1. South Public Transport Corridor

2. North Public Transport Corridor

3. 2016 C3 2017 C8 Roll-Out of IRPTN... Existing Movement Road Rail + Stations 2018 C1 2018 C2 RAIL2022 C7 C5 2025 C4 C8 2027 C6 ULT.

4. Aligning Budgets to Integration Zones Zones: Categorisation of spaces and formulation of metropolitan integrated development programs for each type of space. Integrated programmes tailored to the different kinds of areas. 3 Zones proposed: –Dense Urban –Suburban –Non-Urban

5. Integration Zones Dense Urban Suburban Non Urban Three Integration Zones Integration Zones Dense Urban Suburban Non Urban Integration Zones Dense Urban Suburban Non Urban Dense Urban contains around 50% of population, bulk of economic activity Needs to be densified Big investments in mixed use type development & support infra Place to rapidly grow economy & serve maximum number of people

6. Planning Projects Status of Plans Approved Current Well aligned with Dense Urban IZ Focused on ToD, densification etc Moving into implementation

7. Integrating townships into the movement & economic system Revitalising township nodes & stimulating economic development Supporting transit-oriented development Urban Network Strategy (NDPG) Precincts / Nodes / Hubs Urban Network Elements Nodes Rail Connectors Secondary Connectors Activity Corridor

8. Town Centres Industrial Areas Tourism Nodes Township Nodes Rural Nodes Economic Programmes incl NDPG Well aligned with Dense Urban IZ where bulk of spend is occuring but also serving other areas Range of intervention types

9. Integration Zones Dense Urban Suburban Non Urban Economic Durban Investment Dashboard Predominantly private sector development proposals Mostly within close proximity to N2 and N3 eThekwini cannot afford to roll out new infra without carefully considering ROI and the efficient use of the infrastructure Need to resolve infra phasing plan Infra financing solutions required Developer contributions policy

10. Integration Zones Dense Urban Suburban Non Urban Housing All Current & Proposed Projects Project Type Greenfields In-Situ Upgrade Rural Bulk of informal settlements on edge of Dense Urban IZ- many of which to be formalised in-situ Most Greenfields sites also on edge of Dense Urban IZ. Northern projects well located to airport growth corridor Some well located greenfields- here densification is crucial Need for more densification projects in CBDs Critical that National brings in a densification subsidy & that we give more emphasis to social & rental housing

11. Housing Prioritisation Model: Proposed In Situ Upgrades & Rural Overlaid on Integration Zones Housing Project Priority Lowest Middle Highest Integration Zones Dense Urban Suburban Non-Urban Housing Project Priority Lowest Middle Highest

12. Housing Prioritisation Model: Proposed Greenfields Overlaid on Integration Zones Integration Zones Dense Urban Suburban Non-Urban Housing Project Priority Lowest Middle Highest

13. Integration Zones Dense Urban Suburban Non Urban Housing Identified Mega / Catalytic Projects All very well located and show the direction in which Human Settlement projects need to move (i.e mixed use/income, higher density) Typologies and funding models become critical Institutional issues around higher density lower income housing (body corporates etc) critical Good partnerships with private sector

14. Integration Zones Dense Urban Suburban Non Urban Economic, Housing Catalytic Projects & PT In or Near Implementation Nice spatial proximity between Housing and Economic projects Well positioned to PT trunks Good mix of development types which means we have revenue- absorbing and revenue-generating elements in the same project- makes for financial viability. The integration/alignment of dept programs & projects is key & the proper scheduling of funds on the Capital Budget will allow integrated implementation

15. Social Node Hierarchy Nodes are modeled in best locations to afford highest accessibility to catchments High Order facilities (high thresholds) must be located in metro or sub-metro nodes. High foot traffic supports public transport and economic development Guide facilities into clusters to better serve residents Co-ordinate municipal, provincial & state budgets Deal with Backlogs & New Growth Operational pressures

