Cape Town: Cabinet has applauded the measures proposed during the inaugural National Construction Summit to address criminal activities at construction sites. The summit, organized by the Department of Public Works and Infrastructure, was held on 19 November and aimed to create crime-free construction environments. It gathered representatives from various government sectors, including Public Works and Infrastructure, Police, and Treasury, alongside stakeholders from the built environment, to devise a unified strategy against site violence and extortion.
According to South African Government News Agency, Minister in the Presidency Khumbudzo Ntshavheni, during a post-Cabinet media briefing in Cape Town, highlighted that Cabinet has endorsed the signing of the Durban Declaration. This declaration is seen as a commitment to enhance confidence in the government’s ability to deliver infrastructure projects punctually and within budget, thus transforming South Africa into a thriving construction hub.
The declarat
ion outlines several interventions to be rolled out in the coming year, such as fortifying legislation related to the construction industry, enacting suitable development policies, improving data and reporting mechanisms, and ensuring the arrest and prosecution of those involved in extorting construction sites. Additionally, efforts will be made to support emerging businesses and promote skill development within the industry. Collaboration among industry stakeholders will be intensified to address construction sector challenges through shared best practices.
Since 2019, criminal syndicates have disrupted over 180 construction projects valued at R63 billion, employing tactics like extortion, intimidation, and sabotage. To tackle these issues, the government is implementing a three-pronged approach: Reforming Public Procurement, Expanding Public-Private Partnerships (PPPs), and Increasing Infrastructure Investment.
The construction industry is crucial to South Africa’s economy, contributing approximately 3% t
o the GDP and employing over 1.3 million people. In the third quarter of 2024 alone, the sector added 176,000 jobs. Despite its importance, the industry’s potential is hampered by criminal activities. To boost the sector, the government plans to invest over R900 billion in construction over the next three years.