R231 million judgment opens the door for industrial park takeover

Cilliers Brink, the DA’s Tshwane mayoral candidate, said that the city should secure ownership of the Ekandustria industrial park.

The Ekandustria Industrial Park is a provincial government-owned industrial hub located near Bronkhorstspruit.

It is situated in Gauteng, but it is under the jurisdiction of the Mpumalanga provincial government and managed by the Mpumalanga Economic Growth Agency (MEGA).

Last week, the City of Tshwane announced that it has secured a High Court judgment against the Mpumalanga Economic Growth Agency.

It must pay the City R231 million for water, sanitation and electricity services supplied at the Ekandustria Industrial Park.

This amount has since escalated to R461 million. “MEGA has 10 days to pay, failing which the administration will consider further enforcement,” the city said.

The case against MEGA was instituted during Brink’s 18 months as Executive Mayor and concerns unpaid municipal rates and service charges.

How now argued that this judgment offered the City of Tshwane an opportunity to bring Ekandustria under its control, which could unlock private investment and revive jobs.

He said that the industrial park has lost thousands of jobs due to years of neglect. In 1992, 10,000 people were employed by business tenants in Ekandustria.

That number has now dwindled to fewer than 2,000, largely due to MEGA’s neglect of the facility.

“Communities such as Retabiseng, Ekangala and Zithobeni have borne the brunt of those job losses,” he said.

“However, the judgment gives Tshwane a chance to revive Ekandustria and bring back investment and jobs.”

“Tshwane should use the judgment to negotiate for ownership of the park, then open it to private investment, starting with the businesses already operating there.”

He advocated against cutting services to the industrial park, as it would put the remaining jobs at risk.

Instead, securing Ekandustria and attracting new private investment could help restore the industrial park as a major source of jobs for surrounding communities.