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NPWP & POLICY BRANCH

Strategic Planning Workshop for

Public Works Portfolio Committee

12 – 15 March 2006

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Contents of the Presentation

• Strategic objectives of the Branch;

• Construction Industry Transformation;

• National Construction Week (NCW);

• Skills Development Programme;

• Forum of SADC Public Works Ministers;

• Property Industry Transformation;

• Disposal Policy;

• Emerging Sector Programmes;

• Verification Exercise

• ASGISA

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Strategic Objectives

• a) To provide strategic leadership to the Construction and Property Industries to promote sustainable economic growth, transformation and development.

• b) To provide a custodial function for the property portfolio the Department is responsible for; and

• c) To address poverty and unemployment through the Expanded Public Works Programme.

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Construction Industry Transformation

• Transformation of the IndustryConstruction Charter:-- Text and Scorecard finalised (September 2004)- Handed over and accepted by Minister- To be signed off by all stakeholders (17/03/06)- Process underway to set up the charter council.

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National Construction Week (NCW)

• National Construction Week:-

To promote the image of the industry through:

- exposing youth to exciting opportunities in the industry;

- platform for stakeholders to celebrate opportunities & achievements.

Cooperation between public and private enterprises involved in the industry

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• NCW 2006 Campaign

- to change the image of the industry

- to create awareness of wide range of careers opportunities to aspiring professionals & artisans

- to encourage skills development & retention

- to celebrate achievements – people, institutions, processes and innovation

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• Buy-in: - National, provincial and local government, organised labour, NEDLAC, Research & Standards Bodies

- Professions, employer & volunteer associations

- Material supplier bodies

- Financial institutions

- International & Development Organisations & Donors

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• Marketing, PR, Media, Advertising:o Radio & TV adverts in five languages

o Website

o All forms of media (national & provincial) to receive Newsflash of events in their Provinces

o Call Centre Service to enable companies & schools without access to internet to log in their event information and obtain event information

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Skills Development Programme• MSD:

- 40 post-matriculants were selected for the 2006 intake

- Selected using DPW & SANDF selection criteria

• 2014 Youth Foundation:

- 3 pilot schools in 2005: WC, LM, Mpuma

- Roll-out to 3 additional: FS, EC, NC

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Skills Development Programme• Total of 72 youths now on the programme• Programme entails:

- competition to design projects for development of their schools (2005)

- new design projects to be completed by the start of NCW in July 2006;

• Industry support: finance for winning project, bursaries, mentors.

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Forum of SADC DPW

• Status quo report on the SADC industry finalised• Terms of Reference finalised• Draft programme developed (to be discussed with

Minister)• Conference on 24 -25/04/06

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Property Industry Transformation

• Property Charter:- Charter accepted by stakeholders- Submitted and accepted by Minister- Charter to be signed by all stakeholders on

17/03/06- Plans to establish Charter Council underway

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Disposal Policy

• Context:

- Biggest portfolio – platform for service delivery;

- Cost of management of unutilised assets high

- Disposal backlog

- Opportunities: o Property Charter

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Disposal Policy

• Constraints (PPPFA (90/10; 80/20) principles

• DPW policy:o to guide officials on sales, donations, letting, or exchange,

PPP, transfer between spheres of government, unsolicited bids, disposal to govt officials and public office bearers, etc;

o adjudication guidelines: overall target 70% of the property value or Level 4

contributor in terms of the Property charter.

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Disposal Policy

• Process- Policy & adjudication mechanisms developed- Discussions with DPE to consolidate DPW

and SOE disposal documents for uniformity among govt agencies - Joint Cabinet memo to be submitted asap- This policy has been discussed with Provincial

Public Works and will be promoted to other custodians

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Emerging Contractor Development Programme (ECDP)

• Dept continues to support emerging contractors. A review of the existing ECDP conducted in 2004 highlight some weaknesses in our ECDP such as

- access to finance

- effectiveness of support programmes

- capacity issues, etc

• The dept has since realigned its programme to focus it more on developmental and training issues through learnership programme supported by CETA.

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Contractor Incubator Programme (CIP)

• To further accelerate the development of emerging contractors, a CIP programme was developed to focus on contractors managing projects from R1m to R30m.

• Since inception, a total of 81 contractors were selected to be on database of pre-selected contractors for CIP.

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• These contractors were subjected to a verification process to confirm their BEE status.

• The result of this exercise was:o 69 were confirmed to be BEE

o 9 did no respond

o 3 were non BEE.

Thus: 69 contractors are on the CIP database of which 22 (31.8%) are women. The available space (11) may be filled by women contractors.

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• A total of 170 Projects ranging from R1m to R30m have been identities for the CIP.

• At least 30% of these will target women owned construction companies.

• Mentors will be identified to support the contractors.

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Women In Property• The Dept has supported the establishment of an association

for women in property.

• A dedicated official has been appointed and accommodation and equipment have been provided.

• The Dept is in the process of appointing an Manager for a period of three years.

• Targets for women-owned enterprises and individuals have been set in all empowerment programmes of the Dept

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Women in Construction

• The Dept continues to support women owned construction enterprises.

• As mentioned above, over 30% of enterprises on the CIP are women owned – this figure may increase to at least 40%.

• The projects identified for this year (170) are enough to support most of these enterprises

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Emerging Landlord Programme

• Opportunity: leasing annual budget of about R1,3m

• More leases running on month-to-month basis or short term

• Emerging landlord programme to be developed to promote BEE

• Discussions underway with financial institutions to develop accessible financial facilities for emerging landlords (ABSA, Nedbank)

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Verification exercise

• Progress:

- MOU between NPA & DPW being finalised for

DPW to fund & for NPA to authourise investigation

- have started preliminary investigations

- getting contracts from regions and affidavits

- PriceWaterhouse Coopers to do forensic audit

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ASGISA

• Govt infrastructure spend of R370bn• Women under represented in most sectors• Fact-finding mission to UAE in Feb initiated by

DP’s office• Reason for choosing UAE: two Emirates visited

are some of the fastest growing cities in the world, 12% of the world cranes are in Dubai, large scale projects.

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ASGISA

• Concrete officer from SA House:

- placement of 100 women

- sectors: infrastructure development, finance, hospitality

- to start work on 1 April 2006

- Period: 6 – 12 months

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ASGISA

• Package: return tickets, accommodation, allowance, medical assurance, transport

• Recruitment: Received 502 applications, shorlisted 176, selected 100 women

• Orientation workshop 17 – 19/03/06• Departure 24/03/06

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THE END

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