Question NW2557 to the Minister of Human Settlements

Reply:

Admittedly, the Provincial Departments of Human Settlements have been, and some are still experiencing numerous delivery challenges including spending the Human Settlements Grants fully, however, there are various interventions to improve and stabilise the performance of these Provinces.

The Department has taken the following key steps to improve performance:

• Planning
  • More emphasizes has been placed on the business planning processes.
  • For the financial year under review, the approval of the business plans was done after the financial year had begun due to vigorous processes that were done and various consultations with the provinces including MINMEC.
  • Before the approval of the plans and the transfer of grants, Provinces were requested to submit and sign-off that projects included in their business plans were ready for implementation.
  • Included and as part of the business plans submitted by Provinces were the Projects Readiness Matrix and the Procurement Plans.

• Monitoring and Mitigating on Provinces Performance
  • Provinces are monitored in line with the Division of Revenue Act (DoRA) provisions to report and account monthly and quarterly on their financial and non-financial performance against their annual allocations. This performance is continuously monitored and analyzed,
  • There are quarterly contact sessions that are held with Provinces to discuss the performance and the projects under implementation.
  • Different Forums, including MinMEC, which is a forum chaired by the Minister are held regularly to discuss the performance and to share ideas on how to improve performance by learning from others (Provinces and Metro Municipalities).
  • The Department has appointed Engineers (additional to the establishment) as Project Managers to support project level monitoring.
  • Specialists have been seconded to Provinces and Metros with performance challenges for specialized interventions, and this includes Free State and Mangaung.
  • War Rooms and Task Teams have also been appointed for immediate identification of emerging problems, stakeholder consultation and mitigations across all government levels and identified communities.
  • The Department has appointed a panel of 120 specialists in the built environment- This Panel is in the Department’s database. Services will be sourced from the panel as and when the need arises.
  • By the 5th month of the financial year, Provinces with observed poor performance are advised to submit their Recovery Plans, which are interrogated through intensive consultations with affected Provinces to confirm if these mitigation plans will indeed positively turn around and improve poor performance.
  • One-on-one attention is given to Provinces that need intervention.

• On Policy Changes
  • The subsidy quantum was also increased by 29.7% for the 2023/24 financial year, mainly to address the increasing building costs. The adjustment seeks to ensure that contractors accelerate the delivery pace, that contractors do not abandon commenced projects due to unaffordable building costs; and to ensure that the quality of houses handed over to beneficiaries do not deteriorate.