The Vaal Special Economic Zone (SEZ) is set to significantly boost economic growth in Gauteng's Sedibeng district and South Africa at large, capitalising on its strategic location and sec tora l d iversit y.According to Xola Sithole, CEO of the Vaal SEZ, the goal is to attract both domestic and foreign investment, aiming to transform the southern corridor into a vibrant industrial hub. “We have adopted a multi-sectoral, multi-site approach that not only drives local growth but also positions Gauteng as a pivotal player in the national and global economy,” he told Freight News.The SEZ is strategically positioning itself in the burgeoning hydrogen economy, signalling its commitment to sustainable energy. This initiative not only places it at the forefront of green energy but also promises substantial economic growth and job creation for the local community.“Our objective is to excel in sustainable energy solutions and establish the region as a leader in the green energy revolution,” Sithole said, emphasising that the Vaal SEZ site in Rietspruit, Emfuleni, would house a Hydrogen Innovation Hub currently in conceptualisation. This hub will feature research and development facilities, essential production and storage infrastructure, training centres, and testing and certification laboratories.The Vaal SEZ is also focused on expanding into agriculture, manufacturing, logistics and tourism. Sithole emphasised that as the newest SEZ in Gauteng, development and investment were ongoing.Officially launched in November last year, it has already secured commitment from Mitochondria Energy to invest at least R4.3 billion, as well as a pledge of R1.4bn from Citibank.Securing adequate funding for large-scale projects and attracting sustained investment in a competitive environment, however, remains challenging. “Navigating complex regulatory requirements and ensuring compliance while facilitating ease of business for investors can also be difficult,” Sithole acknowledged.But he said SEZs were growing and with it investment. “This rise can be attributed to the fact that SEZs offered strategically located sites with developed infrastructure and accessibility. SEZs also offered attractive incentives and dedicated support for investors to simplify the investment process. “We target high-growth sectors, aligning with global economic trends and sustainability goals. Effective collaboration between government bodies, the private sector, and international partners further boosts investor confidence.”His outlook for the Vaal region remains extremely positive. “We are committed to creating a thriving economic environment that benefits all stakeholders. By focusing on sustainability, innovation and collaboration, we are not only contributing to the economic growth of Gauteng but also setting a benchmark for other regions. Our integrated development model and stakeholder engagement ensure that we address the diverse needs of our communities and investors, paving the way for a prosperous and inclusive future,” said Sithole.Furthermore, the Vaal SEZ benefitted from a coordinated strategic approach with other SEZs in the province, while maintaining individual strengths. “The collaborative efforts among SEZs ensure that we share best practices, align our goals with provincial initiatives, and collectively address challenges. Each SEZ leverages its unique advantages and sectoral focus, contributing to a diversified and resilient provincial economy,” he said.“This approach fosters healthy competition and synergy, driving collective success across the region. We also work closely with intergovernmental structures that are driven by the Gauteng Provincial Government’s Department of Economic Development through their focus on the execution of a District Development Model.”
