Speaker and Deputy Speaker
Honorable Premier Members of the Executive Council
Present Respected Members of the Legislature
Honorable Guests Ladies and Gentlemen
ANC Centenary
This year the oldest mass democratic movement - the African National Congress - turned 100 years and we have been in celebration since the dawn of the New Year. The centenary is a major milestone in the history of the liberation struggle in South Africa and the continent. It allows us to reflect as well as to honour our departed founding fathers such as John Langalibalele Dube, Sefako Makgatho, Zac Mahabane, Josiah Gumede, Pixley ka Isaka Seme, AB Xuma, JS Moroka, Albert Mvumbi Luthuli, and Oliver Reginald Tambo. We are also celebrating the contribution of our leaders who are still with us such as Nelson Rolihlahla Mandela and Thabo Mvuyelwa Mbeki, and the sitting president – Jacob Gedleyihlekisa Zuma.
We are also celebrating the many unsung heroes of our struggle such as the early traditional leaders and peasants who laid their lives to resist colonial conquest. We are also in celebration of the role played by the workers at the turn of the century in the mines, the youth in the 70’s, the churches and the broad democratic movement. Mobilised and inspired by the African Native National Congress, which later became known as the ANC, all peace loving South Africans were united in the quest to create a non-racial, non-sexist and democratic nation. To this day, the ANC remains a disciplined force for the poor and marginalised members of our society. This glorious movement also continues to remain a home for the young and old, faith-based and mass-based organisations, black and white, socialists and capitalists, rural and urban communities, rich and poor, intellectuals, workers, women, students, and everyone who is committed to the establishment of a truly free and democratic society. The ANC is the only political movement that has been able to establish what our President Jacob Zuma once referred to as the “unity of purpose and action amongst the oppressed”. This unity will continue to exist and to sustain our movement in order to further advance our National Democratic Revolution. President Jacob Zuma further made it clear, during his centenary address in Mangaung earlier this year that: “The ANC is guided by the interests of the nation. It is a people`s organisation...a parliament of the people.”
Alex centenary
I also wish to note that our movement shares the centenary celebration with Alexandra Township – one of our Urban Renewal priorities. Alexandra is one of the first multicultural settlements to accommodate Africans in the Johannesburg in the early 1900 and has over the years, contributed immensely towards the liberation struggle. I salute the people of Alexandra for working with us as we continue to turn around this mighty township into becoming a shining example of our urban regeneration.
This occasion also takes place during Workers Month, a critical milestone for all workers in our country and across the globe. The participation of workers in the mass democratic movement has played a significant role in advancing the National Democratic Revolution. During this month, we also hosted the Govan Mbeki Human Settlement Awards. Named after one of our most prominent struggle icon this country has ever produced, the awards were in recognition of excellence and distinction in the delivery of human settlements in Gauteng. We congratulate those companies which scooped the prestigious awards and encourage other emerging contractors to come forward and be counted.
Outcomes eight –Sustainable Human Settlements and improved quality of life: accelerated delivery of housing opportunities: Our strategy to build new townships that are defining the future of human settlement development patterns in Gauteng is gaining momentum. Mixed housing developments proved, in more ways than one, to be the solution to the challenges facing our historically divided societies. This programme is one of our key focus areas and has, to date, yielded 26 mixed housing developments across the province. From the total number of 26 projects, 17 are under planning and 9 under implementation and in various stages of development. I am pleased to announce that we have now concluded, Cosmo City, one of our first mixed housing flagship project in the province. Pennyville, Olievenhoutbosh Ext 27 and the Alexandra Ext 10 mixed housing projects have also been concluded.
The Department managed to house 21 496 families and secured a further 15 803 stands for the period April 2011- March 2012. We have now identified more areas that will benefit from our housing programmes as we increase units in existing projects or expand to new Greenfield areas.
During the 2012/2013 financial year, we plan to service approximately 20 959 stands and build approximately 29 884 new houses. This is what we can be able to deliver given the resources that have been allocated. In this province we have done a lot of investment within the sector in order to make sure that we have the right skills to deliver at scale. We are ready – “Faka imali uzobona” Speaker, we can now proudly say that Gauteng has dynamic residential areas that are multi racial, catering for mixed income citizens and located closer to job opportunities. Residents will continue to have access to amenities like schools, clinics, shopping complexes, crèches and others. We can now affirm that mixed housing projects are the future housing developments in the province. Gradually, they are changing the spatial development landscape, improving the quality of life and integrating our communities.
