MECs of Human Settlements commit to deliver on the 2021/2022 Housing Delivery Target

Even though business and the country may be battered by Covid-19 pandemic, the Human Settlements Department has managed to deliver close to 15 000 housing opportunities in the first quarter of the current financial year. In the process the department has managed to spend R3.3 Billion.

In the yesterday’s meeting between the Minister of Human Settlements, Water and Sanitation, Lindiwe Sisulu, Deputy Minister David Mahlobo and all Provincial MECs (MINMEC), the MECs made an undertaking that housing delivery will be accelerated over the next coming months to enable government to deliver on its set target for the 2021/2022 financial year. This commitment by MECs will ensure the department delivers 100 000 housing opportunities by March 2022.

The National Department of Human Settlements revealed in its preliminary expenditure report for the first quarter (April to June 2021) that R3.3 billion has been spent against the R4.2 billion transferred to the Provinces. This amount has made it possible for thousands of beneficiaries to have decent shelter over their heads.

In an effort to address the multiple socio-economic challenges and ensure the needs of poor communities are met, the Provinces must deliver on their set targets, spend their budget allocations to provide affordable housing opportunities and avoid a situation in which some of their resources are reallocated to better performing Provinces. Delivering her Budget Vote Speech in May 2021 Minister Sisulu announced that over R13 Billion had been allocated to the Provinces to deliver much-needed housing opportunities.

Other matters which served at the MINMEC meeting included a report in relation to the Provinces paying contractors within 30 days, progress made in the implementation of the 40% set aside for women and youth contractors, as well as partnership with the private developers to accelerate housing delivery.

MINMEC also discussed the possible adjustment of the quantum as it has not been escalated since 2018. The MINMEC noted that there have been significant changes in construction and labour costs which have affected the sector.

Source: Government of South Africa