16. Existing Backlogs

17. Higher Order Backlogs

18. Higher Order Backlogs – North CBD

19. Higher Order Backlogs – South CBD

20. Project examples The BEPP promotes integrated planning, budgeting & implementation Project examples that reflect integrated planning, budgeting and implementation -Mnini MPCC -Mpumalanga -Cornubia -Etc Benefits: -Residents receive a better product -We look better in eyes of the public/electorate -Savings are achieved through higher utilisation levels -The private sector invests (increasing employment creation as well as rates revenue- which allows us to fund our social programme)

21. MNINI THUSONG CENTRE Craft & Trader Stalls LED Support Centre Community Hall Government Offices Sizakhala centre, home affairs, pension pay out, social welfare, SAPS, Post Office, labour, shared office space for: DED, DOT Transport, SEDA

22. Wastewater Masterplan 2012/13 Ultimate Wastewater Treatment Systems with Integration Zones showing Current Spare Treatment Capacity (Ml/day) in each System Integration Zones Dense Urban Suburban Non-Urban

23. Ecodev Projects: Layouts Priority Economic Developments 1. DTP & Surrounds North Watershed

24. Ecodev Projects: Outcomes Priority Economic Developments 1. DTP & Surrounds North (Trade Zone 2, Inyaninga Phase 1, Inyaninga Phase 2, uShukela) New Economic Development: 248ha Amounts per Year (Rm) 14/1515/1616/1717/1818/19 Anticipated Spend on Infrastructure: All Agencies 1.752.2168.4247.946.8 Anticipated Spend on Infrastructure: eThekwini Only 0.044.5116.4193.346.8 Currently on eThekwini MTEF0.250.00.020.00.0 Gap on MTEF-0.2-5.5116.4173.346.8 Flags: Compensation Land / Effluent Discharge Licence

25. Ecodev Projects: Outcomes 5 Priority Economic Developments Development Summary Developable Area (ha) Cost of Bulks (Rm) Bulks Cost (Rm) / ha Anticipated Rates (Rm) / Annum eThekwini Shortfall on 15/16, 16/17 DTP North2485572.2730111 DTP South180406 # 2.331074.0 Cornubia1328626.5*460100 Hammarsdale159421**2.619082 367 # Excludes secondary road network (ETA to develop framework). *Also provides services for 3 500 dwelling units. **Includes R140m WWTW expansion to service wider catchment.

26. R1.3bn anticipated rates return per year is fully realised over 20 years. Annual rates increase @ R68m per year (for 40ha development) Priority Economic Developments Likely “40ha per Year” Scenario with Rates Return Cumulative Rates if Ring-fenced Based on anticipated rates return per year of R68mill, we have R340mill pa capital to pay for infrastructure

27. Straw Dog: Roll-Out of Developments based on 40 ha per year (20ha Industrial / 20ha Commercial) 2015202020252030 Dube Trade Zone Precinct Hammarsdale – Old Industrial Hammarsdale – Keystone Inyaninga Phase 1 Cottonlands / Action Group Cornubia Business Hub N2 Business Estate Cornubia Town Center Marshall Dam Mixed Use uShukela Inyaninga Phase 2 DTP Support Zone 2 Industrial Projects Commercial Projects

28. Priority Economic Developments: Likely “40ha per Year” Scenario Gap Analysis

29. Synopsis of Catalytic Projects Big Bang, One-Offs, Big Impact at Sub-Metropolitan, Metropolitan, City-Region, Provincial, National or Continental Scales Mega-scale or Stimulate a chain of new projects or Be in highly strategic places Should be on PT corridors or national trade routes Land Uses – Economic, Mixed or Social Uses

30. Catalytic Projects by Project Cycle Implementation Preparation Note Implementation needs a different level of effort, intervention, and management structure from Preparation