Eradication of housing backlog
The affordable Rental Housing Programme is one of the initiatives towards the eradication of housing backlog, through the provision of rental housing for low income earners who cannot be accommodated in the formal rental market. We are increasing the rate of affordable rental units through Social Housing Institutions, small-scale backyard rental programme and the construction of Community Residential Units. The Department plans to deliver 2 450 Rental units and 2 875 Community rental Units as part of the Gauteng Plan to provide affordable rental accommodation. In addition, the department will work in partnership with stakeholders such as the Gauteng Partnership Fund, private sector companies, such as Old Mutual, Sanlam and DBSA, including municipalities, to ensure the achievement of rental accommodation targets which stand at 19 352 by 2014.
Speaker, in Gauteng we don’t just talk but we implement what is in our plans. Let me just briefly inform you about one of the critical flagships projects that fall under this strategy is the Jabulani CBD which is currently underway. The development will consist of 4,199 sectional title residential apartments providing answers to a variety of housing needs, namely social housing, rental units and GAP housing units. Government is further contributing towards the much needed delivery of housing in Jabulani CBD by providing housing subsidies via National Department of Human Settlements, Social Housing Regulatory Authority and my Department. Already there are 1 211 units that are currently under construction, and the overall development is turning out to be a desirable place to live in, in Soweto, proving sceptics who had doubted its potential wrong. The Jabulani housing plan provides superior quality units when compared to many others in the same range. This has resulted in a high demand for buyers and those seeking rental units. All units come standard with exceptional finishes. In some ranges we even provide options such as granite kitchen tops, bedroom cupboards, ceramic floor tiles and numerous other quality and modern finishes. The biggest factor that has contributed to the development’s attractiveness is its position in one of the most exciting development nodes in Soweto. The development is next to one of Soweto’s busiest malls, the Jabulani Mall, the Jabulani SAPS station and is accessible via a well-developed public transport system that includes trains, taxis and the BRT system. In addition, a 300-bed hospital is being built separately nearby and the top of the range Jabulani amphitheatre is also being revamped by the Johannesburg City council. Furthermore the modern 420 seater, performing arts known as the Soweto Theatre has been officially opened. There are further plans to build an office complex in the area.
What makes this housing development unique is that it is strategically and ideally located. Additionally, it is of good quality and priced and affordable to many people. Once this development is completed, Jabulani will become the jewel of Soweto. It’s well defined social and physical infrastructure sets it aside from peers. Easy access to public transport makes it more desirable. These reasons have conspired to make Jabulani an area of high rental demand, where investment growth prospects are looking good. I would therefore urge members and the public in general to take interest in this project as it will be used as a catalyst for other projects to be undertaken in the province. eGauteng kuyasheshwa! Speaker, with all the rental projects that we are developing it is important that our people must take note that, we cannot succeed with these magnificent two to four story family units if people are not paying. Please, good things are paid for. Bantu bakuthi elilizwe lelethu ngoku, nezizindlu zezethu masibhataleni madoda. The eradication of informal settlements has been a major challenge for the Department in as far as: finding available and suitable land for relocation purposes; the high cost of well located land in relation to urban activities; growing number of settlements as other settlements are being eradicated; and re-invasions of land and densification once a settlement is targeted for formalisation as well as availability of resources in order to meet targets.
