Question NW1336 to the Minister of Public Works

Reply:

(a) and (b) Yes,

Overview Progress Report on the Implementation of the 1997 and 1999 Public Works White Papers can be summarised as follows:

Construction Sector

Since the adoption of the 1997 and 1999 Public Works White Papers respectively the Department of Public Works (DPW) led a process that culminated in the Construction Industry Development Board (CIDB) and the Council for the Built Environment (CBE) Acts of Parliament, as well as the Construction Sector Charter and Codes. The Department is currently in the process of reviewing the cited Acts.

The Emerging Contractor Development Programme is a key intervention that has been implemented. This has enabled participation of black owned small and medium enterprises in the construction sector. However, there is still room for improvement to deepen transformation in the sector. Opportunities availed to these enterprises through set-asides have afforded these business entities opportunities to gain skills and knowledge, as well as expand their asset-base.

Property Sector

The State has been beset with a number of intertwined challenges in respect of the management and administration of its immovable property portfolio. To provide a uniform framework and ensure coordination in the management of immovable assets the Government Immovable Assets Management Act, 2007 (GIAMA) [Act No. 19 of 2007] was enacted. The process of institutionalisation of the Act started immediately thereafter and continuous monitoring is being undertaken.

In an endeavour to enhance implementation of GIAMA, the Department of Public Works embarked on a programme to produce a complete and Generally Recognised Accounting Practice (GRAP) compliant Immovable Asset Register (IAR). The IAR enhancement programme was successfully completed in the 2015/16 financial year.

The IAR is a critical mechanism that enables the State to have accurate, up-to-date and comprehensive information on its immovable assets.

One of the challenges identified through the operational Policy Framework was the lack of a pre-eminent property and facilities management hub for the State. In September 2014 Cabinet approved the establishment of the Property Management Trading Entity (PMTE). The Entity is primarily charged with the management of State properties. We are currently in the process of operationalizing the PMTE.

Public Employment/Works Programmes

The Expanded Public Works Programme (EPWP) is in its third phase, having been formally launched in 2004. The EPWP Strategy and EPWP Guidelines for implementation have been developed to give direction towards the implementation of the intervention.

Central to the implementation of the EPWP is the application of labour intensive methods, which have resulted in massive job creation, skilling and community asset building. Major social infrastructure assets include police stations, schools, community halls, courts and internal access roads, amongst others. The StatsSA 2015 Quarterly Household Survey confirmed that the EPWP has had a significant impact in addressing the challenge of hunger as a result of poverty for thousands of households. The EPWP has been a safety net for many who struggle to find employment in the mainstream economy. Moreover, to an extent, the EPWP has contributed to reducing socio-economic inequalities and has had a positive effect on social cohesion.

Deracialisation and Radical Transformation in the Construction Sector

The Department of Public Works provides leadership in facilitating the transformation of the built environment (BE). The enactment of the Council for the Built Environment Act, 2000 [Act No. 43 of 2000] and the Acts related to the 6 Built Environment Professions Councils (BEPCs) attests to the efforts towards the transformation of the BE sector. The BEPC talk to the following disciplines:

• Architecture;
• Landscape Architecture;
• Quantity Surveying;
• Engineering;
• Construction project management; and
• Property Valuers.

Though challenges still exist, a lot of groundwork has been covered leading to a steady throughput of BE professionals from designated groups.

To foster inclusivity and broad participation in the property sector, particularly with respect to State-owned immovable assets, the Property Management Empowerment Policy was developed and approved in January 2018 and subsequently became operational.

The Property Sector Charter and Codes were developed to facilitate transformation in the Property sector. The amended Codes were approved by the Department of Trade and Industry (DTI) in June 2017.

The Construction Sector Transformation Charter provides the basis for the development of the Construction Sector Code as it reflects the commitment of various parties to actively promote a vibrant, transformed and competitive construction sector. The Construction Sector Charter and Codes have recently (December 2017) been approved by the DTI.

All the efforts alluded above demonstrate that the Department of Public Works is committed to creating an enabling environment for reconstruction, growth and development in the Property and Construction Sectors.

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