The East London Industrial Development Zone SOC Ltd (ELIDZ), an entity of the Eastern Cape Department of Economic Development, Environmental Affairs and Tourism (DEDEAT), today unveiled a portfolio of digital economy infrastructure projects with a combined investment value exceeding R330 million, at the Eastern Cape Digital Economy Summit 2026, in line with the Province’s broader digital transformation agenda, led by the Office of the Premier.
The investments include a R76 million Tier III-aligned Data Centre funded by the Eastern Cape Provincial Government, a R65 million Business Process Outsourcing (BPO) and Shared Services facility supported by the Department of Trade, Industry and Competition (the dtic), and R181 million in broadband and undersea cable enablement driven through private sector investment. This is complemented by a R2.8 million Digital Hub implemented by ELIDZ through a public-private partnership, and a R5 million Cisco EDGE Centre funded by private sector partners.
Collectively, these investments reflect a coordinated funding model across government and industry, establishing an integrated digital platform to support industry, attract investment, and expand economic participation.
Led by the Honourable Premier, the delegation comprising Members of the Executive Council including the MEC for DEDEAT, Ms Nonkqubela Pieters, senior officials, industry stakeholders, investors and the media visited key sites within the Zone to engage directly with infrastructure that is already operational and positioned for immediate utilisation.
These developments build on the ELIDZ’s evolution from a platform for export-led industrialisation into a globally recognised Eco-Industrial Park, and now into a more integrated, digitally enabled operating environment.
In his address, ELIDZ Chief Executive Officer, Mr Tembela Zweni, outlined the Zone’s transition into a Zone 4.0 operating model, where industrial capability and digital infrastructure function as a single, coordinated system.
He emphasised that the digital economy in the Eastern Cape is no longer conceptual. It is operational, investable, and focused on execution. While the Zone’s core mandate to reduce risk, remove barriers, and accelerate investment remains unchanged, competitiveness now depends on access to reliable data systems, connectivity, skills, and innovation capacity within an integrated platform.
Within this framework, Mr Zweni presented five flagship projects anchoring the Zone 4.0 model.
The Tier III-aligned Data Centre, developed at a cost of R76 million, serves as the digital backbone of the Zone. Designed to meet international standards, it delivers 99.982% uptime, operates on a carrier-neutral architecture, and has scalable capacity of up to 1MW across six data halls, aligned with ISO 27001, 27017 and 27018 standards. The facility enables secure, local hosting of government and enterprise systems, strengthens data sovereignty and supports data-driven industries. Government institutions, SOEs, and digital service providers are encouraged to localise and host systems within this facility.
The Digital Hub, supported by R2.8 million, is focused on innovation, incubation, and SMME development within the Science and Technology Park. It provides prototyping, testing, and commercialisation pathways, linking emerging enterprises to market opportunities. Public sector and industry stakeholders are encouraged to utilise the Hub for solution development and collaboration with SMMEs.
The 800-seat BPO and Shared Services facility, backed by R65 million, is designed for global service delivery and integrated with the Zone’s digital infrastructure. It is expected to generate approximately 2,400 direct
jobs through multi-shift operations, providing structured employment pathways for graduates and young professionals.
Operators, government, and enterprises are invited to establish and scale service operations within the facility.
The R181 million broadband and undersea cable enablement initiative strengthens connectivity through increased bandwidth, reduced latency, and resilient infrastructure. It enables direct integration into global digital networks, supporting high-performance operations across sectors. Telecommunications providers and infrastructure partners are encouraged to collaborate in expanding connectivity and network capacity.
The Cisco EDGE Centre, representing R5 million in private sector investment, focuses on building industry-aligned digital skills in areas such as networking, cybersecurity, and cloud computing. It supports workforce readiness, innovation and entrepreneurship. Public and private sector stakeholders are encouraged to leverage this platform to develop talent pipelines aligned to industry demand.
Mr Zweni noted that the full value of these investments lies in their integration, linking infrastructure, connectivity, skills, and innovation into a single operating environment that reduces fragmentation and accelerates implementation. He called on investors, operators, government institutions, and technology partners to move from interest to action to locate, deploy, partner, and scale within the ELIDZ ecosystem.
The Honourable Premier, in his reflections, situated these developments within the province’s broader economic recovery. He highlighted the COVID-19 period as a turning point that reinforced the importance of digital infrastructure in sustaining government operations, supporting business continuity, and ensuring access to services.
This context informed the allocation of R76 million through the Provincial Stimulus Fund for the development of the Data Centre, now operational within the Zone. The Premier welcomed the CEO’s
announcement of the Zone 4.0 platform, noting its significance in strengthening the Eastern Cape’s position in the global digital economy.
He emphasised the importance of translating these investments into tangible socio-economic outcomes, particularly in relation to job creation, skills development, and support for SMMEs. The BPO facility, Digital Hub, and EDGE Centre were highlighted as key mechanisms for expanding participation, creating employment, and building a future-ready workforce.
These initiatives align with the province’s strategic focus on digital transformation as a key growth frontier, alongside manufacturing, agriculture, tourism, and the ocean economy, while also enhancing competitiveness across sectors.
By linking infrastructure with skills and enterprise support, the approach is intended to expand access to opportunities and support inclusive participation, including in rural and township economies.
With these assets now in place, the next phase will focus on utilisation and partnerships. Stakeholders across government, industry, and the private sector are encouraged to leverage the platform to support operations, drive investment, and scale economic activity.
The developments presented at the Summit reflect a clear progression towards integrated capability, reinforcing a focus on execution, coordination, and measurable impact.
MEDIA ENQUIRIES
Mr. Siphosethu Tikana
Acting Manager: Marketing & Corporate Communications
East London Industrial Development Zone (ELIDZ)
Contact Details: siphosethuti@elidz.co.za |064 900 8392
Mr. Ncedo Lisani
Head of Communication
Eastern Cape Economic Development, Environmental Affairs and Tourism (DEDEAT)
Contact Details: ncedo.lisani@dedea.gov.za|066 485 0501