Targeted Projects and Incentive Grants for Infrastructure Development

1. Incentive GrantPublic Works Appropriation's Committee29 June 2011 1

2. Outline • Targeted projects • Incentive grant budget for 2010/11 financial year • Departmental EPWP contribution for 2010/2011 and 2011/2012 financial years • Incentive grant budget for 2011/12 financial year • Emerging contractor contracts for 2011/12

3. Targeted projects • Department is planning to maximize on labour intensity of existing infrastructure projects -Construction and road maintenance prgrammes, including Zibambele -Labour Intensive Construction (Emerging contractor level 1 & 2) -Ultra thin Labour Intensive construction -Block Paving LIC Construction • Capacity building EPWP learnerships • Most of the projects are implemented through the baseline budget; the incentive budget constitutes additional funding

4. Targeted projects cont’d • Currently Zibambele road maintenance programme is targeting 40 000 beneficiaries going forward across the province. Zibambele has contributed massively in the number of FTEs that the department has created and it is the pillar of EPWP in KZN within infrastructure sector as it provides permanent work opportunities. • As an expansion to Zibambele the department is targeting youth that has graduated from Zibambele learnerships for the capacitation programme which is aimed improving the quality of reporting and overall programme support to the EPWP at the regional level. • The incentive grant budget is targeted at Labour Intensive Construction and maintenance projects which contribute in achieving equitable and well maintained Provincial road network, as well as enhancing emerging contractor development and employment opportunities for local labour. .

5. Targeted projects cont’d • Emerging contractors in CIDB Grade 1 and 2 are the main focus for delivering on labour based projects. Although some bigger capital projects have been included as part of the EPWP , the work is subdivided into smaller contracts to enhance the development of emerging contractors which ultimately provides extensive employment for local labour. • Construction projects are aimed at providing access roads to public service facilities and other areas that are currently underserved. • The department implemented the road construction learnerships at NQF level 2, supervision construction learnerships at NQF level 4 and road worker learnerships at NQF 2. In total there were 140 learners for capacity building learnerships which were aimed at developing young future contractors within the construction industry. 131 of these were youth from Zibambele households who matriculated with mathematics and science.

6. Classroom photograph

7. Classroom training

8. LIC construction of Gabion retaining wall on P240

9. Construction of walkways in P230/240

10. Incentive grant budget for 2010/11 financial year

11. Departmental EPWP contributions over the MTEF period

12. Incentive grant budget for 2011/12 financial year

13. Emerging contractor contracts 2011/12 • Subsequent to SihambaSonke launch, from the current incentive grant allocation the department will scale up its maintenance and construction programme using Labour Intensive methods. • In order to benefit emerging contractors the department has targeted grade 1 and 2 contractors as follows;

14. Conclusion • With the targeting of Zibambele youth the department will be providing employment and training for at least three years over and above the permanent work opportunities already created in this programme • The above shows that in responding to the new growth path we have to intervene in both the execution and planning of road construction and maintenance projects.

15. Construction site for block paving in Pietermariburg

16. Construction site

17. NGIYABONGA ! THANK YOU! BAIE DANKIE!