ECONOMIC DEVELOPMENT
OPPORTUNITIES IN THE REIPPP PROCESS
PRESENTED BY JANINE ESPIN
ECONOMIC DEVELOPMENT SOLUTIONS (PTY) LTD ©
FEBRUARY 2016
Presentation Content
1. Intro to Economic Development Solutions (Pty) Ltd (“EDS”)
2. EDS Service Offerings
3. Economic Development Scorecard
4. Important Definitions
5. Evidence Required
6. Identified Opportunities
7. Contacts
8. Q & A
Intro to EDS
• The company was founded in 2012 and at
the time we were 100% Black Women
Owned.
• In 2013 we allocated 20% equity to a new
shareholder, however we remain 100%
Black owned and now 80% BWO.
• We work mainly in the REIPPP and Mining
Sectors, with a small % of our clients being
International Corporate entities.
• We have a staff compliment of 15, this
includes project-based staff, with the
intention of appointing another 3 staff
members for Mpumalanga and the Northern
Cape projects once FC has been reached.
What we do
WHAT IS ECONOMIC DEVELOPMENT?
In broad terms, economic development involves the development of human capital,
increasing the literacy ratio, improving important infrastructure, improvement of health
and safety and other initiatives which aims to improve the general welfare of citizens.
– EDS views economic development as a holistic approach to transformation and uses all the
elements of BBBEE together with the Employment Equity Act and Skills Development Act to
provide the legislative context. In addition, the creation of job opportunities, the development
of a skilled workforce and the establishment of a local supply chain (localization), all feed into
the successful implementation of economic development within South Africa.
– Our passion is to enable transformation across all levels from the community to the
boardroom.
Our Core Service OfferingsServices to RE Project Companies
Bid Submission Management Services
•ED Compliance assessment
•Bid Returnables write-ups (ED only)
•Community & Stakeholder Engagement
•Community Ownership Facilitation and entity registration
•Community Assessment Report
• EPC evaluation and assessment services
•Risk assessments
•Ownership and Project Structure strategy
FC, Construction and O & M Services
•ED Compliance Management (including Main Contractors)
•Quarterly Reporting
•SED and Enterprise Development Programme Development and Implementation Management
•Community & Stakeholder Engagement
•Contract negotiations and finalisation of ED commitments (realistic targets)
•DoE communications and change requests
•Risk Assessments
•Monitoring and Evaluation services
Services to RE EPC Contractors
Pre-Bid Submission Services
•Facilitation of realistic ED targets
•Local Content Planning
•Preferential Procurement Planning
•Local Community Job Creation Planning
•Community Engagement
•Community-based assessments of skills levels and other related stats
•Risk assessment
•Ownership strategy
FC, Construction and O & M Services
•ED Commitments Monitoring (including at Sub-Contractor Level – EME / QSE & WO entities)•Quarterly reporting
•Community & Stakeholder Engagement
•Facilitation Of Local Community Job Creation Opportunities
•Monitoring of Labour and Employment practices
•Risk assessment
Economic Development Scorecard• All IPP entities have to comply with the following –
No.: ED Element: Measurement:
1 Job Creation Must commit to employing a % of Citizens, Black Citizens, Skilled
Citizens, Skilled Black Citizens and Citizens from the Local
Communities (50km radius);
2 Local Content Must commit to procuring a % (+/- 40%) of goods and services from
RSA companies during the construction phase;
3 Ownership Shareholding by Black People in the Project Company, EPC, O&M
contractor (adjusted for Gender);
4 Management
Control
Responsible for the day to day operations of the project (adjusted for
Race and Gender) ;
5 Preferential
Procurement
Commitments to be made for procurement from BBBEE compliant
entities (with a BBBEE certificate), EME’s, QSE’s and Women Owned
Enterprises;
6 Enterprise
Development
Commitments to be made for the development of sustainable
enterprises within the local communities; and
7 Socio-Economic
Development
Commitments to be made for the development of programmes which will
support the socio-economic improvement within the identified local
communities.
Identified business
opportunities for women
Additional Info
Important Definitions -
• Black People refers to Africans,
Coloureds and Indians, limited to those who
are Citizens
• Citizens (taken out of the RFP BW4)
means people who have obtained
citizenship of the Republic of South African
by birth, descent or naturalization in terms
of the South African Citizen act, Act No 88
of 1995 – BBBEE Act states before the 27th
April 1994
Evidence Required -
Company Registration docs
Share Certificates
ID’s of Shareholders
BBBEE certificate or EME Affidavit
Copies of Invoices
Timesheets
Copies of Contracts
Supplier proof of ownership
Proof of operational address
Identified Opportunities
The REIPP programme has a specific requirement (within the ED element) which
specifies that project companies must procure goods and services from EME / QSE /
Women Owned entities. This requirement flows through to the contractor and sub-
contractor levels. This means that there are opportunities in this sector for women
owned enterprises beyond – accommodation, travel and catering services, i.e.
construction, logistics, steel fabrication, etc.
EDS has projects in many rural areas throughout South Africa. Within these projects
there is often outsourced work which can be done by a local enterprise, however our
procurement has to take the following criteria into account –1) Local
2) Women and / or Youth owned
3) BBBEE compliant entities
4) Registered
5) Be able to do the work
6) Create opportunities for employment (if possible / defined by scope of work)
Contacts & Thanks
011 – 447 4683
www.ed-solutions.co.za
[emailprotected]
