Finance and Economic Opportunities
- Whether she can provide an overview of the agreements between Wesgro and municipalities in the province;
(2) (a) what is the comprehensive breakdown of these agreements by municipality and (b) can the copies of these agreements be made available;
- (a) what is the information regarding the annual payments made by each municipal-ity to Wesgro in (i) 2019, (ii) 2020, (iii) 2021, (iv) 2022 and (v) 2023 to date and (b)(i) what is the purpose of these payments and (ii) what is the value derived from these payments by municipalities;
- what are the details of the agreements that Wesgro has successfully secured for each municipality in the province in the same period as in (3) above?
I am informed of the following:
Wesgro concluded agreements with 10 municipalities in the Western Cape between 2019 and 2023, in alignment with their mandate of investment, trade and tourism promotion. Types of agreements entered into included service level agreements (SLAs), participation agreements, and Memoranda of Understanding (MOUs). The term of all agreements has ended, apart from those with the City of Cape Town and the Garden Route.
Please see the below tables and Annexure:
TABLE 1: Agreements with Wesgro | Knysna | George | Garden Route | Cape Winelands | Overstrand | Overberg | Drakenstein | Matzikama | CoCT | Saldanha Bay | Other Municipalities |
FY 2019 | ü | ü | ü | ü | - | - | ü | ü | ü | ü | ü |
FY 2020 | ü | ü | - | ü | - | - | - | - | ü | - | ü |
FY 2021 | ü | ü | - | - | - | - | - | - | ü | - | ü |
FY 2022 | ü | ü | ü | - | - | - | - | - | ü | - | ü |
FY 2023 | - | - | ü | ü | ü | ü | - | - | ü | - | ü |
TABLE 2: Summary of Agreement content with Wesgro | Knysna | George | Garden Route | Cape Winelands | Overstrand | Overberg | Drakenstein | Matzikama | CoCT | Saldanha Bay | Other Municipalities |
FY 2019 | 7 people, Visitor Centre, vehicles, marketing, Brand & Marketing strategy for domestic & international. Stakeholder engagement, signage, collateral, membership services strategy, tourism research, visitor information centre, tourism strategy | Invest George Prospectus. Promotion of George - adhoc inward and outward missions (refunded Jan 2023) | Participation agreement Indaba | Participation agreement Indaba |
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| Educate government on full value chain of film & media sector. Promote the region's unique selling points | Primary agriculture investment promotion. | Multiple pre-agreed projects in Green Economy, Tech, Cruise CT, CT Air Access, Investment, Export Advancement, Business Events, Cape Health Tech | Export Advancement & Film and Media Promotion | Invoices issued to municipalities to recover costs for shared stands and exhibition space. Individual invoices available on request. |
FY 2020 |
| 15 WTM Africa SLA. Indaba SLA |
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FY 2021 |
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FY 2022 | Meetings Africa & Indaba - participation on the Wesgro stand | Tourism Educational completed. Ongoing municipal promotion. |
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FY 2023 | No agreement | No agreement | Meetings Africa, WTM Africa & Indaba SLA | Participation agreement Indaba | Participation agreement WTM Africa |
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TABLE 3: Annual payments made by each municipality to Wesgro | Knysna | George | Garden Route | Cape Winelands | Overstrand | Overberg | Drakenstein | Matzikama | CoCT | Saldanha Bay | Other Municipalities |
FY 2019 | R4 million | R1.986 million | R21.5k | R21.5k |
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| R175k | R687k | R17.5 million | R500k | R85k |
FY 2020 | R4.4 million |
| R150k + R200k |
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| R25 million |
| R95k | |
FY 2021 | R4.8 million |
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| R10 million |
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FY 2022 | R30k + R31 500. Refunded R549k | R500k (R280k remaining) |
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| R11 million |
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FY 2023 | No agreement | No agreement | Non financial agreement together with tourism associations. MOU | R250k + R96.6k | R31,5k | R35k |
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| R26 million |
| R317k |
TABLE 4: Agreements that Wesgro has successfully secured for each municipality | Knysna | George | Garden Route | Cape Winelands | Overstrand | Overberg | Drakenstein | Matzikama | CoCT | Saldanha Bay | Other Municipalities |
FY 2019 | Output delivered as required. | Output delivered as far as possible. Municipality refunded for the outstanding work. | Output delivered as per agreement | Output delivered as per agreement |
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| Work completed | Project paused due to delays from Public Works Land use approval | Output delivered as per agreement | Output delivered as per agreement | Invoices raised for services provided. |
FY 2020 |
| Output delivered as per agreement |
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FY 2021 |
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FY 2022 | Output deliverd as per agreement | Output deliverd as per agreement |
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FY 2023 | No agreement | No agreement | Non-financial | Output delivered as per agreement | Output delivered as per agreement | Output delivered as per agreement |
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FY 2023 | Annexure Disaggregated performance per district and metro | ||||||||||
