ATC230921: Report of the Portfolio Committee on Human Settlements on the City of Tshwane oversight, 21 September 2023.

Human Settlements

Report of the Portfolio Committee on Human Settlements on the City of Tshwane oversight, 21 September 2023.


The Portfolio Committee on Human Settlements (the Committee) embarked on a two-day oversight visit to the City of Tshwane (the City) from 6 to 7 July 2023. The Committee reports is as follows:


  1. Purpose of the Oversight Visit

The Committee has a duty to exercise oversight over the executive organ of state which falls under its portfolio. This is to ensure that that the executive fulfils its mandate and is always held accountable. To protect the environment and ensure the development of sustainable human settlements. Oversight visits enables the Committee to be better positioned to understand proposed programmes, projects, achieved targets, and challenges that hinder service delivery.


The objective of this visit was to hold a briefing session with the municipality, provincial and national departments as well as other stakeholders in relation to the utilisation of the Urban Settlements Development Grant (USDG), upgrading of Informal Settlements Partnership Grant (UISP), provision of serviced sites, and the plans to curb land invasions.


  1. Multi-Party Delegation

The following are the Multi-Party Delegates that were part of the oversight:

  • Ms. R. M Semenya, (ANC) (Chairperson of the Committee – leader of the delegation)
  • Ms N Sihlwayi, (ANC)
  • Mr C Malematja, (ANC)
  • Mr M P A Tseki, (ANC)
  • Dr N V Khumalo, (DA)
  • Mr L Mphithi, (DA) and
  • Ms M Makesini, (EEF)



  1. Support Staff

The following are Support Stuff that were part of the oversight:

  • Ms K Pasiya-Mndende, (Committee Secretary)
  •  Mr S Mnguni, (Content Advisor)
  • Mr T. Makhanye, (Committee Researcher) and
  • Ms N. Nevese, (Committee Assistant)


  1. Departments

The following are Departments that were part of the oversight visit:

  • The Gauteng Department of Human Settlements (the Provincial Department). 
  • The National Department of Human Settlements (the National Department).


  1. Briefing by the City

The Chairperson of the Committee introduced the Delegation and Support Staff. She then sought to know the reasons for the failure of the City to honour the invitation to appear in Parliament. She also invited the Executive Mayor, Councilor Brink, to welcome the Delegation. In his opening remarks, the Executive Mayor offered his apology for the failure to honour the Committee’s invitation. This was due to financial constraints which were compounded by the fact it receives the smallest share of tax. Occupation of private and public land was a persisting problem. Furthermore, people in need occupy land in hazardous places such as floodplains and wetlands, leading to difficult socioeconomic conditions. Despite political instability, the Municipal Council was able meet to adopt and pass its budget. The City acknowledged that Hammanskraal cholera outbreak was unfortunate. The City maintained that there was no scientific causal links that had been established with the state of the Rooiwal Treatment Plant and the outbreak. An amount of R450 million was allocated for upgrading of the Plant. The City adopted a holistic approach that entails a high-level partnership with the National Department.


The City indicated that a significant capital outlay was required for the infrastructure, but the foremost priority was the financial recovery to improve its credit rating for borrowing. Following the interaction with the Auditor–General of South Africa (AGSA), the City had to address the 2021 audit findings that, among others, included the breakdown of internal control systems. The City seized with Section 56 recruitment of top management as all the senior posts were vacant. At the time of the oversight visit, all vacant posts had been advertised. The City was committed to working with other spheres of government and ensuring the adoption of best practices. A funding plan was in place to prevent fiscal dumping. The City was also constantly monitoring projects milestones to ensure accountability.



The City presented the following: strategic overview; USDG and ISUP performance; capital expenditure performance of 31 May 2023; USDG and ISUPG financial performance; 2022/23 service delivery performance; transversal causes of poor spending of ISUPG and USDG and mitigation measures; USDG and ISUPG projects performance update; plans to address Rooiwaal wastewater treatment plant; water quality challenges in Hammanskraal; and plans to curb land invasions.


For the Provincial Department, the City’s under-performance on the Human Settlements Development Grant (HSDG) was attributed to three factors:

  • Contractors and Professional Resource Teams (PRTs) withdrawing from site because of insufficient subsidy quantum.
  • Poor performances of contractors which led to termination of contracts and scope reduction.
  • Disruption of projects by both communities and construction mafia.


