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Enhancing Fuel Cell Manufacturing through Special Economic Zones: A Strategic Approach

This paper explores the role of Special Economic Zones (SEZs) in enhancing the localization of fuel cell manufacturing capabilities in South Africa. It highlights a new policy approach emphasizing desired industrial capabilities, long-term planning, and comprehensive support systems beyond just infrastructure. The focus shifts toward host regions, ensuring tailored development strategies that cater to diverse local contexts. Key opportunities and challenges for establishing value chains, while addressing the need for coordination among government spheres, are critically analyzed to promote effective implementation.

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Enhancing Fuel Cell Manufacturing through Special Economic Zones: A Strategic Approach

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  1. SPECIAL ECONOMIC ZONES: Their Design on Enhancing Localisation of Fuel Cells Manufacturing Capability Alfred Tau

  2. Background

  3. SEZs: What and Why?

  4. New Policy Approach New Policy Approach Value chains: Greater focus on desired industrial capabilities Support system: More than just world-class infrastructure Regions: Greater focus on host regions and not just fenced area Planning: Long-term, coordinated and comprehensive Finance: Long-term and supported by a competitive incentive package Design: Broad to cater for diverse regional needs and contexts

  5. SEZ Incentive: Selected

  6. Platinum Selected Potential Clusters

  7. Fuel Cells and SEZ Planning • Opportunity: What is the nature of the opportunity for SA? • Which value chains • Strategy and tactics: What is the most effective way to enter chosen value chains? • Policy • Critical support measures • Regions: Can SA afford 2 Platinum Hubs now? • Which value chain in what region

  8. Challenges for SEZ Programme • Very easy to forget the core focus and drift into administrative requirements • Incentives: what is our exit strategy • Capacity constraints • Coordination: Joint planning and implementation across and within spheres of government and agencies

  9. Thank You! 10

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