors. It is of great concern that both zones remain empty from an investment viewpoint. We give every assurance, however, that we will spare no effort to unlock the huge potential of both IDZs. We have been encouraged by the recent opportunity of harnessing the automotive importing and exporting potential of the East London harbour and IDZ. This should provide a single port of exit and entry for imported and exported vehicles. This phenomenon could propel the ELIDZ into new value added activities for the automotive sector in the fields of vehicle preparation and consolidation/deconsolidation infrastructure and activities. The opportunity of an auto supply park would further galvanize these efforts and differentiate the ELIDZ from the rest. Both IDZs also need to consider how they derive benefit from the offset agreements in terms of inducing new investments into the zones. Both IDZs remain strategic to the future of our provincial and national economy. South Africa’s externalising trade patterns and the massive growth in exports will continue to induce a gravitation of export orientated manufacturing to the eastern seaboard of South Africa. Both IDZs are well positioned to derive benefit from this trend provided they are well prepared and investor friendly. Acknowledging that our focus, energy and attention cannot be limited to the IDZs alone, as many of our people remain marginalized and destitute in rural areas, other infrastructure related priorities include the Wild Coast Conservation and Sustainable Development initiative, the EPWP, and the Kei Corridor from East London to Mthatha and over the mountains to Ugie. This project is moving into an advanced stage and we assure our development partners of our ongoing co-operation and assistance in bringing the project to fruition and to maximise the forward and backward linkages in terms of economic development. Ultimately the Kei rail project opens up a more advanced trade route with the Eastern Cape hinterland. All these projects are characterised by an emphasis on labour-intensive but sustainable job creation, Broad-Based BEE, and partnerships between community, government and the private sector. By concentrating on the rural areas, we also start to close the gap between the First Economy of the Eastern Cape and its needy Second Economy, benefiting the poor while adding value to our Gross Domestic Product, and putting the consumption of the Province to good use in stimulating the production of the Province. Working together, we can leverage infrastructure development to build our economy! Public sector transformation The ECDC has undergone profound changes during the past financial year. These changes were as a result of investigations into operations of the Corporation, including the sale of the Mpekweni resort, which ultimately led to the resignation of the CEO and various senior managers. Related criminal charges and further investigations are currently underway by the South African Police Service’s Serious Economic Offences Unit. Far from being seen in a negative light, these events are

positive manifestations of our commitment to clean corporate governance and accountability. Despite these events, we are happy to announce that the ECDC is back on track and fully operational. The Department will remain committed to harnessing this institution as our key development vehicle; in critical service areas, which include investment and trade promotion, SMME promotion, project development, enterprise development, business finance and general deal making. It is our firm belief that the new Board and management structure under the guidance of the recently appointed chairperson, Robbie Mopp, will position the organisation at the forefront of sustainable economic development within the Province. I’m also heartened by their recent intervention to conduct a compliance and human resource audit, which will place the institution on a firmer footing in relation to good governance and institutional oversight. Amongst some of the more recent achievements of the ECDC, are the following: * a review of all contracts, including procurement, has been initiated; * a significant increase in SMME loan approvals; * a significant increase in ECDC property rental collection; * a concerted effort to reduce vacancies in ECDC factory space, including Dimbaza and Fort Jackson resulting in increased occupation; and * a process has been initiated to formulate an asset conversion strategy aimed at the disposal of non-core assets and the leveraging of such proceeds to facilitate sustainable economic development. The new Liquor Board, which was appointed in August 2004, immediately set about registering previously illegal shebeens and bringing them within the ambit of the law and the provincial revenue stream. To date, 14 483 temporary registration certificates have been issued to shebeeners, who can now be monitored and managed since their details are captured on a provincial register. They have further generated a revenue of R1,448,300 to date. The Liquor Board will be taking over all liquor related monitoring functions formerly associated with the police and, in recognition of that, the Provincial Commissioner of the SAPS has seconded 205 officers to assist the Board in monitoring compliance with the Liquor Act. One sign of the national esteem in which our Liquor Board is held is that it has hosted the Chairperson Forum of National Liquor Boards and that the possibility of closer relations with other Provinces is currently being actively pursued. We are confident that it will expand and deepen its footprint in the coming year. The Eastern Cape Gambling and Betting Board will continue building on the successes achieved during the past financial year. It is envisaged that the roll out of the Limited Payout Machines will be completed by 31 March 2006. Furthermore, we congratulate the Board and its officials on the substantial increase in revenue collection during the current financial year and trust that this trend will continue during 2005/2006. Working together, we can ensure that our institutions meet the needs and aspirations of our people! The Department’s Operating Environment

The Department’s budget for the 2005/2006 financial year has been decreased by 27% from the previous financial year’s allocation. This poses a real challenge in relation to ongoing service delivery by the Department as well as all associated public entities. Much thought and effort have been given to innovative ways of ensuring the continued attainment of our mandate. In meeting the aims and objectives of the PGDP, it is essential for the Department and all public entities to align their efforts with the PGDP and with one another to ensure the integration, co-ordination and prudent utilisation of available resources. In this regard, we seek to achieve the following: * Utilisation of a common baseline in forging strategic plans. This will address the potential problems of duplication and contradiction on the one hand and gaps and grey areas where services are currently not provided, on the other. The same will apply in the allocation of funds. * The alignment of the Department and its public entities from a provincial to a district level to ensure effective and efficient service delivery to those communities we serve. In this way, it is aimed to provide a “one stop shop” style of service delivery to the Department’s clients. In this way we seek to share scarce resources and skills across institutional and geographic boundaries. * A rationalisation of the Department and its entities’ activities in order to maximise the advantages of their own specific structures will be initialised. In this regard Service Level Agreements (SLAs) need to be strengthened with a view of mapping out clear deliverables, lines of communication and accountability as well as appropriate monitoring and evaluation mechanisms and associated sanctions for non performance. We will also be conducting a review of the legislation governing the entities to see how these can be enhanced in terms of transparency and accountability. * Rendering of assistance and support to all local and district municipalities to ensure well planned and prioritised LED initiatives, linked to municipal IDPs as well as the PGDP. Critical vacant posts have been identified and are currently in the process of being filled. These include the positions of Head of Department and Chief Financial Officer. Even though the retention of skilled information and communications technology (ICT) staff is an issue, as one of the pioneers in information dissemination using a departmental intranet in the Province, information management is continuously prioritised within the Department. In line with the concept of knowledge management the Department has several projects under way due to be completed during the next financial year, such as the Electronic Document Management System, a new collaborative intranet site, a performance management tool which would assist with monitoring and evaluation, leveraging off the Microsoft solutions available through the Enterprise Agreement. This would assist with integration as well as monitoring within the Department and the public entities. Conclusion The Department undertakes to ensure that 2005/2006 becomes a year of unparalleled service delivery, efficient and effective administrative processes and