In-situ upgrading has taken place to either formalise or eradicate informal settlements. A comprehensive plan on the relocation programme has been formulated to guide implementation and to continue with the formalisation and eradication of informal settlements to address the backlog. Close monitoring of the migration plan will ensure a focused and systematic approach to the eradication of identified informal settlements in the entire province by 2014. In dealing with this mammoth task of eradicating informal settlements, we need co-operation and buy-in from all stakeholders including the intended beneficiaries. We cannot allow these settlements to grow at the rate they are going. This intervention of eradication of identified informal settlements will forever be one of the Department’s main focus areas. In the past financial year, a total of 16 266 houses were build in-situ as part of our plan to provide formal housing in most of our informal settlements. This is one of our biggest achievements. We are demonstrating that the upgrading and eradication process is, indeed, in full swing. Speaker and fellow members, illegal land invasion and illegal occupation of RDP houses as well as hijacking of the inner-city buildings should be condemned at all times. We cannot allow such practises to become a norm in our country. We must deal with such tendencies in a more vigorous way. It is important therefore that there must be a process of reviewing various pieces of legislation in order to make sure that they are not abused by those unscrupulous individuals who are determined to create anarchy. Our law enforcement agencies must assist us in dealing with people who are breaking the law. There should be no law or any clause that protect or encourages land, RDP or city buildings to be hijacked. Soon, if we don’t act as law makers, our own houses will be invaded while we are on holidays and after 48 hrs, our courts may protect invaders. One wonders what would be the attitude of the Judges should invaders decide to invade their houses while away on holiday? Remember that these the invaders sometimes do overpower, even our security guards.
Land Acquisition
The department has embarked on more effective and efficient land utilisation plan which is resulting in the acquisition of public land for human settlements development. We are also working closely with the Housing Development Agency to acquire state owned land.
During this financial year, the Department is planning to spend approximately R150 million towards the acquisition of several suitable properties which are well located for low-income and affordable housing. Land has been acquired and earmarked for acquisition in the following areas: Sebokeng, Tarlton, Lakeside, Meyerton, Nooitgedaght, Olievenhoutbosh, Princess, Zandspruit and Sebokeng. In order to mitigate illegal invasions and prevent the illegal occupation of vacant land, the department will inspect 300 properties for safeguarding.
The Urban Renewal Programme
This current financial year, we are still considering urban renewal nodes to remain key component for the province to address socio-economic challenges. The areas where this programme is applicable were carefully and cautiously selected owing to their history of neglect and the non-existence of infrastructure. Our Urban Renewal programme is ongoing in Alexandra, Evaton, Winterveld, Bekkersdal and recently Tembisa has also been included on the list. The main objectives for Urban Renewal programme are to rehabilitate the dysfunctional areas through economic, social and human development as well to upgrade living conditions.
Alexandra Urban Renewal
In the last financial year we reported that we are putting together the Alexandra Urban Framework and the Implementation Framework. We have consequently started with consultations regarding the draft Master Plan on the redevelopment of Old Alexandra and this process is expected to be concluded in the 2012/13 financial year. For the new developments, the Linbro Park Design Framework has been approved by the City of Johannesburg.
This process gives us a leeway for the land acquisition process of properties in Linbro Park for further development and extension of Alexandra. Furthermore, we are undertaking a detailed land audit of old Alexandra which came about because of the dissatisfaction of the Alex property owners with the resolution of their restitution claims. Therefore, the Land audit is necessary in an effort to better understand the Alex land history from 1912 until today with the current settlement situation. Phase one of the project is complete and we are moving to phase two. This phase involves investigation of 58 500 dwellings and only 11 000 dwellings have been completed. The Housing demand in Alexandra is 45 000 of which 15 516 has been delivered or still under construction. This leaves 29 484 units to be delivered. The Hostel redevelopment process is also progressing well with construction of M2 Hostel (Nobuhle) phase 2 (82 units) underway. The planning and design process for M1 (Madala) 1400 units and Helen Joseph Hostel (150 units) precinct has started. We have also began with the construction of Bohlabela Extension project at Far East Bank with 232 units, aimed at addressing the middle earners or gap market who do not qualify for RDPs or mortgage bond for a house. Most importantly, in an effort to address the backlog, Alexandra Renewal Project is also in the process of consolidating the ’96-’97 beneficiary list to understand how these beneficiaries can be considered in the new developments. This will complement the block-by-block approach on the allocation of houses.
Tembisa Renewal Project
Subsequent to the approval of the Tembisa Master Plan, we have been able deliver 1 842 – houses and serviced 199 stands to date. In order to ensure that we have a comprehensive plan that is properly coordinated; Ekurhuleni Metropolitan Municipality (EMM) has secured funding from the Neighbourhood Development Grant. The grant will assist to develop a comprehensive business plan and an Urban Development Framework.
We have also established 54 projects focusing on upgrading or setting up new public infrastructure such as high mast lights, rehabilitation of steel lights network renewals, upgrade water network, roads construction and many other activities.
