Special Economic Zones (SEZs) are key tools used by the South African government for driving industrial and economic development. Within SEZs, cluster industries from a particular sector locate in geographically designated areas to get the benefits of scale and co-location. SEZs are governed by the SEZ Act (No.16 of 2014) and are supported by a range of incentives aimed at attracting foreign and local investment.
The City of Cape Town established a greentech manufacturing hub in Atlantis in 2011, in response to the Department of
Energy’s Renewable Energy Independent Power Producer Programme (REIPPP).
The hub has already attracted four large Greentech investors that are fully operational:
- Gestamp Renewable Industries (GRI, wind towers, investment R300m),
- Resolux (wind turbine internals, R25m)
- Kaytech expansion (geotextiles, R130m)
- Skyward Windows expansion (double glazing, R50m)
The Atlantis Greentech SEZ was designated in June 2018 and has now entered its implementation phase.
Situated on the West Coast of South Africa, 40kms from Cape Town, the Atlantis SEZ capitalises on the province’s already booming renewable energy and green technology sector. Greentech refers to green technologies that reduce or reverse the impact of people on the planet. This includes renewable energy technologies. Wind turbines, solar panels, insulation, biofuels, electric vehicles, materials recycling and green building materials are all examples of green technology.
Six reasons for the renewable energy and green technology sector to locate in the Atlantis SEZ
- Strong and growing South African and African markets for Greentech
- Independent market research shows strong demand for renewable energy and green technologies from South Africa and the African continent.
- Support for the renewable energy market was reinforced when the Department of Energy announced in 2015 an additional 6,3GW of renewable energy procurement through the REIPPP.
- Well-located & development-ready area
- Large tracts of industrially-zoned land with appropriate bulk infrastructure in place (green and brown fields).
- New public transport links and fibre connectivity.
- Well located.
- Close proximity to Saldanha port (105kms), airports, and Cape Town (40kms).
- Good access to major national road network (N1, N2 and N7 routes).
- Proximity to key renewable energy markets.
- A strong support base and existing relationships for investors to tap into
- Partnerships and relationships that will help facilitate investment and doing business are already in place with business, government and labour.
- A large range of institutions will provide investor support. (See page 4)
- International support from the International CleanTech Network, with strong connections to clean technology clusters across the globe.
- A One-Stop-Shop (OSS) for wide-ranging investor support
- The ASEZ team can assist with information, and facilitate access to permits, licenses, planning and development approvals, incentives and finance.
- Incentives for investors and tenants
- The ASEZ, City of Cape and the national government offer a range of attractive incentives for investors and tenants.
- Attractive, wide-ranging skills base to recruit from
- The City of Cape Town and the Western Cape province offer a large range of unskilled, semi-skilled, technical and professional candidates.
- A skills development drive is underway in Atlantis through partnerships with youth organisations, local TVET colleges and high schools.