Cabinet has welcomed the recently held inaugural National Construction Summit, which sought to create crime-free construction sites.
Held by the Department of Public Works and Infrastructure, on 19 November, the summit brought together stakeholders from government in Public Works and Infrastructure, Police, Treasury as well as those in the built environment to reflect on and agree to a common approach to ending violence and extortion at construction sites.
READ | Government to host Construction Summit
This as disruptions at construction sites severely delay government’s large scale infrastructure projects.
Addressing the post-Cabinet media briefing held in Cape Town on Thursday, Minister in the Presidency Khumbudzo Ntshavheni said Cabinet noted the signing of the Durban Declaration as an effort to build confidence in the government’s ability to deliver projects on time and within budget in its quest to turn South Africa into a construction site.
READ | Government, stakeholders sign declaration to work together against "construction mafia"
“The declaration proposes a series of interventions to end the disruptions at construction sites to be implemented over the course of next year,” Ntshavheni said.
This includes strengthening legislation governing the construction industry, implementing appropriate policies for the development of the construction industry, improving data and reporting systems and the arrest and prosecution of those responsible for extortion on construction sites.
“Work will also begin on supporting emerging enterprises and ensuring greater skills development.
“There will also be an intensified focus on collaboration on solutions to problems faced by the construction industry, which will be enhanced through establishing collaborative platforms for industry stakeholders to share best practices,” the Minister explained.
Since 2019, construction site disruptions by criminal syndicates have disrupted over 180 projects worth R63 billion, using tactics such as extortion, intimidation, violence and sabotage.
To address these challenges, the government is pursuing a three-pronged strategy, which includes Reforming Public Procurement, Expanding Public-Private Partnerships (PPPs) and Increasing Infrastructure Investment.
South Africa’s construction industry is a vital cog in the economy as it contributes around 3% to gross domestic product (GDP), employs over 1.3 million South Africans, with 176 000 jobs added just in the third quarter of 2024.
This sector is a lifeline for low-skilled workers, who often struggle to find opportunities elsewhere, however these disruptions undermine the sector’s potential.
Over the next three years, government plans to invest over R900 billion in the construction sector. – SAnews.gov.za
