By Roux Van Zyl
Finance Reporter

Economic Development Guru Kevin Wakeford has re-emerged in the Premier’s Office following his resignation as the head of the Eastern Cape Development Corporation last year.
It emerged this week that he, in fact, had quietly been advising Premier Nosimo Balindlela on the province’s economic policy since April last year.
Wakeford’s advisory role has already seen him guide the establishment of an Eastern Cape Accelerated and Shared Growth Initiative of SA (Asgisa) Pty Ltd that will roll out two mega-projects.
The first is the R28 billion Umzimvubu Basin Water Management project and the second will include beefing up the province’s forestry and timber industry. Both are situated in the eastern half of the province.
Speaking about his advisory role from a beachfront restaurant yesterday, Wakeford said the two projects had the potential to turn the Mthatha region into the province’s third capital.
“The dam is not only about strengthening water security and electricity supply in the province and nationally, but about attracting infrastructure to the area, like roads, electricity and services.”
Umzimvubu will be linked with an irrigation scheme covering a large section of the former Transkei, which will be used for grain production in the summer and canola for bio-fuel production in winter.
Timber projects in that region will be expanded with another 100 000 hectares within the next 10 years. “We are looking at 300 000 jobs over the two projects. The principle of Asgisa is to involve the second economy and agriculture as the biggest platform for job creation in the province.
“Not only will crops be grown, but we’re looking into processing plants and agriculture research and development.”
Wakeford said the Eastern Cape had generally been marginalized and after 1994 a decision was made to ramp up its infrastructure. Up to 2004 projects like Coega and the Industrial Development Zones in Port Elizabeth and East London respectively were initiated and the country has been forging economic ties with China and India, he said.
“Johannesburg is not the place to be anymore for companies that are exporting – transport to the ports is too costly, so to say, and the trend of unequal development is reversing.
“The Eastern Cape is now in a state of infrastructure readiness within a globally active economy, and has become a natural catchment area for industrial migration.” He said.
Compared with the western regions, which had infrastructure but limited resources, the province had natural advantages, like good soil rainfall and climate, he said.
“Especially in the former Transkei. There are so many resources, but that is where the main poverty is. We now have to create a catalyst to draw people living there into the first economy.”
The main challenge, said Wakeford, is negotiating the use of communal land and injecting the new vision into communities.