3.1 Performance

In relation to the MTSF targets, the City reported the following performance:


3.1.1 HSDG

The Provincial Department reported to be implementing 14 HSDG projects in Tshwane during the 2023/24 Financial Year which included the following:

  • 576 planned housing units.
  • 274 planned internal services (with respect to water and sewer).
  • The HSDG Annual Budget was R113 747 790, 00.


3.1.2 ISUPG

The ISUPG budget for the 2023/24 Financial Year was only approved on 29 June 2023. The Provincial Department was in the process of transferring R83 million from the ISUPG to the City for the Pienaarspoort relocations project once the funding agreement was concluded.  Relocations to Pienaarspoort (Extension 15 and 16) was a Greenfields site for various informal settlements within the municipal area including Mamelodi flood victims, K54, and K69 Road Reserve informal settlements. The scope of the project for the 2023/24 Financial Year entailed site clearance, relocation of households, and the provision of rudimentary services. The ISUPG project budget was R83 million which was to be transferred by the Provincial Department to the City.



3.1.3 Blocked Projects

During the 2022/23 Financial Year, a total of 357 houses in Hammanskraal West Ext 1 (Phase 1 and 2), and Soshanguve (IA and NN) were completed and allocated to beneficiaries. Project profiles and progress of the projects were presented together with other projects earmarked for construction during that Financial Year. The Provincial Department indicated that the reasons for projects being blocked were due to contractors abandoning projects, outstanding title deeds, and outstanding township establishment.


On procurement policy, the City’s contention was that the new preferential procurement regulations may improve the supply chain management situation.  For the 2023/24 Financial Year, the City together with the Provincial Department were continuing with the unblocking of houses in the above-mentioned projects together with the assessment of five additional projects. It was also stated that the outcome of the assessment would inform budget requirements for the adjustment period and the number of houses to be completed. On the issue of interruption of projects by the business fora or construction mafia, the City contended that it was fair to negotiate with communities however, the problem was that construction companies were being forced to negotiate at gunpoint with various interest groups who interpret the 30% set aside to serve thier own interests.


The Winterveld Urban Renewal Programme was a rehabilitation or conversion of identified illegal dump sites on illegal dump sites. With regards to progress to date, it was indicated that a PRT was appointed in June 2023, and the City was in the process of finalising the requisite initiation report following site visits.


3.1.4 Plans to curb Land Invasions

The City presented a detailed report on land invasions and plans to curb the phenomenon. It was reported that land invasions were a result of in-migration and porous borders; urbanisation, huge rural hinterland; and inherited apartheid spatial planning which resulted in many people residing far from economic nodes. All the above were contributing to the growing demand for low-income housing, but housing delivery was not meeting the demand. The large area of the City contributed to the increasing vulnerability of the vacant land being prone to invasions. Of further concern was the lawlessness which undermined land development objectives and key investments. In terms of Opportunities and Mitigation Measures, the following was highlighted:

  • The need to adopt growth management strategies.
  • Prioritisation of infrastructure investment in desired areas.
  • Combination of in-situ upgrading to address existing backlogs and higher density housing development to accommodate a large percentage of new growth.
  • The Need for a comprehensive strategy for upgrading informal settlements.
  • The City welcomed the provision of serviced stands as it embodies the element of ownership and agency.
  • Land banking – land feasibility assessment conducted on land parcels acquired from other spheres or entities of government, namely Department of Public Works, Transnet, etc.
  • In accordance with the National Upgrading Support Programme (NUSP), a detailed assessment of existing informal settlements had been undertaken and completed.
  • A dedicated Land Invasion Unit was established within the Tshwane Metro Police Department (TMPD), whose members were reported to be trained in crowd control. In addition, there were service providers that monitor all the hotspots within the Municipal area to identify and demolish all illegal structures in all seven regions of the City. 
  • The Invasion Unit was reported to be assisted by all seven TMPD Regional Policing Units to combat land invasion. The City indicated that it was resorting to legal recourse through application to court for blanket court orders to prevent unlawful occupation.  The City also presented a detailed Action Plan that seeked to curb land invasion (see Oversight Presentation on Utilisation of the USDG and IUSPG, Provision of Serviced Sites and Plans to Curb Land Invasion).


