Africa-Press – South-Africa. Gauteng MEC for roads and transport Kedibone Diale-Tlabela has launched an initiative aimed at boosting township-based automotive businesses by integrating them into government’s fleet maintenance supply chain.
The merchant development programme, launched in Krugersdorp on Thursday, is spearheaded by G-Fleet Management in partnership with the Automotive Industry Development Centre (AIDC) and WesBank.
The programme aims to address the barriers township automotive entrepreneurs face in accessing government contracts and growing sustainable businesses.
“This is not only another project, it is a bold and deliberate step towards realising the Gauteng government’s commitment to inclusive economic growth,” Diale-Tlabela said at the launch.
The programme offers skills development, training, onboarding, accreditation and access to a broader support ecosystem, enabling merchants to become compliant and competitive service providers. It also aligns with premier Panyaza Lesufi’s call for 60% of the provincial budget to be spent within townships.
According to the MEC, township spending by G-Fleet Management’s fleet maintenance unit rose from 7% to 10% by October 2024, with a target of 30% set for the end of 2025.
“Each rand invested in township merchants contributes directly to job creation and community development. This programme is about more than numbers, it is about impact, dignity and participation,” Diale-Tlabela said.
AIDC CEO Andile Africa said the Chamdor automotive hub would serve as a base for supporting merchants through infrastructure, training and industry compliance support.
“The merchant development programme is more than repairing vehicles, it’s about repairing the structural inequalities of the past and creating real opportunities.” said Africa.
WesBank’s national contract manager for fleet services Marcellus Mbanda said the initiative complements the RT46 transversal contract which manages government vehicle procurement, maintenance and disposal.
“Since 2021, township merchants have received more than R37m in repair work through the initiative,” said Mbanda.
He said 243 merchants operating outside the Chamdor hub are benefiting from the programme, which focuses on servicing townships, informal settlements, and hostels.
The initiative is seen as a practical step towards building township economies by empowering small businesses to participate in government procurement and fleet maintenance.
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