KwaZulu-Natal’s economic future received a significant boost as the province secured a record R85.2 billion in investment pledges at the KwaZulu-Natal Investment Conference.
The conference, facilitated by Trade & Investment KwaZulu-Natal on 11 and 12 November 2024 in Durban, saw 16 companies pledge to invest in the future of the province through projects that will potentially create a combined 119 000 temporary jobs during their construction phase and add more than 68 000 permanent jobs downstream.
KZN Premier Thami Ntuli said the pledges demonstrated investor confidence in the province’s resilience and growth potential. “KZN has tremendous potential for trade and investment growth toward 2030, a vision aligned with the National Development Plan. Most importantly, we are aligning with the 2024-2029 Medium-Term Development Plan’s strategic priority of achieving inclusive growth and job creation. In so doing, we leverage KZN’s established infrastructure, strategic location, and diverse economic base and are well-positioned to drive sustainable economic transformation for the province with local initiative and a commitmernt to create a conducive atmosphere for investment. Resilience to climate risks is also essential, as these factors directly impact infrastructure and investment stability” he said.
At the conference closing ceremony, MEC for Economic Development, Tourism, and Environmental Affairs, Rev. Musa Zondi, made a surprise announcement that an additional company, had come forward to pledge. “The pledge from Zero Carbon Charge will propel KZN further into the future of sustainable transportation and clean energy. This pioneering South African company, has pledged R9.4 billion in investment toward the development of a network of electric vehicle charging stations over the next ten years. The KZN network will consist of 31 sites, 17 of which will be dedicated to electric passenger and light commercial vehicles, while 14 will be for truck battery swapping stations. These will be strategically located at 150km intervals,” said Zondi.
Driving Sustainability with Zero Carbon Charge
The Zero Carbon Charge project includes the development of off-grid solar-powered EV charging stations and truck charging routes along key highways, such as the N3 between Durban and Johannesburg. MEC Zondi lauded the partnership, stating; “This initiative aligns with our vision for a carbon-neutral economy. It underscores our commitment to reducing emissions, creating jobs, and enhancing energy resilience in our communities.”
Joubert Roux, Co-Founder and Director of Zero Carbon Charge highlighted the initiative’s dual purpose: “Our stations will operate even during load-shedding, offering zero-emission alternatives to South Africa’s coal-powered grid. This is not just an investment in infrastructure but a leap toward a sustainable, resilient future.”
Sappi’s R10.8 Billion Commitment
Among the standout pledges was Sappi Southern Africa’s R10.8 billion investment over the next five years. CEO Alex Thiel reiterated the company’s dedication to KwaZulu-Natal, emphasising its critical role in both economic and community development. “Sappi’s commitment is not just financial. Our operations in the province, including three mills and vast forest plantations provide employment and contribute to sustainability through programs like Sappi Khulisa, which supports over 4,000 timber growers,” Thiel said.
However, Thiel also urged continued progress was necessary towards overcoming infrastructure challenges, such as the rebuilding of the South Coast railway line, which is vital for maximising economic potential in the region.
Thrive Student Living Tackles Accommodation Shortages
Growthpoint also made a R800 million commitment to investment in the province over two years, to be executed through the development of the Thrive Student Living project. Subsequent to the Investment Conference, a sod-turning ceremony was held at the project which will address shortage of student accommodation in the province. The project will add 2400 student beds, contributing to better educational outcomes and employment creation in the region.
Kobus Blom, Growthpoint’s Regional Development Manager, highlighted the importance of addressing the student housing crisis. “KZN has significant demand for purpose-built student accommodation. This investment underscores our commitment to education and economic development,” he said.
Umdoni Point’s Coastal Development Boost
Real estate investment also took centre stage with Umdoni Point Coastal Forest Estate pledging substantial support for property development on the South Coast. This lifestyle estate for over-50s will span 150 hectares and preserve natural habitats while attracting both local and international investors. “This project is more than a residential development, it’s about positioning the KZN South Coast as a prime investment destination.” said Kelly Smith, Umdoni Point’s estate manager.
A Promising Horizon
As KwaZulu-Natal continues to navigate challenges like energy constraints and global instability, the pledges announced at the conference signify a strong vote of confidence in the province’s economic resilience and potential.
The conference highlighted how private and public sectors can collaborate to create jobs, drive innovation, and foster sustainable growth.
TIKZN Board Member Edwin Mkhize said it was encouraging to see businesses pledge to invest in KZN. “Over the past year, we’ve seen a 12% increase in domestic investment deals, driven by a robust investment climate and thriving sectors like automotive, renewable energy, and business services. We’ve proven that KwaZulu-Natal is open for business. These commitments are more than investments; they’re partnerships that will shape the future of our province for generations to come,” said Mkhize.