The Shared Economic Infrastructure Facility

posted in: Business Grants | 0

Shared Economic Infrastructure Facility The Shared Economic Infrastructure Facility by the Department of Small Business Development (DSBD) intends to leverage public sector investment that would provide necessary infrastructure by creating an enabling environment for businesses to crowd in investment, mostly in townships, rural areas, and the inner city, where there is clear business activity taking place.

The objective is to encourage public sector partnerships for the establishment and improvement of businesses with an intention to support access, create local economic benefits, and optimise the performance of businesses operating in those facilities.

The Shared Economic Infrastructure Facility is a 50:50 cost-sharing grant made available on a reimbursable basis, where the DTI contributes 50 % towards qualifying infrastructure projects upon completion of agreed project milestones.

The DTI’s contribution is capped at a maximum of R5 million (VAT inclusive) per qualifying applicant.

Qualifying Infrastructure Costs under the Shared Economic Infrastructure Facility

Shared facility infrastructure refers to the structural foundations, upgrading, and maintenance of a multi-purpose facility to be shared by the number of enterprises.

Qualifying shared infrastructure costs refer directly to the design, installation, construction, and erection of the infrastructure, and includes the following:

Shared Economic Infrastructure Facility

  • Warehouse / storage facilities;
  • Lighting, water (including irrigation for farming), and ablution (including plumbing works);
  • Parking, paving (entry and internal roads), and fencing (including walls);
  • Shelter / stalls for trading area of vendors;
  • Cold storage for common use;
  • Common use tools, equipment, and machinery;
  • Administration and information centre;
  • Exhibition spaces;
  • Child care facility for vendors; and
  • Business infrastructure (e.g. industrial facilities).

The eligible applicant must be:

  • A municipality of the Republic of South Africa;
  • A municipal entity as defined in Section 1 of the Local Government Municipal Systems Act, 2000; or
  • A provincial government entity.

Shared Economic Infrastructure Facility The provincial government can contribute towards the shared economic infrastructure project, but cannot be an applicant under this programme.

Contact us for more information on how you can access the Shared Economic Infrastructure Facility incentive.