Public Works and Infrastructure welcomes increase in investment from the 2023 budget for strategic infrastructure projects

Department of Public Works and Infrastructure welcomes the increase in investment from the 2023 budget for strategic infrastructure projects

Following Minister of Finance, Enoch Godongwana’s Budget Speech today, on behalf of the Department of Public Works and Infrastructure (DPWI), we welcome the increase in investment for much needed infrastructure projects especially the Strategic Integrated Projects (SIPs) which were gazetted in July 2020 in line with the Infrastructure Development Act of 2014.

Today, Minister Godongwana rightfully said in his Budget Speech: “infrastructure investments lay the foundation for inclusive and sustainable growth; they address supply-side constraints; and expand access to basic services”.

Minister Godongwana also stated that overall, the public sector is projected to spend R903 billion on infrastructure over the medium-term. The largest portion of this, around R448 billion, will be spent by state-owned companies, public entities and through public-private partnerships.

In June 2020, Cabinet approved the Infrastructure Investment Plan – a credible pipeline of 62 projects from all three spheres of government, state-owned entities and the private sector.

I gazetted the 62 projects as Strategic Integrated Projects (SIPs) in July 2020 as these projects hold significant value in terms of growing our economy and our country’s development needs.

A number of these projects are completed such as various road projects in KwaZulu Natal, the Free State and Limpopo and housing projects in Gauteng and many other projects are in construction and procurement phases.

Minister Godongwana highlighted some of these SIPs today such as:

• Phase 2 of the Welisizwe Rural Bridges programme breaks ground in April this year. It plans to install 96 bridges annually to enable rural communities in the Eastern Cape, KwaZulu Natal, Mpumalanga, Limpopo, Free State, and North West to safely access schools and workplaces. R3.8 billion is allocated for the programme over the medium term.

• The construction of enabling bulk infrastructure, such as roads and water components for the Lufhereng Mixed-Use Development in Gauteng, begins in June 2023. It will support the development of 31,000 mixed housing units.

• Access roads for the Mzimvubu Water Project are nearing completion. The construction of the Ntabelanga Dam will begin later this year. Additional funding during the next financial year may be required to ramp up implementation.

• Site establishment for the Clanwilliam Dam project is completed. All surface works and 15% of all concrete works will be completed by the end of this year.

We welcome the support and investment into these important projects as the Infrastructure Investment Plan is an integral part of the Economic Reconstruction and Recovery Plan (ERRP) announced by President Cyril Ramaphosa in October 2020 in which infrastructure development was identified as the flywheel to economic growth.

In line with my duties as Minister of DPWI and Chairperson of the Presidential Infrastructure Coordinating Commission (PICC) Secretariat, I have visited many of the SIPs since 2020 to see progress first-hand and to demonstrate that government is investing in infrastructure for the wellbeing of our people as well as for the livelihoods of those in the construction sector.

I will continue visiting more strategic projects in the coming weeks and months, starting with handing over the latest Welisizwe Rural Bridge which has been completed in Esigodini in KwaZulu Natal where a number of bridges have been installed for communities in need since last year.

I remain more committed than ever in this important portfolio to continue driving infrastructure delivery and investment as infrastructure investment ensures that our communities have the basic services they need and plays an important role in our economic growth and job creation.

Source: Government of South Africa