/ 26 June 2015

Empowerment beyond just handing over contracts

Some beneficiaries of the department's empowerment efforts
Some beneficiaries of the department's empowerment efforts

Gauteng Infrastructure Development MEC Nandi Mayathula-Khoza said during her budget speech on Tuesday that Gauteng citizens have said that, for freedom to be real for all, they too would like a share of the Gauteng economy. 

Government listened it is in this context that economically empowering historically disenfranchised groups through its broad-based economic empowerment programme, which is yielding results including localisation and a preferential procurement programme. 

In 2014/15, the department spent over R1.6-billion on buying goods and services from black businesses (including businesses owned by Coloureds and Asian people). It procured 82% of total goods and services from black-owned companies, 37% from youth-owned companies and 4% from companies owned by people with disabilities. This year it will sustain this achievement and include companies owned by military veterans, who fought for freedom and they also deserve a better life.

The department is also working closely with the Construction Industry Development Board (CIBD), the statutory body to stimulate sustainable growth, reform and improvement of the construction sector.

“We have re-opened our supply database for emerging contractors with CIDB 4 levels to ensure that we procure from more township suppliers. We have also created term contractors from mainly lower CIDB levels 1,2 and 3 to involve more township enterprises in all development corridors. We, together with municipal leadership, have successfully intervened with local contractors in Garankuwa, Westhoven, Tembisa and other communities to ensure economic inclusion of local business people,” Mayathula-Khoza said.

“This will help the department to ensure that it continues to procure more than 75% of the department’s goods and services from local companies and 30% from township enterprises in particular. In collaboration with one of its maintenance materials suppliers, it has already helped with the establishment of a factory in the Tembisa township to manufacture some of the construction material it needs.” 

In the same way, Mayathula-Khoza said, the linen, brickwork and steel windows required for the additional construction projects at the new Thelle Mogoerane Hospital are sourced from township entrepreneurs in Thokoza, Voslorus and other townships. “We intervened with woman-owned co-operatives in Westonhaven, who are now producing uniforms for our maintenance staff. We are no longer just talking about the goal of Township Economy Revitalisation; we are implementing our strategy.”