sound corporate governance in ensuring the attainment of the mandate as committed to in the People’s Contract. At the forefront of our endeavours to meet the needs and aspirations of the people of the Eastern Cape, the Department further commits itself to the building of strategic partnerships to ensure: * improved sustainable economic development with a specific focus on rural areas, job creation and retention, skills development and transfer and especially addressing the needs of the poor and marginalized; * enhanced functioning and delivery by the various Public Entities associated with the Department and the Department itself; * sustainable environmental management underpinning all development initiatives; * ensuring the development and promotion of the Province’s biodiversity and reserve management through the newly established Eastern Cape Parks Board; and, * appropriate, integrated and sustainable tourism development building on the natural, cultural and heritage potential of the Province of the Eastern Cape. The Department furthermore commits itself to succeeding in attaining the above mandate by working with and through the people of the Province. Working together, we will succeed! I thank you. ANNEXURE: Resources allocated for the 2005/06 financial year Source: Treasury Funding (Equitable Share) Amount (R’000): 564,754 Source: Departmental Receipts: Tax receipts (Casinos and Horseracing) Amount (R’000): 55,021 Source: Departmental Receipts: Non-tax receipts (Sale of goods and services) Amount (R’000): 2,883 Source: Departmental Receipts: Interest/financial transactions Amount (R’000): 58,101 TOTAL (R’000): 622,764 The overall budget of R622,764,000 is allocated to the Department’s operating Programmes, as follows: Programme: Programme 1: Administration Amount (R’000): 54,394 % of Budget: 8.7 Programme: Programme 2: Information Systems Amount (R’000): 16,083 % of Budget: 2.6

Programme: Programme 3: Economic Affairs Amount (R’000): 435,975 % of Budget: 70.00 Programme: Programme 4: Environmental Affairs Amount (R’000): 116,312 % of Budget: 18.7 TOTAL (R’000): 622,764 Summary information regarding payments by economic classification and transfers to public entities and local government in 2005/6 is indicated below: Summary of payments by economic classification Payments: Current payments Amount (R’000): 143,017 Payments: Current payments: Compensation of employees Amount (R’000): 88,670 Payments: Current payments: Goods and services Amount (R’000): 54,347 Payments: Transfers and subsidies (inc. RSC levies R888,000) Amount (R’000): 470,802 Payments: Transfers and subsidies: To Local government Amount (R’000): 6,170 Payments: Transfers and subsidies: To Departmental agencies and accounts Amount (R’000): 464,632 Payments: Payments for capital assets Amount (R’000): 8,945 Payments: Payments for capital assets: Machinery and equipment Amount (R’000): 8,945 TOTAL PAYMENTS (R’000): 622,764 Summary of transfers to public entities and local government Public entity/application: ECLB (Liquor Board) Amount (R’000): 10,170 Public entity/application: ECLB (Liquor Board): Liquor Administration Amount (R’000): 10,170

Public entity/application: Eastern Cape Tourism Board Amount (R’000): 20,532 Public entity/application: Eastern Cape Tourism Board: Tourism Amount (R’000): 20,532 Public entity/application: Eastern Cape Parks Board Amount (R’000): 65,000 Public entity/application: Eastern Cape Parks Board: Parks management Amount (R’000): 65,000 Public entity/application: Eastern Cape Development Corporation Amount (R’000): 69,566 Public entity/application: Eastern Cape Development Corporation: Promotion of SMMEs Amount (R’000): 57,176 Public entity/application: Eastern Cape Development Corporation: Investment, marketing and industrial promotion Amount (R’000): 9,240 Public entity/application: Eastern Cape Development Corporation: Trade development Amount (R’000): 3,150 Public entity/application: Eastern Cape Development Corporation: Strategic Projects Amount (R’000): 0 Public entity/application: ECGBB Amount (R’000): 14,364 Public entity/application: ECGBB: Regulation and administration of gambling Amount (R’000): 14,364 Public entity/application: Coega Development Corporation Amount (R’000): 180,000 Public entity/application: Coega Development Corporation: Operating costs and infrastructure development Amount (R’000): 180,000 Public entity/application: East London IDZ Amount (R’000): 105,000 Public entity/application: East London IDZ: Operating costs and infrastructure development Amount (R’000): 105,000 Public entity/application: Local government Amount (R’000): 5,282

Public entity/application: Local government: LED projects in approved IDPs Amount (R’000): 5,282 TOTAL (R’000): 469,914 Issued by: Department of Economic Affairs, Environment and Tourism, Eastern Cape Provincial Government 17 March 2005 Source: Eastern Cape Provincial Government (http://www.ecprov.gov.za)