Provincial Local Economic Development Support Programme
Events and Press Releases

Annual Work Programme for Grants 2009

Posted: 27 April 2009 | Source: FCU

ANNUAL WORK PROGRAMME FOR GRANTS
of the Eastern Cape Provincial Treasury
(Thina Sinako Provincial LED Support Programme)

Republic of South Africa

  1. Basic act and Financing source

    Regulation EC No.1726/2000 of the European Parliament and the Council of 29 June 2000 on Development Cooperation with South Africa.

    Financing Source: Budget Line B2004-21.031700 EPRD South Africa

    Financing Agreement: SA/21.031700-04-06 signed on 27/12/2004
  2. Objectives of the programme, priorities for the year 2009 and expected results

    The overall objective of the LED Programme in the Eastern Cape is a significant reduction in the number of households living below the poverty line. This will be achieved through supporting activities undertaken by:

    • Municipalities and municipal or provincial government entities, either separately, in partnership with each other or in partnership with a range of other listed institutions, such as non-profit organisations, focused on the creation and development of a business-friendly environment through: clarifying the legislative and regulatory requirements for LED, strengthening local government planning and institutional practice, stimulating a cluster and partnership approach to LED and enhancing developmental use of the funding available to local government (project: Local Government Support Fund – LGSF);
    • local partnership groups, which may involve public-private partnerships, to identify and capitalise upon existing market opportunities resulting in new investments, job creation and contributing to local economic development (project: Local Competitiveness Fund – LCF);
    • financial or other institutions to improve access to finance, with priority given to the development/implementation of loan finance/savings products, rendering of financial advice/ planning to low and middle income earners as well as giving technical assistance to burial societies and stokvels in rural areas (project Financial Innovation Fund – FIF).
  3. Eligibility conditions

    LGSF

    The following entities are eligible to apply: district and local municipalities, and provincial government and municipal entities, as defined in the Public Finance Management Act and Municipal Finance Management Act, from the Eastern Cape. Also eligible are legally recognised houses of traditional leaders, Section 21 companies, non-profit organisations, charitable trusts and institutions of higher learning, provided that these partner with a district or local municipality, municipal entity or member organization of municipalities or municipal entities. Partners must be nationals of a Member State of the European Union, South Africa or any ACP state (according to art. 7.76 of regulation No. 1726/ of 29/6/2000.

    The proposed action must be aligned, in a broader sense, with at least on one of the following sets of priority actions, as defined differentially for projects led by a district municipality or a local municipality:

    District Municipality

    • Provision of a spatial development framework for constituent municipalities and other sectors to locate themselves in the regional economy.
    • Provision of municipal support to constituent local municipalities in the area of integration and coordination of district development strategies and plans.
    • Provision of shared LED support services to constituent local municipalities.
    • Provision of the necessary infrastructure for productive development and manufacturing.
    • Facilitation of movement of information, people and products between district municipalities and within the district municipality.
    • Determination and promotion of appropriate development nodes and corridors.
    • Support for the implementation of rural development initiatives.
    • Promotion of appropriate economic integration sectors and zones.
    • Promotion of regional comparative and competitive advantage.
    • Development of social and institutional human capital.
    • Infrastructure supporting water reticulation and extension of electrical grid.
    • Provision of operational equipment necessary for the establishment of a development agency.
           Local Muncipality