Public Works and Infrastructure Minister Sihle Zikalala has vowed to keep an halt to the failure to pay service providers in the construction industry within 30 days.
Minister Zikalala was speaking at the National Stakeholder Forum convened by the Construction Industry Development Board (CIDB) which is an entity of the Department of Public Works and Infrastructure (DPWI).
The National Stakeholder Forum is comprised of contractors in the built industry, government departments and municipalities involved in infrastructure development, built industry organisations and councils, institutions of higher learning and other key players in the built environment industry.
The forum was convened in order for the Minister to gain insight from players in the industry and depart through emerging trends and developments, respond to threats and recent opportunities emerging within the sector.
“We will commence engagements with every contractors not paid on time. It is time that we battle bribery and corruption where payments are delayed in order to force them to pay. We are alarmed at the allegations that outstanding invoices amount to billions. We will intensify the Re a Patala campaign in every provinces,” said the Minister.
Re Ya Patala (We Pay) was launched by the DPWI October 2009 as means to address payment backlogs to service providers.
Responding to challenges faced by small, micro and medium enterprises (SMMEs) and emerging contractors around access to finance, Zikalala noted the historic partnership between the CIDB and the Small Enterprise Finance Agency (SEFA) for construction industry financing mechanisms to focus on financing small and medium contractors and cooperatives involved in the construction sector.
The partnership under consideration will see the CIDB contribute up to R150 million and SEFA matching that with R150 million over the medium term.
“The struggle faced by SMME’s in the construction sector requires innovation. Many collapse because they finish not gain access to finance and loans for building materials and other resources. We need to develop a finance institution led by the industry to support contractors,” said the Minister.
Stakeholders maintain implored the Minister to investigate and report on the escalating rate of the cancellation of tenders, especially huge tenders by parastatals and institutions which is costing the construction industry billions of rands.
The forum noted that immense state entities cancel tenders after contractors acquire spent money and time putting together infrastructure.
Career paths
Meanwhile, the Minister raised concern over the tedious pace in which the built environment industry is advancing the career path of professionals.
“The DPWI is worried that there are suspicions of gatekeeping. At least over 30 000 professionals gain been kept at the candidacy level for a longer period of time. There seems to be no appetite to graduate them and empower them with skills relevant to their qualifications,” said the DPWI.
The department, through one of its entities, the Council for the Built Environment (CBE), will establish a national logbook to track progress in this area.
The entity has also been tasked with standardising the process of how one obtains professional recognition within the industry.
The CBE will strengthen its relationship with tertiary institutions and councils to accelerate the preparation, mentoring and registration of students at lower academic levels. – SAnews.gov.za
Wheels
Interview with a pirate:
There was a pirate who had agreed to do an interview with a local tv station. The reporter was very courteous and professional, giving a bit of background as to the pirate\’s business. She then began interviewing him.
\”So Mr. Longbeard, are there any risks to your business? I see you have a peg leg- how did that come about?\”
\”Well, y\’see I were sailing along the coast of South Africa, looking to plunder some locals when as I boarded the small boat from the ship, a great white shark came up and got my leg clean off. \’twas scary yes, but thus is the life of a pirate.\”
\”Wow, that is pretty scary- well, how about your hook? What happened to your hand with that?\”
\”Oh now that\’s quite the tale, y\’see I were fighting a rival pirate, and we had locked swords. We had been fighting for a few hours, and were both terribly fatigued. I had a bit of exhaustion and confusion, and when I went to block one of his sword blows, I met him with me hand instead of me sword. Took it right off, but it shocked him so much I managed to get him back pretty good and have him submit. So the hook hand was given as a replacement.\”
\”Wow. Simply fascinating. Now, what about your eye patch? How did that happen?\”
\”Well, one day, a seagull was flying overhead, and I looked up. It pooped right in me eye.\”
\”… Well wow. I must admit, I wouldn\’t think just seagull poop could damage the eye that badly.\”
\”Oh, I forgot to mention… it were me first day with the hook.\”
Prometheus
Fun South African Fact: South Africa is home to the oldest meteor scar in the world – the Vredefort Dome in a town called Parys. The site is a UNESCO World Heritage Site.