Civic culture and local economic development in a small town

Abstract

English: Although several cases of successful Local Economic Development (LED) programmes and initiatives addressing poverty and inequity are present in South Africa, there are still a number of challenges to overcome. Firstly, the definition of LED varies, however the essence of LED is local partnerships for locality planning – based on economic growth. Consequently, the analysis in this thesis uses the “L-E-P” model, combining elements of “Locality”, “Economic” and “Partnerships”. This model could be an answer for LED policy and practice to make use of all these elements. Secondly, LED strategies need to go beyond merely compiling LED documents. Municipalities need to engage with communities and the private sector in prioritising and designing appropriate strategies that unlock local potential. However, in South Africa partnerships have not always been central to LED planning. Furthermore, the soft factors of co-operation – trust and social capital -, which are considered essential for effective collaboration between state and non-state actors, should be constructed. Consequently, LED practitioners need to pay greater attention to social relationships and networks, which fundamentally mould local economies. Thirdly, academic research is only starting to incorporate social resources into economic development practice. Furthermore, only a few authors have taken the concept of civic culture into consideration when analysing LED. Local civic culture relates to how local problems are defined, how solutions are found, how the local economic problems can be solved, who is involved and how the decisions are made. International civic culture literature has been contextualised to classify civic culture in South African terms. If an understanding of the civic culture of an area is acknowledged, planning and development of this area can be simplified. Beaufort West is used as an example of a typical Karoo town to illustrate how the type of civic culture a community has, can influence local economic growth. Fourthly, there is a lack of research related to the establishment, growth and development of mining towns. Although numerous international mining companies have identified the Karoo surrounding Beaufort West for uranium extraction, planning documents of the Western Cape Provincial Growth and Development Strategy (PGDS) and also in the Integrated Development plans (IDPs) of the Central Karoo District Municipality and the Beaufort West Local Municipality do not make any suggestions for the economic “roller-coaster” ride ahead. The sustainability of mining (non-renewable resource) towns is not as important as are the economic developments of and the proactive planning (in partnerships) in these towns. Fifthly, business confidence helps explain the sentiments that business owners or managers have towards current and future business conditions. Several ways of measuring business confidence are compared. Business confidence is mostly surveyed at national level. A methodology for business confidence surveys at the local level is provided. This approach has been piloted in the town of Beaufort West in the Karoo area of South Africa. There are plans for a new uranium mine near Beaufort West, and the researcher speculates on its impact on the broader local business confidence. The results of the 2007 and 2009 study in terms of the opinions of business confidence in Beaufort West are compared. There are very few comparative studies in terms of all the above-mentioned factors. Therefore, the researcher proposes that these methodologies and models should be tested in other towns. This will then determine whether the results differ in other Karoo towns and from the rest of South Africa.

Afrikaans: Alhoewel daar reeds verskeie voorbeelde van suksesvolle plaaslike ekonomiese ontwikkeling (PEO) programme en inisiatiewe is, wat armoede en ongelykhede aanspreek in Suid-Afrika, is daar steeds ‘n aantal uitdagings wat nog oorkom moet word. Eerstens, is daar variasies in die definisie van PEO. Alhoewel die kern idee van PEO plaaslike vennootskappe vir liggings beplanning-gebasseer is op ekonomiese groei. Gevolglik, die analise in hierdie tesis gebruik die “P-E-V” model, ‘n kombinasie van die elemente “Plaaslik”, “Ekonomie” en “Vennootskap”. Hierdie model kan moontlik ‘n oplossing bied vir PEO beleid en toepassing om van al hierdie elemente gebruik te maak. Tweedens, PEO strategiee behoort verder te gaan as blootweg die opstel van PEO dokumente. Munisipaliteite moet nouliks skakel met gemeenskappe en die privaat sektor en so voorkeur gee aan ontwikkeling van toepaslike strategiee wat plaaslike potensiaal sal ontsluit. Alhoewel, in Suid-Afrika is vennootskappe nie altyd sentraal in PEO beplanning nie. Verder moet die sensitiewe faktore van samewerking – vertroue en sosiale kapitaal – wat ge-ag word as noodsaaklik vir effektiewe samewerking tussen staat en privaat sektor, opgebou word. Gevolglik moet PEO toepassers baie meer aandag skenk aan sosiale verhoudings en netwerke, wat op hul beurt fundamenteel is in die vorming van plaaslike gemeenskappe. Derdens begin akademies navorsing nou eers om sosiale hulpbronne in te sluit in ekonomiese ontwikkeling se toepassing. Verder het nog net ‘n klein groepie skrywers die konsep van burgelike kultuur in ag geneem by hul analisering van PEO. Plaaslike burgerlike kultuur verwys hoe plaaslike problem gedefinieer word, hoe oplossings gevind word, hoe plaaslike ekonomiese probleme opgelos word, wie is betrokke en hoe besluite geneem word. Internasionale burgerlike kultuur is in konteks gebruik om burgerlike kultuur te klassifiseer in Suid-Afrikaanse terme. Indien ‘n verstandhouding van die plaaslike kultuur van ‘n streek erken word, kan beplanning en ontwikkeling van hierdie streek vereenvoudig word. Beaufort Wes word gebruik as voorbeeld van ‘n tipiese Karoo-dorp, ten einde te verduidelik hoe die tipe burgerlike kultuur wat ‘n gemeenskap het, ‘n invloed op plaaslike ekonomiese groei. Vierdens is daar ‘n gebrek aan navorsing verwant aan die stigting, groei en ontwikkeling van ‘n myndorp. Alhoewel verskeie internasionale myn maatskappye reeds die Karoo rondom Beaufort Wes ge-identifiseer het vir Uraan ontgunning noem beplannings dokumente van die Wes-Kaap Provinsiale Groei en Ontwikkeling Strategiee (PGOS) en ook in die ge-integreerde ontwikkelings planne (GOP) van die Sentrale Karoo Distriks Munisipaliteit en Beaufort Wes Plaaslike Munisipaliteit, geensins die moontlike ekonomiese “wipwaentjie” wat voorlê nie. Die volhoubaarheid van myndorpe (nie-hernubare hulpbron) is nie so belangrik as die ekonomiese ontwikkeling van die pro-aktiewe beplanning (in vernootskappe) van hierdie dorpe nie. Vyfdens help besigheidsvertroue om die sentimente van besigheids-eienaars of bestuurders te verduidelik, teenoor huidige en toekomstige besigheids omstandighede. Verskeie maniere om besigheidsvertroue te meet, word vergelyk. Besigheidsvertroue word meestal gemeet op nasionale vlak. ‘n Metodologie vir besigheidsvertroue gemeet op plaaslike vlak is voorsien. Hierdie benadering is geloods in die dorp van Beaufort Wes in die Karoo-gebied van Suid- Afrika. Daar bestaan planne vir ‘n nuwe uraanmyn naby Beaufort Wes, en die navorser spekuleer op die impak daarvan op die brêer plaaslike besigheidsvertroue. Die uitslae van die 2007 en 2009 studie in terme van die opinies van besigheidsvertroue in Beaufort Wes word vergelyk. Daar is weinig vergelykbare studies in terme van die bogenoemde faktore. Op grond daarvan stel die navorser voor dat hierdie metodologie en modelle ook getoets word op ander dorpe. Dit sal dan beslis of die resultate in ander Karoo dorpe verskil en ook van die res van Suid-Afrika.