Speech by Mpumalanga Human Settlements MEC, Honourable VS Siwela at the hand over of Freedom Square Project (CRU), Mzinoni, Govan Mbeki Local Municipality
Programme Directors
Local Executive Mayor: Cllr LL Masina (Govan Mbeki Municipality)
District Executive Mayor: Cllr M.P.P Nhlabathi (Gert Sibande)
Executive Mayors Present
Members of the Legislature
Members of the Executive Council
Councillors
Acting Head of Department: Mr S.E.B Matsebula
Municipal Managers
Social Cluster Members
Business Representative
Private Institutions
Officials from the Department and Municipality
Members of the Media
Distinguished Community Members
Introduction
Warm greetings to all residents of the Province’s Petro-Chemical hub – Govan Mbeki Local Municipality. It is befitting that I embrace this opportunity to make inputs at this important occasion of the municipality. This is an event where both government spheres are directly interacting with the community in the Spirit of service delivery.
Democracy
As the country is still celebrating 20 years of freedom and democracy, it is a momentous occasion that presents an opportunity on how the democracy was realised – amidst hardships.
Looking at the progress made – it remains critical that we also focus on how to develop the country further. This is by ensuring the ideals of our plans through the implementation of Vision 2030. As we reflect on the progress made – we must not be oblivious of the challenges that still lie ahead.
These will include poverty, inequality and unemployment. While celebrating our achievements recorded over the last two decades, we must also look forward to the next 20 years. That is why we are talking of Vision 2030. The National Development Plan (NDP) is our blueprint. The plan outlines the type of society we want to arrive at in 2030.
Our gathering here is two-fold in a sense that this morning we officially opened and handed over the Freedom Square Redevelopment Project at Mzinoni and we will also issue Title Deeds to few beneficiaries. Let me start by reflecting on one of our programmes that we deliver as this Department – the Community Residential Units (CRU).
Community Residential Unit Programme
Community Residential Units Programme is a programme that aims to facilitate the provision of secure and stable accommodation for lower income persons. In line with the convictions of this democracy, the Community Residential Units Programme replaces the National Hostel Re-development programme and the proposed “Affordable Rental Housing Programme”.
Simply put, this programme seeks to undermine the old hostels that were common at industrial cities such as Johannesburg where husbands were forced to leave and fend for their families.
That phenomenon did nothing to our country, but brought broken families and to a certain extent short-changed people’s dignity. In reversing that anomaly, this caring government gave birth to this programme which mainly provides a coherent framework for dealing with the many different forms of existing public sector residential accommodation.
Its delivery covers public hostels, public housing stock both buildings, existing dysfunctional inner city/township buildings that have to be taken over by the Local Authorities. Having outlined the context in which the programme is being delivered, it must be clearly understood such facilities are NOT accommodation for municipal employee.
Given the economic disparities in which many of our people are trapped into, the programme target persons & households earning below R3500 and are not able to access private rental and social rental market. We know that most people their houses – come to major economic places such as this municipality in search of better livelihoods. The idea is not for them to buy or build new houses, but work and support families back home. That obviously - it must be said, comes at a price.
Families are distant and sometimes migrants are forced to erect informal settlements or be back-yard dwellers. As a caring government, we are totally opposed to that. The opening of the Freedom Square CRU is testimony that our convictions have today been realised.
In the process - The programme seeks to bridge the division between social housing and lower markets which posed a significant problem.
Govan Mbeki CRU
- In this project the Department is demolishing the old hostel and building newCommunity Residential Units
- The project is about the construction of 176 new Community Residential Units
- The project value is nearly R100 million.
Project background
The Department of Human Settlements through a reputable service provider started to upgrade Mzinoni Hostel during 2009/11 financial year to deliver 176 family units. The project was implemented in phases wherein a total number of 78 units were completed in 2010. Just like many projects, this too encountered challenges on site where existing residents refused to be relocated elsewhere and give access to the contractor to complete the outstanding work.
In 2013/14 financial year the project was unblocked and issues were resolved between the residents and all affected stakeholders. Through extensive stakeholder engagement, the Department managed to relocate households which gave access to the contractor. The connection of services to the 78 units was done hence now tenants are moving in.
The second phase of the project will be implemented during the 2015/16 financial year in order to complete the remaining 98 units. As outlined earlier on the programme focus, the municipality has assigned Govan Mbeki Housing Company to manage the CRU.
Title deeds
On our second delivery, a substantial number of households will have full ownership of their property and dignity restored today. Let me start by the importance of Title Deeds and their impact for households. According to the country’s Constitution - every person has a right to decent housing, clean water, health and education.
On shelter – as one of the basic human rights - that can only be realized through the acquisition of a title deed. Houses should at all times be viewed as economic assets as ownership encourages investments through renovations and expansions. This in turn triggers business opportunities in the household and the area.
Ownership further allows beneficiaries to use their houses to leverage their economic circumstances by making additional income. Title Deeds are important as they allow beneficiaries to access finance from financial institutions for renovations and funding for business opportunities. Acquiring a title deed enables a beneficiary to have the house as an asset, offer sense of pride and belonging.
From the municipal perspective, property ownership compels the owners to pay municipal rates and services received, thereby contributing to its ongoing financial viability and economic sustainability. Beneficiaries will now be able to use their title deeds to improve their dwellings, to acquire household’s goods and make use of capital borrowing against their properties and to start small businesses.
In essence, their households can also be used as an asset to build wealth. Furthermore, houses are social assets in a sense that they can be transferred to descendants, they offer a sense of pride to owners and a sense of belonging to communities. The Department’s mandate is to create integrated human settlements and improve households’ life.
Beneficiaries will use the title deeds as a legal document that reflects the ownership of their properties. To all residents of the municipality and beneficiaries we urge that you take care of the services rendered by government. Equally so, to all prospective beneficiaries of government services – the delivery train is coming – to change your lives.
Let us all join hand and move this country forwards.
I thank you.
