Media statement on the 2010/11 first quarter progress by N Mazibuko, Gauteng MEC for Infrastructure Development

People of Gauteng province
Ladies and gentlemen

As the department of Infrastructure Development we play a crucial role in ensuring that Gauteng citizens get decent job opportunities through infrastructure development and the Expanded Public Works Programme (EPWP).

As a pillar department we are the implementers of all Capex projects which ensure that Gauteng has adequate social infrastructure such as schools, clinics, hospitals, multipurpose community centres, etc.

In response to the seven key priorities that the Gauteng government has identified, we are the pillar and the support department that ensures that government is able to meet all its obligations of supplying social infrastructure, in line with our vision of being the leading Infrastructure provider and facilitator that positions Gauteng as a globally competitive city region with a sustainable and growing economy.

In Gauteng we hosted most of the matches during the 2010 Soccer World Cup. Most of the teams chose Gauteng as their base. This was a vote of confidence for our infrastructure in the province. This meant that in Gauteng we have the best facilities. When we build, we carve out masterpieces.

Three of our stadia that were upgraded by the Department of Infrastructure Development were used during the tournament as practice stadia, namely: The Sinaba stadium in Daveyton which hosted the New Zealand team, Goerge Thabe Stadium in Sharpeville was used by Ivory Coast, and the Algerian team used the HM Pitje stadium in Mamelodi. We wish to thank our contractors, EPWP workers and officials from the department for making this a huge success.

To all the men and women who made sure that these stadiums are what they are, thank you. The successful hosting of the world cup should now be a measure for us. Everything and anything we do should be of high standards just as the World Cup was.

Infrastructure development for the tournament was executed perfectly and on time. It is therefore, that as a department, we have made it one of our priorities to build quality public facilities on time. It is a lesson we cannot ignore.

Furthermore, during the planning and implementation of the tournament's infrastructure, many people were empowered and got skills within the construction sector. The challenge now rests with all of us to tap into the skills that were imparted to so many of our country men and women.

Here in Gauteng we want all of the infrastructure projects to be undertaken by skilled personnel who will, in turn, impart their knowledge to others.

Capital works

As a department, we implement all capital projects and maintenance for the province. During the first quarter, we managed to complete six Capital Works projects on behalf of the Departments of Education. New schools, Bronkhorstspruit Primary School, Thulasizwe Primary School, Simunye Primary School, Rietvallei Primary School, Katlehong Primary and Winnie Mandela School and Polokong Primary School, were successfully completed. During the month of September, we will be handing over and opening these schools officially.

The Jabulani hospital is almost 45 percent complete and Natalspruit is 55 percent complete.

Maintenance

As a department we have identified maintenance projects that are to be implemented by women, youth and people with disabilities.

These are as follows:

One lesson we have learned during the strike action by public servants is that our equipment, especially in laundry equipment is obsolete. We are in the process of advertising to invite those within the manufacturing industry to join us as we try to find ways of replacing old machines.

Expanded public works programme

During the first quarter, 549 young people were enrolled into the programme to be skilled and work on a range of projects within the province. Furthermore, 145 women were employed and 561 temporary jobs were created.

Property management

As of the 1st of June 2010, we started implementing the market related rentals on all the provinces residential properties. This process has been met with some resistance and we are currently in negotiations with the labour unions as most of the affected people are civil servants who belong to unions. In the same vein we need to reiterate that this process cannot be reversed. People need to pay what is due to government.

Challenges

We have had a challenge where our contractors were not paid on time. Together with the client departments and the Department of Finance, we have come up with the following solutions:

• Ensure that all project invoices are prioritised and subjected to more speedy and shortest payment process possible within policy provisions and that funding is ring fenced to ensure cash flow availability.
• Ensure that payments are effected to contractors within 21 calendar days. With this mechanism, the Departments will reduce unnecessary claims on interest due to late payments and or claims for extension of the contract periods.
• The chief financial officer (CFO) of the department and CFOs of the client departments to define the shortest possible payment process.
• To keep the three percent retention of the Contract Value and to be deducted in all contractors' payment certificates.
• To request the Management Agent, the provision of professional indemnity cover (PI) to a certain agreed value. The management agent will ensure that the PI. Insurance covers such conditions under construction management providing professional services to the contractor.

Lastly, we are pleased to announce that by the end of this year we would have completed 10 school projects and we are in the process of implementing the Magaliesburg boarding school project.

Thank you.

Enquiries:
Kabelo Thabethe
Tell: 011 429 3733
Cell: 083 703 0529