The City further indicated that a large geographical area made it difficult, if not impossible, to respond within 48 hours (in accordance with the Prevention of Illegal Eviction from And Unlawful Occupation of Land Act, the PIE Act). The City cited the unlawful occupation of Oliventshout which was a privately owned land, and stated that the occupation was an organised land invasion. This had implication for the City as it was making it impossible to adequately plan and provide services. The City presented another case of a privately owned farm area in Ward 105 Bronkhorstspruit that was invaded by a group of unlawful occupiers consisting of 55 households whose registration had since been done consisting of 96 persons. It was reported that among these there were 18 elderly pensioners and individual living with a disability. Of these, only 6 households consisting of 9 persons were reported to be registered on the National Housing Needs Register (NHNR) including one of the pensioners.


Municipal security services and South African Police Services (SAPS) were stretched as they were also responsible for other functions, hence the call for the possible review of the PIE Act. In addition, the Constitutional Jurisprudence in respect of the provisions of the Constitution Court decision in the Grootboom case supports the case for the review.


The City also presented its’ approach in addressing the housing needs of occupiers. For instance, the City’s Social Development Department, in collaboration with the Province’s Social Development Department, approached the pensioners with a view to having them placed in Retirement Centres in the area. However, they declined the offer, instead they requested to be provided with serviced sites or accommodated in an existing township. The City could not accede to the request as it was not possible to assist with serviced stands or houses due to its existing backlog; indicating that it was still dealing with applicants that had registered way back from 1996 to 1999. All projects within the City had already approved beneficiaries. There was a need for other government departments to assist these households. For instance, the Social Development Department provided food parcels to the area for the households and was in the process of discussing the issue of schooling as well as support for women with young children. In addition, the Department of Education was assisting with the provision of school transport. The Provincial Department was assessing whether it would be possible to accommodate three of the prioritised beneficiaries in projects that were still under construction, and that the rest of those who were not registered on the NHNR were encouraged to register.


3.1.5 Upgrades of the Rooiwaal Wastewater Treatment Plant (Phase 1 – 3):

(Various Project Phases would run parallel between 2023/24 Financial Year and 2025/26 Financial Year):


Description of Activity


Start Date

End date


Phase 1: Acceleration of the completion of current project at Rooiwal Wastewater Treatment Plant currently at 68%.

To improve effluent quality discharge into the Apies River.

1 September 2023

31 November 2024


Phase 2: Upgrading of Rooiwal Wastewater Treatment Plant to a further additional 80ML/day to accommodate more i9nfluent as well as desilting and de-sludging of the Leeukraal Dam.

To improve water quality that is pumped into Temba Water Treatment Works that supplies areas of Hammanskraal.

July 2024

June 2026


Phase 3: Upgrading of Rooiwal Wastewater Treatment Plant by an additional capacity of 50ML/day & Upgrading & Refurbishment of Temba Water Treatment Works.

To improve capacity of the Rooiwal Wastewater Water Treatment Works to meet current and future demands as well as improve effluent quality.

October 2024

December 2024.



3.1.6 Immediate Interventions for the Water Supply

The following table present immediate interventions for water supply (Various phases were to run parallel for 8 months):


Description of Activity


Start Date

End Date


City of Tshwane to continue with mobile water tanking services for communities around Hammanskraal, from designated water filling point including testing.

To continue with the current alternative provision of clean water to residents.


Still to be determined.


Explore the use of alternative technologies to improve treatment efficiencies of unit processes at the Rooiwal Wastewater Treatment Plant and effluent discharges into the Apies River.

Improved effluent quality with the current discharge quality as the baseline.


Still to be determined.


Provision of alternative water sources by Magalies Water Board of Hammanskraal through the emergency construction of a 30-40 ML/day Package Plant at Klipdrift Water Treatment Works. The Package Plant is to be implemented in a phased approach on units of 10ML/day at a time starting from October 2023 at the Klipdrift Water Treatment Works.

To improve water provision through a piped system to all residents.

July 2023

March 2024.