Winterveld
As an indication of willingness to further advance development for our people and communities, it is with pleasure to announce that from the 3 034 stands serviced last year in Winterveld, we intend to add 1 400 more in this financial year, and construct 1 020 new houses.
Bekkersdal Urban Renewal
We are in the process of upgrading current infrastructure such as repair of roads, construction of sidewalks and storm water drainage. Most of our roads construction projects are already completed. Madam Speaker, afford me an opportunity to mention that projects such as upgrading of Bekkersdal Police Station, Simunye Ext 2, Bulk services and electrification were completed and handed over to their respective departments and the local municipality. As it has already been announced in the past, the Bekkersdal Informal Settlement is situated on a dangerous dolomatic land. Over 15 000 households are affected. We have initiated plans to relocate them to Middelvlei/Droogeheuwel and Westonaria mixed housing projects. We will produce 9 000 housing opportunities. An agreement has been reached with all stakeholders including those in Randfontein to earmark 50% of these units for the relocation of households from Bekkersdal informal settlement. The process of allocating houses in Mohlakeng ext 11 is also currently ongoing. Furthermore, last year I launched a mixed housing development in Westonaria Borwa which will accommodate about 5 000 families once completed. The beneficiaries will undoubtedly be drawn from the local communities. Construction of bulk water and sewer is 87% complete and the process to build top structures will commence soon.
Evaton Renewal project
We are currently rolling out phase 2 of the housing project in Evaton with an anticipated target of at least 150 units of mainly new dwellings to replace dilapidated houses as part of the renewal programme. Professional input on other housing projects such as Evaton Estates and Extension 3 which will yield social housing, is being finalised. In this financial year, we will also be constructing major roads. This will involve upgrading of road surfaces to tarmac and installation of auxiliary facilities on seven roads. In order to address low capacity and potential health risks, an Evaton-wide bulk sewer upgrading project is scheduled to be rolled-out soon. This will ensure that existing and planned developments are covered in terms of sewer reticulation. ACRREDITATION: It is important for us to mention that the Implementation and Management Plan in respect of Municipal Accreditation has been finalised. It came about as a result of concerted and collaborative efforts between the Department and our three Gauteng metros, Ekurhuleni, Johannesburg and Tshwane. These metros have been accredited with level 1 and 2. We shall announce in due course the date in which Executive Mayors of these metros and myself shall be formalising this process by signing a Memorandum of Agreement. Municipal Accreditation delegates certain clearly defined functions in relation to the administration of National Housing Programmes. Once all the three levels have been granted, all key housing functions will be assigned to the metros. THE GAP MARKET: As was reported before, we are finalising a comprehensive strategy aimed at addressing the gap market. This is a sector made up of people who fall outside the government subsidy bracket but at the same time unable to afford access to the mortgage products available from the commercial banks.
Speaker, in this regard I am referring to people who earn between R3 501 – R15000.00. This group consist largely of our public servants, people working in the retail sector and other areas. There is no excuse now for people to illegally buy RDP houses as they will be assisted. The gap market will be addressed through the implementation of the Finance–Linked Individual Subsidy Programme (FLISP). MINMEC has already approved the plan. We are waiting for National Department of Human Settlement to finalise the guidelines for this programme. Thereafter implementation of Mortgage Default Insurance Scheme will commence. The programme will be piloted in Gauteng. More information and details will be provided about where people should go and what is needed for one to qualify for this type of assistance from government.
Outcome number nine: Local Government Support
This outcome has an arresting theme primarily focused on building “a responsive, accountable, effective and efficient local government”. We continue to note that, there are several areas where we still need to intensify our efforts to change the lives of our people for the better. The challenges identified are consistent and accentuate the need for a sharper understanding of the root causes of problems faced by municipalities so that they can identify and adopt improvement strategies and actions. A cadre of competent leadership and staff focused on good governance, service delivery and accountability, should be strengthened in local government. Our interventions will focus on acquisition of skills and building institutions that will geared towards serving the community as articulated in the Batho Pele principles. The Department and municipalities are active partners in the drive to successfully implement the Scarce and Critical Skills Strategy.
Operation Clean Audit
The Department continues to support municipalities to achieve clean audits by 2014. Working with the Gauteng Treasury, the Auditor General and several other stakeholders, several initiatives have been implemented to achieve this goal. To date, of the 12 municipalities that we have in Gauteng, eight received unqualified audit opinions. We will continue to support those which are lagging behind to ensure that we meet our 2014 target.
