unveiling of the Africon Empowerment Transaction
14 August 2007
Programme Director
Professor GJ Gerwel, Chairperson of Africon
Members of the business fraternity
Ladies and gentlemen
I stand here tonight a very happy person. You know why? It is because every
day this province is presented with new possibilities, new partnerships, new
contracts and new business ventures investing in our province. That is proof
that we are united in purpose and action. It is also proof that the economy of
the province is in a healthy and dynamic state.
The President, His Excellency Mr Thabo Mbeki and no less than ten National
Ministers and Deputy Ministers also witnessed this phenomenon on their visit to
Ukhahlamba during Women's Day Celebrations and Presidential Imbizo.
This buoyancy of spirit has been brought about by partnerships, such
partnership as the one we are celebrating tonight.
I have no doubt that such partnerships will bring us closer to the
objectives of the Accelerated and Shared Growth Initiative for South Africa
(AsgiSA).
The state of the construction industry in the Eastern Cape Province
The construction industry is part of AsgiSA. Recent economic survey shows
that the Eastern Cape construction industry has been growing at a faster rate
than the average growth rate of the provincial economy. It is pleasing to see
formal employment in the industry was 26 000 last year and is still
growing.
However, it is concerning that our country does not have enough of the
skills required by this market, particularly among black people, such as
engineering, building instructors, land and quantity surveyors. We all know
that this is not because black people did not possess the intelligence to learn
these technical skills. Instead fields such as engineering were not open to
them.
The brain drain and the poaching of these skills by overseas countries do
not make life easier for our developing economy. I want to encourage Africon to
intensify skills development to previously disadvantaged people.
The construction industry is a priority provincial industrial sector because
it is relatively labour-intensive. It has linkages to building material
supplier. It has been generating new employment opportunities and is showing
future potential, particularly with respect to the building industry which is
booming.
What is the message I have for you?
You are commended for supporting the Black Economic Empowerment (BEE)
venture. Without BEE there would not be a faster, sustainable and shared
economic growth in this country. It is through BEE that government seeks to
redress past imbalances and forge reconciliation and development.
I want to enjoin you to also include women constructors. Many of these women
are in rural areas and will go back and contribute to rural employment.
Africon must continue to work closely with the government in the context of
the Provincial Industrial Strategy, where construction is identified as a key
growth and labour absorbing sector.
There is a strong case for provincial government support interventions to
upscale the Construction Contact Centre (CCC) concept throughout the province
of the Eastern Cape.
It is important to intensify contractor learner programmes that have been
initiated by the Provincial Department of Public Works, and at the same time,
align the skills requirements to the priority projects to the skills being
undertaken in the construction sector.
This means that provincial construction contracts should have built-in
learnerships and/or internships and/or apprenticeships, so as to simultaneously
address the skills shortage in the province. This could particularly apply to
the large contractors in mentoring and coaching small and medium.
Africon's partnership is therefore needed in our Expanded Public Works
Programme for new contractors. It is needed in the Provincial Chapter of the
National Youth Service. Our youth must have skills to build houses and
construct roads, which are some of our priorities in this province.
To the new BEE partners that we are celebrating today be trendsetters in
building the construction business culture which is creative and innovative;
and one that will last. Together we have to build our economy and eradicate
poverty and unemployment.
I thank you
Issued by: Office of the Premier, Eastern Cape Provincial Government
14 August 2007
Source: Eastern Cape Provincial Government (http://ecprov.gov.za)