The Delegation was informed of the intervention partnership meeting between the Minister of Water and Sanitation, Mr S Mchunu, and the Executive Mayor on 26 May 2023 followed by a media briefing on 1 June 2023 during which directives were issued to the Director-General (Department of Water and Sanitation) and City Manager: The City of Tshwane that the following be established:

  • A Technical Steering Committee (TSC) to oversee the implementation of the Hammanskraal Intervention Support Project.
  • A Sub-Finance Committee to model the project funding for various phases of the intervention support.


The two sub-committees had since been jointly integrated to form a Joint Steering Committee (JSC), which consisted of the Department of Water and Sanitation, the City, Magalies Water Board, Development Bank of Southern Africa (DBSA), and Rand Water Board, chaired by the Deputy Director-General: WSSM (Department of Water and Sanitation). At the time of the oversight visit, the JSC had held three meetings (on 2, 7 and 27 June 2023), the Terms of Reference (TOR) were developed, and circulated for approval by the JSC. The JSC had invited the Danish Bank to be part of the following meeting in mid-July 2023.


The City also reported that required maintenance of water infrastructure needed to be conducted consistently to prevent decay, subsequently leading to cost escalation. It further reiterated that the scientific tests conducted could not indicate that the recent cholera outbreak was due to the local water sources, and that part of the tests were conducted on water provided by water tanks. The City contended that looking at the geography of the Hammanskraal affected area, there was a presence of pit latrines within an area that is considered traditional (rural). The solution to some of the challenges could be township establishment and hence the City was in the process of engaging the local Chief Kekana to acquire land for the required township establishment. Tt was also imperative to tighten contractual agreements with the 55 water tankers supplying Hammanskraal. The delegation was also informed of the Institutional Agreements to be concluded with various parties including a Memorandum of Understanding, and a Service Level Agreement was to be finalised between the City and the DBSA.


In its concluding remarks on plans to address Rooiwaal Wastewater Treatment Plant including water quality challenges in Hammanskraal, the City and the DBSA were in the process of finalising an MoU to formally appoint an Implementing Agent by 15 July 2023. Furthermore, the finalisation of a funding model between the DBSA and Magalies Water on the Package Plant was underway and it was envisaged that would be finalised by 30 July 2023. Discussion between the City and Rand Water on future scope was to be addressed by the JSC, however clarity on the role of Rand Water on projects was to be established. Furthermore, the Danish Bank had shown willingness to support the project technically and financially on Phases 1 and 2 through a concession. The City was to share other plans to fix the entire water and sanitation infrastructure, including water expansion projects within the City. The JSC had started discussing the whole catchment approach intervention for the City, as well as models through which integrated funding could be sought on an ongoing basis beyond Phases 2 and 3.


3.2 Remarks by the National Department

The Chief Financial Officer (CFO) stated that she was aware of the issues raised by the Executive Mayor, particularly the underspending of the grant during the financial year under review (2023/24) on the issue of the provision of serviced sites, and the formalisation of informal settlements. An appeal was made for the City to prioritise the provision of basic services to prevent returning funds to the National Treasury. The CFO also indicated the Department’s support for the City’s Recovery Plan. She further stressed the need for the City to focus on the provision of serviced sites, formalisation of informal settlements, MTSF targets while ensuring value for money.


  1. Deliberations

The Delegation deliberated on the following:

  • Irrespective of the absence of a scientific link between the cholera outbreak and the wastewater treatment plant, it was imperative to continue to provide the Hammanskraal Community with clean water as per the commitment made by the City during a previous visit by the Committee. The Delegation also stressed the importance of addressing the issue of wastewater treatment plants throughout the country and expressed deep concern about wastewater treatment plants that also contaminate clean water sources and supply. There was need to do away with water tanks once the issue of wastewater treatment plants had been adequately addressed.
  • The Delegation expressed appreciation for the measures undertaken to curb land invasions. However, it called for better coordination with other spheres of the government and stakeholders. It also called for the need to regulate private sector land management. It suggested that the notion of obtaining blanket interdicts against unlawful land occupiers or land invaders to be shared with other metropolitan municipalities. It also advised that the City to ensure constant monitoring and managing of its land to prevent unlawful land occupation.
  • On the possible review of the PIE Act, the Delegation argued that the 48-hour timeframe was a requirement for immediate action against unlawful land occupiers. Private land or property owners were duty-bound to act promptly.
  • On blocked projects, the Delegation expressed the view that there was no clarity as to where the City was.
  • On expenditure, the Delegation argued that allocated funds should be spent on projects and services instead of having the funds returned to the National Treasury due to the failure to spend. For the Delegation, the guiding principles on allocation should entail cooperation, collaboration, partnerships, and take on board best-practice.
  • On the issue of disruption of projects by construction mafias, the Delegation contended for the need to explore ways of adhering to the 30% set aside for local contractors as well as ways to engage communities. It also called for clear criteria for selecting contractors, considering the track record of contractors as well as the need to tighten the procurement process. For the Delegation, the issue of consequence management against contractors who abandon projects needed to be implemented.


4. Projects Visited

The following sites were visited:


4.1 Booysens Ext 4 project (Pretoria West)

The project is located on Portions 45, 83, 87, R/88, 89, R/90, 98, R/99, R/101, 102, 164 and 165 of the farm Zandfontein 317-JR and Erf 287, Claremont. It was initially planned as a mixed development project comprising of 1 700 units with different tenure options such as fully subsidised, Finance Linked Individual Subsidy Programme (FLISP), bonded houses, and affordable rental units. It was later revised to 1185 units comprising of 481 serviced stands and 704 affordable rental units. At the time of the oversight visit, 481 households had been relocated to their stands. Affordable rental units would also be developed in future. The beneficiaries of this project were from Gomora and Malusi informal settlements. This was one of the projects targeted for the Letsema Programme. The project was critical to the City and its objective was to address water capacity constraints in the Kirkney and Andeon areas.


During the walkabouts the Delegation was informed that Booysens Ext 37 started in 2018 and there were 4 000 informal Settlements. The Committee wanted to know the role of the community in the project. It was concerned about slow progress. Clarity was sought on whether there was any expropriation with or without and whether was there refusal in getting the land. How many young people, women, and people living with disabilities benefited in this project. Was the budget going to be adequate to complete the project. Further clarity was sought on whether the budget utilised was the one initially transferred.


The Delegation was informed that young people involved were at 90% of local labour, 10% was for technical skills like welding. The beneficiaries were relocated according to the plan and people were residing already. The contractor was working well with the community, there was 6km pipeline, reservoir, and access road to the reservoir. The project was 87% complete in pipeline. The project had almost 24 months to get approval of expropriation. The land order went to court and the work had to stall. That also delayed the reservoir and pipeline construction. The high-water table also stalled the work as trenches dung were often full of water.  Community arrests also impacted the work and the mayor had to come and stabilise the situation. Budget was enough to complete the project.


The Delegation drove through the Gomora informal settlements where it was shown the electrified informal structures. According to the layout plan some houses were encroaching on an open space, despite the deblocking.


4.2 Soshanguve

The City appointed Silver Horns Consulting to takeover professional services relating to the construction of new water and sewer infrastructure in Soshanguve MM. The appointment was for the following work stages:

  • Stage 1 – Inception (Sewer reticulation only).
  • Stage 2 – Concept and viability (Sewer reticulation only).
  • Stage 3 – Design development (Both Water and Sewer reticulation).
  • Stage 4 – Documentation and Procurement.
  • Stage 5 – Contract Administration and Inspection i.e. Construction Monitoring (Both Water and Sewer reticulation).
  • Stage 6 – Close Out (Both Water and Sewer reticulation).


4.3 Soshanguve MM water and sewer reticulation

There were 23 labourers on site, more contractors would be employed for top structure. The contractor was appointed on 29 May 2023. Stands were rezone from school site, 25% for school.


The Delegation commended the City for safeguarding the funds by not paying upfront. However, it was worried about the detour in the project. The Delegation was concerned about the issuance of tittle deed and sought clarity on how beneficiary management was handled. Clarity was sought on whether the City was undertaking authentications before giving the stand to beneficiaries and auditing if they were South African Citizens. What was the City doing for no-qualifiers.


