Question NW1178 to the Minister of Public Works and Infrastructure

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21 July 2020 - NW1178

Profile picture: Gondwe, Dr M

Gondwe, Dr M to ask the Minister of Public Works and Infrastructure

What measures has her department put in place to ensure the continued viability of the Independent Development Trust (IDT) given the operational and financial challenges faced by the IDT over the past few years?


The Minister of Public Works and Infrastructure:

On 17 February 2020 the then Chairperson of the Interim Board of Trustees wrote to the Minister of Public Works and Infrastructure and the Deputy Minister and presented on behalf of the interim board and management of the IDT the Ministry with two options: recapitalisation of the IDT or initiation of the process of dissolving the Trust.

Since 2012 the Department of Public Works and Infrastructure (DPWI) has provided financial support, which was intended to assist the IDT to be financially sustainable, of

over R550 million. This included R10.5million in the current 2020/21 financial year. This has not improve the financial sustainability.

The current challenges, such as client confidence, client stability, incorrect staff mix and the trend of high staff turnover have negatively affected the IDT resulting in the decline of its programme portfolio.

Based on the options presented to the Ministry by IDT management and the interim board, I appointed a task team on 23 April 2020 to consider an exit strategy for the IDT. The multi-disciplinary Independent Development Trust Exit Strategy Task Team (IESTT) has been working very closely with the IDT Executive Management team. The team comprises the IDT Acting CEO, the technical person from Presidential Infrastructure Coordinating Commission, as well as the Department’s senior managers in different disciplines, such as Finance, Corporate Services, Asset Management, Expanded Public Works Programme and Inter-Governmental Relations.

The Task Team has presented its draft implementation plan to the Ministry and the Director-General of DPWI on 12 June 2020. Since then the Task Team has met weekly with the Minister and Deputy Minister to finalise the exit strategy.

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