Debtors management and revenue enhancement
One of the challenges facing municipalities is uncollected debt. The Department is currently implementing two initiatives. The objectives of these are to reduce consumer debt by the year 2014, improve the integrity of all municipalities’ billing systems and improve revenue collections. We are implementing the Debt Structuring Model which will afford our municipalities a much needed cash injection through an upfront payment to be paid to the municipality by a chosen investor as a sign of confidence in their ability to collect. In addition, the initiative will ensure improvement in the collection of debt owed to the municipalities by 2014. Furthermore, together with the Gauteng Provincial Treasury, we are implementing the Government Debt strategy. This intervention is ensuring that Provincial Departments are paying municipalities rates and services consumed by Provincial Departments. We cannot allow a situation where our sector departments are not paying for services rendered by respective municipalities. We are very encouraged by the spirit of the Executive Council where they have ensured that all departments must pay what is due to municipalities.
Single Window of Coordination
Our municipalities will continue to be a single window of coordination where all our people receive consolidated quality services. Gauteng began a process of establishing itself as a Global City Region. We are now at an advanced stage of making Gauteng a Global City Regions, with all necessary system to deliver best services. We believed that municipalities that have necessary infrastructure can afford to continue to deliver sustainable quality services to our people. The merging of Metsweding District Municipality and the City of Tshwane has been successful. My Department has not left City of Tshwane yet; we are closely monitoring the merger process. The City is busy establishing structures that will better respond to the needs of all people. Progress is being made to realise the West Rand District, the developing metropolitan municipality. In 2016 West Rand will become a unified municipality, with capability to deliver quality services. There are several benefits that are experienced currently. Merafong, Westonaria, Randfontein and Mogale City are sharing personnel, services and systems.
Traditional Leadership
Over the past year, the Department continued its support to traditional leaders through hosting capacity building events, supporting women’s empowerment and working towards the full implementation of the Gauteng Traditional Leadership and Governance Act. The Department also hosted and enhanced its governance and identified gaps and ways in which to support the institution.
Public Participation
People are an essential part of our government and their participation is indispensable. We, in Gauteng, have made an astounding progress in deepening democracy especially in introducing refined ward committees in all municipalities. All municipalities have managed to establish revamped ward committees and the City of Johannesburg is the only municipality that has to complete the process. We are providing direct support to all Ward Committees to be functional. Ward Committees are an essential part of public participation given that communities are part of discussions concerning their wellbeing. Public views are critical and we need our residents to give input to all policies that government is making. I have made several undertakings to ensure that ward committees receive the necessary resources to function well. We continue to plead with our residents to refuse to resort to violence, vandalism and destruction of government property when raising their frustrations. This culture of violence or destructive protests is taking us one step forward and two steps backwards. Even people of Rathanda, can now attest that violence is not only destructive but suicidal to the current and future generations. We are busy addressing their concerns but we cannot condone the violence and destruction that we have seen recently in that area of Lesedi municipality. I also reiterated my standpoint on other similar violent incidents that took place in the province during “so called” service delivery protests. In Thembelihle I went out to speak to the community and made it clear that violence will not be tolerated. I repeated the same message in Chiawelo when the houses of two Councillors were petrol bombed. I have went against those actions even in cases which involved ANC ex-combatants who unlawfully invaded RDP houses in Sedibeng.
In Princess plot and Zandspruit, I also denounced violence. The message is clear: We will take action against any unlawful act. We will put you in jail and take you to court for sentencing. As it happened in Chiawelo, once found guilty, we will have no mercy and you will go to prison to serve time for your actions.
CDW Programme
The CDW Programme continues to foster relations between community members and various government services in an effort to promote community development. The programme has continued to support community enterprises to access services from various departments. The programme is also identifying beneficiaries for government projects, and linking them to the needed resources. Their support has revived many stagnant community projects. With the increase in the number of wards due to new ward delimitations, we plan to recruit new CDWs for the vacant wards. We note concerns and dissatisfactions raised in some quarters about the poor work performance of some of our CDWs. We are working to turn around this challenge soon.
