By Lehlohonolo Lehana.
Public Works and Infrastructure Minister Sihle Zikalala says ending the intricate web of construction site disruptions requires a concerted effort from all.
“It is important that we all speak with one voice in condemning site disruptions and extortion affecting this sector.
“It is even more important that we act together to root out these illegal practices which are bringing disrepute and dragging away investment in the South African construction and property sector, Zikalala told Creamer Media webinar.
This as government and role-players have expressed concern over site disruptions which over time, have gained media coverage.
Zikalala has described the construction sector as the “backbone of the economy and social development” and a pillar for economic growth and recovery as per the instruction of President Cyril Ramaphosa when he presented the Economic Recovery and Reconstruction Plan (ERRP).
Head of the Justice and Violence programme at the Institute for Security Studies (ISS), Gareth Newham said disruptions cause damage and affect the ability of the country to use construction in a way that drives economic development and prosperity.
Since taking office in March, the Minister has visited several construction projects to monitor progress.
Among these were blocked and delayed projects caused by the hijacking and disruption of project sites in KwaZulu-Natal.
The rising phenomena of so-called construction mafia who invade, intimidate and disrupt the delivery of projects on the ground has resulted in the opening of 605 cases.
While some arrests have been made, Zikalala has highlighted the importance of arresting, prosecuting and sentencing of those involved in the scourge that is mostly affecting KwaZulu-Natal.
According to the Minister, site disruptions have cost the economy R68 billion.
Vice President of the Black Business Council, Gregory Mofokeng said the industry is actively cooperating with the police on the matter while contractors have also obtained court interdicts in efforts to curb the scourge.
“Unfortunately, in most of these instances the very criminals do not respect the court interdict. So we find ourselves in a situation where once again we either have to go back and rely on the police to make sure that those court interdicts are enforced.
He adds that the sector is not seeing “increased activity in terms of making sure that these very criminals are arrested and brought to book.”
MDA Attorneys director Euan Massey defined construction mafias as organisations that go to construction sites and extort money from contractors, subcontractors, and developers.
Massey said that several initiatives are afoot to address this issue. The first is the Public Procurement Bill, currently open for public comment.
This legislation aims to address several issues, including the percentage of local participation and requiring organisations to do their due diligence on companies involved in construction, particularly in the subcontracting space.
While the industry’s response to these initiatives has been lukewarm, Massey said it is “good to finally have the government’s interest and participation in these pressing issues”.
He said MDA had been involved in these issues for the past 15 years, even before the promulgation of the Preferential Procurement Regulations.
“This is the first time that the upper spheres of government have taken some level of ownership to take the bull by the horns and tackle this problem head-on,” he said.
Massey said that over the past two years, around 600 investigations and cases related to the construction mafias have been opened.
However, it is uncertain how many cases have been closed and how many prosecutions have followed these investigations, but it seems to be a low number.