eThekwini’s Investor Fridays Unlock R260 Million Foreign Investment Boosting Durban Development

The eThekwini Municipality announced that its Investor Fridays initiative has successfully unlocked a proposed R260 million in foreign direct investment. The initiative is aimed at accelerating high-impact development projects across the metro and reinforcing Durban's standing as a prime investment destination.

City Manager Musa Mbhele, along with his executive management team, conducted their latest round of visits to sites under development on Friday. The focus on that occasion was a development in Umhlanga comprising a hotel and apartments.

The closer focus on development sites is being done with the intention to eradicate construction bottlenecks, enhance regulatory turnaround times, and strengthen investor confidence.

Mbhele said the Investor Fridays efforts were a critical component of the city’s investment acceleration strategy. "We bring together senior leaders from key municipal departments, including Operations Management, Catalytic Projects, and Technical Services, to engage directly with developers and investors, identifying obstacles and providing immediate solutions," he stated.

During the visit, discussions were held with agrochemical giant UPL South Africa on how to expedite their water-use licence application, and resolve any outstanding by-law approvals.

Mbhele emphasised the need for regulatory efficiency, noting that a predictable approval system is vital for attracting and retaining investment in the region. "Our responsibility is to streamline compliance processes, especially for projects with the potential to bring substantial economic value," he asserted.

A notable highlight was the engagement with Energex, a foreign investor based in the Hamriyah Free Zone in the UAE.

The company has proposed an investment of around R260 million to build a bitumen import, storage facility, and distribution terminal in Durban, which will be known as the “Mother Terminal.”

With a projected storage capacity of 6,000 to 8,000 tonnes, expandable to 10,000 tonnes, the facility is expected to significantly bolster South Africa’s national bitumen demand, estimated to be between 60,000 and 70,000 tonnes monthly.

This strategic investment is projected to create approximately 40 local jobs during its operational phase and facilitate an annual distribution valued at R879 million. It is also anticipated to generate around R130 million annually in duties and VAT, affirming its significance against the backdrop of national infrastructure programmes that heavily rely on bitumen for road construction and maintenance.

The delegation held discussions with Baldwin Properties and addressed infrastructure constraints along Herrwood Drive, Umhlanga, where stormwater damage has proven detrimental to current and future development efforts.

To mitigate the issues, Baldwin committed to upgrading the roadway, while the city intends to construct an attenuation tank under the surface to prevent further flooding.

"Protecting existing infrastructure is essential to unlocking future development opportunities and safeguarding investor confidence," Mbhele commented.

The construction of approximately 900 apartments under phase two of the Izinga Eco Estate is projected to commence in June, with property transfers expected by February next year. Mbhele reassured developers that outstanding approvals would be prioritised to prevent unnecessary delays.

DAILY NEWS