Establish good governance practices
Revised and Updated MPAC Guidelines have been developed in order to support newly elected Councillors and this was done through collaboration with SALGA. Further activities have been implemented to enhance the effectiveness of MPACs. Several recommendations were made, including the appointment of full MPAC chairpersons, Training and Development of MPAC members and research support to the committee.
The Department will continue to train and develop the skills of MPAC members through workshops and training. Furthermore, in aiming to ensure that municipalities are accountable it is imperative that its oversight role is enhanced. This has been done through the separation of powers at the municipal level. The Department is working with all metros in the province to implement the model which is being piloted in the City of Johannesburg. In order to enhance its effectiveness, the Department will work towards supporting this oversight model.
Single-tier system of governance
The Department prepared guidelines on the Metro System of Governance, which essentially works towards wall-to-wall metropolitan municipalities in the Gauteng Province by 2025. The guidelines will be further unpacked to an Implementation Plan that will aid municipalities to work towards a Single Tier System of Governance in both the West Rand District Municipality and the Sedibeng District Municipality. The implementation plan will form the basis of the Department’s work towards the Local Government Elections in 2016 and the ultimate vision of wall-to-wall metropolitan areas in the Gauteng Province. The implementation of the above will draw from the experiences of the merger of the City of Tshwane with the Metsweding District Municipality. In 2011, the Department supported the Municipal Demarcation Board with the first phase of its preparation for the May 2016 Local Government elections. This involved circulating and preparing the municipalities for the determination, re-determination and amendments of municipal outer boundaries. Over the next year, it will be imperative that municipalities follow and support the Municipal Demarcation Board’s consultative process and ensure that affected communities support these re-determinations. The Department intends to follow the Demarcation Board’s consultative process in all municipalities.
Speaker, I also wish to indicate that our work is made easier by some of our contractors who understand the need for meaningful partnerships. Last year a section of the Duduza community in Ekurhuleni was completely destroyed by a tornado. The forces of nature ripped houses apart, claimed the live of a child and left pain and devastation behind.
On hearing the news I quickly made a call to our contractors and within minutes most of them were in my office. During our discussion, they agreed to assist. As we are talking today, almost all the houses have been rebuild. Using their professional capacity and own funding all those men and women pitched work stations in Duduza until all the affected houses were rebuild. I thank all of the companies involved for their dedication and commitment to pressing social needs. Umntu ngumntu ngomnye umntu. Motho ke motho ka batho babang. Our oldest and glorious movement, the ANC, says and hopes all of us agree that when we stand together we can do more. Overall, the budget allocation for my department is as follows Total budget R4, 737, 125 billion Capital budget allocation – R4, 003,776 billion (the Human Settlements Grant from the Department of Human Settlements) Administration budget – R67, 039 million from Gauteng Provincial Earmarked allocation.
Speaker, and Honorable Members, it is our deep-seated conviction that this government will be betraying the aspirations and the struggle of the 1955 generation if deracialisation of human settlements remain unchanged. It’s encouraging to note that government is exploring ways and means of ensuring that people from different racial groups with varying income begin to appreciate the value of sharing the same settlement space. It is therefore our expressed intention to direct our energies to building an integrated non-racial society. Siyaya kwi non-racial society, Siyaya!!!
This ANC led government, remains committed and focused, and will forge ahead with its objectives of accelerating the delivery of quality houses and thereby, fulfilling the mandate bestowed to us during the 2009 polls. We now have a comprehensive Human Settlement Plan that will guide us in delivering not only houses but in building sustainable and viable communities. Our main focus is to continue making sure that we have a sustainable human settlement programme that will ensure that people will continue to have access to secured tenure, within a safe and healthy environment, and the development of viable communities for all people. In conclusion, let me thank men and women in the Department who under the stewardship of the Head of Department Mr. Mongezi Mnyani have done a meticulous job under difficult and challenging circumstances. This also goes for wise guidance that the Department enjoyed from the Members of Portfolio Committee led by an ever-vigilant Comrade Errol Mergaman. Our appreciation also goes to all MMCs and officials responsible for Housing and Infrastructure in various local authorities. It is through Human Settlement and Local Government Team that we have been able to achieve the goals we set out to attain. May I also thank all our partners, stakeholders, service providers and ordinary individuals for their continued support.
I Thank You