The City informed the Delegation that 70% of the beneficiaries were women and the project was in-situ upgrading. It allocated stand to South African Citizens only. The City was collaborating with the Department of Home Affairs with regards to screening of beneficiaries. There were 20 stands on top of pipeline that require to be relocated.


4.4 Rama City electricity reticulation

The project was a greenfield mega project which started in June 2022. The budget and expenditure were R57 245 816. The bulk sewer links were to be completed by the City. The initial size of the project was 18 170 with 1426 houses, 1215 Breaking New Ground (BNG) houses, 10 PWD, 200 Military Veterans. House constructions were on-hold pending finalisation of land ownership dispute and bulk sewer link installation. Allocation of houses was at 90% completion and the City was installing electricity. The project was at 65% completion. There were some challenges in this project such as the following:

  • Lack of cohesion challenges resolved between the Military Veterans and the community.
  • Invaded Military Veterans houses by Military Veterans – 40 houses and 22 were evicted by the developer.
  • Sewer connections were pending, portable toilets still in use.
  • House construction of phase 1 completed but the project was on hold.


During the walkabout, the Delegation was informed that the project was a result of a land restitution claim wonned by the community. There would be approximately 17 000 housing opportunities including 1 426 houses and 196 houses for Military Veterans. The Electricity Department was busy with internal reticulation in 2500 houses. There was no substation and electricity were sourced somewhere on the feederliner. The Electricity Department was waiting for cables and would be able to complete the work.


The Delegation was concerned about the land claim or land restitution that was utilised by the City to build houses, wanting to know if the city bought the land from the owners or what was the agreement. It was curious to know how a CPA was changed to Mega project. The Delegation wanted to know if there were any documents signed between the landowners, were those documents already available. What benefit was for the owners of the land, whether they were compensated for the land.  The Delegation requested the profile of the workforce.  Clarity was also sought on why there was no sewer reticulation.


The City informed the Delegation that there was no link yet for sewer line. There were portable toilets that were service two times a week. The project had 160 Miliary Veteran houses build. People benefited in terms of jobs and of getting houses. Landowners were also benefitting in a crusher plant that was part of the land as they had shares on it. Landowners also benefited as the City was installing bulk sewer for them.  A detailed report on the job creation was requested from the City and this should be forwarded to the Committee within 21 days.  In addition, the Committee requested report on the agreement between the province, the City, and the Rama City landowners.


The Delegation visited the following houses:

  • House for people living with disabilities – this house had no electricity, running water and toilet was not flushing due to water challenges.
  • Military Veteran - two bedroomed house, open dining room, and kitchen as well as car port. The owner was pleased to be benefited.
  • Power Station – the contractor was on sight busy with connections.


The Delegation wanted to know how the City was going to prevent vandalism and cable theft in the project.


The City stated that in some areas there were covering the power box station with concrete wall that cover the power box. The challenge was that it requires crane to put and to take out in times of faults. Some power boxes were the ones that requires electronic padlock, but the challenge was its inaccessible during load shedding.


4.5 Klipgat Wastewater Treatment Plant

The Employer’s objective was to recommission Modules 3 and 4 to enable the works to operate at sufficient capacity to handle the current wastewater flow into the works and to replace the stolen items to improve the quality of the effluent discharged into the environment. The project started on 16 January 2019 with designs, 25 January 2021 with construction works.  Project deliverables were as follows:

  • Construction of a new Clearview and electrified security fence line, including CCTV cameras and security system around the works to ensure adequate security for the operation of the plant.
  • Clean and refurbish the existing anaerobic, aerobic digesters, settling tanks, inlet works and biological reactor of modules 3 and 4.
  • Cleaning flushing and repairing of the various existing interconnecting pipelines of the works to be re-commissioned.
  • Re-building of the guardhouse, the office, and ablution facility. Module 4 MCC building, Module 3 and 4 pump station buildings and the inlet works screen shelter. Re-building of Module 3 biofilter splitter box, and various chambers.
  • Construct a new 2,500 m3 concrete unheated anaerobic digester, to be connected to the existing primary sludge handling and treatment system.
  • Construction of a new chloring dosing building, Module 3 recirculation pump station and service water pump station and system.
  • Refurbishment of existing and new mechanical/electrical equipment and civil structures.
  • Re-building of sludge drying beds.
  • Re-instating the ESKOM connection and construction of a new Ring main unit with 5 minisubs including distribution to all buildings and mechanical equipment.