31. Catalytic Projects in, near Implementation 31 105 Bn Private Investments 35 Bn Public 140 Bn Total Investments 3 Bn Rates p.a. 205,000 Permanent Jobs 55,000 Homes, half via subisidies 9.50 Million sqm Lettable Floor Integration Zones Dense Urban Suburban Non Urban

32. Summary # 1 Catalytic Projects in, near Implementation 32

33. Summary # 2 Catalytic Projects in, near Implementation 33

34. Budget alignment with Catalytic Projects Table 2a: Catalytic Projects "In or Near Implementation" 2015/162016/172017/18 Back of Port1.0 5.0 Bridge City Intermodal157.0143.041.0 Rail Corridor C2 - Bridge City to Umlazi10.0 0.0 Road Corridor C3 - Bridge City to Pinetown447.5401.3436.9 Centrum33.695.0280.1 DTP & Surrounds52.075.778.1 Greater Cornubia409.3298.0327.0 Keystone3.527.698.5 Point3.60.71.0 Warwick17.316.820.0 King Edward Node0.0 Table 3 Northern Aqueduct90.0 91.4 Western Aqueduct355.4300.0228.5

35. Catalytic Projects in Preparation 35 10 Bn Private Investments 18 Bn Public 28 Bn Total Investments 36,000 Homes, mostly thru subisidies 1.07 Million sqm Lettable Floor Space Integration Zones Dense Urban Suburban Non Urban

36. What have we achieved on the BEPP? Set up Municipal Spatial Integration Forum Emergence of a single narrative Alignment of sectoral plans although lots of historical commitments etc Agreement on Integration Zones Agreement on Catalytic Projects that are ‘game changers’ as they are financially sustainable Dedicated resources for Catalytic Projects Partnerships emerging with the private sector Catalytic Projects introduced as a separate line item in Capital Budget Spatial budgeting being introduced Support at top management level & agreement that the BEPP be institutionalised in the CMs Office (under CSO) ICDG Planning projects will produce a pipeline of ‘good’ capital projects ICDG KPIs taking shape- the right mix of rationalised strategic KPIs More partners coming on board:realise the BEPP is a good vision

37. Challenges – Uncertain IGR Budgets JOINT IGR PLANNING & BUDGETING IS NOT YET WELL ESTABLISHED Affects Core Infrastructure such as Interchanges, Bridges, National and Provincial Roads within the Metro Critically Affects Economic Projects Significantly Affects Sustainable Human Settlements for the whole range of Social Facilities

38. Challenges – Key Environmental Approvals WATER USE LICENCES & CONVERSION FROM AGRIC Additional capacity needed in Treatment Works in order for development applications to be approved. Water Use Licences take too long to be issued by DWS- 300 days Coastal Discharge permits from DEA create further delays. New requirements of hydrological studies for WULAs and Dispersion studies for discharge permits are further complicating matters River Classification that doesn’t factor in the Cost of Infrastructure required to maintain River Classes is a real risk to eThekwini as Classes will be gazetted. Letter to DG. The conversion of agricultural land to other uses, mostly the case when it comes to development, is tightly controlled by Act 70 of 1970

39. BEPP 2015/16 - Review of built environment strategy Key shifts: -eThekwini needs to further improve the integration of the grants & their integrated spatial impact to achieve BEPP & SDF outcomes -eThekwini needs more emphasis given to spatial budgeting of its overall Capital Budget -Need to reflect Catalytic Project as dedicated items on our Capital Budget. -Support from DWS on fast tracking WULAs especially for catalytic projects -Agreement from DWS re: proposed process prior to gazetting of river classes -Support for densification & informal settlement upgrading from DoHS. We havent solved the dilemma of how to fund pro-poor multi-storey hsg. -Support from provincial DoT for road improvements on provincial network -Support from national & provincial social facility depts for implementing the outcomes of the DPSA study -Although have good partnerships on specific projects (eg THD, Toyota etc) we need to expand these to grow eThekwini

40. Questions