The total budget approved for the project was R235 904 million and the overall construction was at 89%.  The original completion date was 15 November 2022 but was later revised to 15 November 2023.


The Group Head for Water and Sanitation Department, Mr D Gubuza, briefed the Delegation. He informed the Delegation that the City had 15 wastewater treatment plant, four of them were the critical ones. The one in Klipgat was going to provide 40mg litres per day and had three treatments trays. The construction was at 90% completion, electricity was vandalised and had to build a new digester, rebuild sludge drying beds. The project started in 2020/21 Financial Year and was aimed to be complete on 15 November 2023.  The budget for the project was R200 million, 90% of the labour force was from the community. The project started with 90 people working and scaled down to 43, there were 14 sub-contractors and they sourced labour locally.  The City had to upgrade the fencing for security purposes with electric fence and cameras.


The Delegation wanted to know if any skills were transferred to the local people. How much would be ploughed back to the community. Clarity was sought on whether the cost for damages was calculated and what were the plans in place to curb future vandalism. The reasons for the project to delay. What practical steps were taken besides fencing, and whether the SAPS was involved. How they were dealing with construction mafias who sometimes pretended to be community.


The City informed the Delegation that it was utilising local labour. The Department of Water and Sanitation met with the National Department to assist with funding, and the capital funding was sourced from National Department.


4.6 Soshanguve South Ext 6 and 7 (Thorntree Views) Roads and Stormwater project.

The project was a flagship programme which started in 2020, in partnership with the private owner. The project was going to yield approximately 11 000 mix tenure agreement. The consultant for the project was Lilly Bara About 5 800 people benefited and title deeds were handed over. Bulk infrastructure such as storm water pipes was installed, and some machineries were sourced from the community. The budget utilisation was 62% of the allocated funds and it was at 69% to completion. There were about 77 work opportunities created, and 25% was spent on the local Small, Medium and Micro Enterprises (SMMEs).

The Delegation wanted to know if 60% of the spending was realistic, and how the selection was regulated, and the fairness and clarity on whether equal opportunities were given to the community. 

The Delegation was informed that there were challenges due to rainfall which affected project completion timeframe. The contractor was supposed to be done that year however, time would be extended at no additional cost. The community and the Councillor working together better managed the project and there were no community dynamics. The contractor stated that roads would be done in 2023/24 Financial Year if there was no rainfall. The stormwater and road works (which was at 20km and 10km) were completed. The contractor reported that it had started with still works. The project had two Community Liaison Officers (CLO) who were appointed and were tasked to assist in sourcing people for work-related issues in conjunction with the contractor. Clay conditions were a challenge, after rain it was requiring that the contractor must wait for 15 days before working again. The City did monitor the implementation and source the sub-contractors.


5 Recommendations

The Delegation provided the following recommendations to the City:

  • Conduct audits before giving the stand to beneficiaries to ascertain that they are South African Citizens. 
  • Relocate the old man who was blocking the project pipeline in Soshanguve MM project.
  • Ensure that there is a legal development agreement between the City, the Province, and Rama City landowners. Furthermore, ensure that landowners benefit from the Rama City project.
  • Provide the Committee with a detailed report on the breakdown of job created in all projects visited within 21 days.
  • Ensure that houses provided to people living with disabilities accommodate their disability.
  • Put in place plans to curb future vandalism and home invasions. 
  • Adequately deal with issues causing fiscal dumping by the City.
  • Prevent underspending in all human settlements’ grants.
  • Ensure consequence management for poorly performing contractors.
  • Put in place plans to deal with construction mafias. National Department should work with all spheres of government  to deal with the issue.
  • Provide a strategic presentation to National Treasury about the nature of in-migration to the City, and how it contributes to the hight demand for housing and other services. This would assist the City to get financial support.
  • Share the blanket interdict approach with other Metros to assist them prevent land invasions.
  • Audit multi-year projects to establish value for money.
  • Ensure that the USDG and ISUPG are used as supplementary grant to capital budget provided the City.


Report to be considered.