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1. Development of the light steel frame building Industry in South AfricaWorld Steel Construction CouncilParis, November 2007 SASFA IS A DIVISION OF SASFA IS A DIVISION OF SASFA IS A DIVISION OF

2. Agenda 1. Background 2. Route map 3. Development plan 4. Development actions 5. What has been achieved? 6. Industry overview 7. Future plans

3. 1. Background 1.1 Building industry in SA (2006) • Building volumes (municipal approved, + subsidy housing) • Residential : 18.2 million sq m (>80%) 11.2 million – bonded housing 7.0 - subsidy housing • Non-residential : 3.0 million sq m • Customary low rise building style • Masonry • Timber frame • Innovative steel building systems

4. 1. Background (continued…) 1.2 History of LSFB in South Africa (SAISC) • 2003: Countrywide seminars on light steel trusses. • 2004: Visit to the Australian LSFB industry. Contact also made with US and UK LSFB associations. • 2005: Kept topic on Institute development agenda, kept in touch with SA companies investigating LSFB. • 2006: Steel producers increased their financial contribution to the Institute. Made it possible to direct some funding at development of this industry. Two ‘industry’ meetings were held - the need for a SA building code, as well as an industry association, was identified. Started development programme in June 2006.

5. 2. Route map • Identify opportunity • Formulate plan and goals • Association or forum • Building Code • Get ‘industry’ buy-in and input • Adjust plan • Obtain financial support • Major material producers • Other beneficiaries • Execute plan • Measure results, report back to industry (regularly)

6. 3. Development plan • Major concern – quality • Lack of knowledge, experience, skills. • Low barrier to entry, fly-by-nights. • Industry forum or association, to • align development efforts • pool resources • control quality • Building Code • Interim draft – timber frame code • Acceptance by NHBRC • Final code - not necessary to re-invent • Need for speed – industry investments • Marketing goals • 10% of the low rise building market in South Africa by 2011 (2,0 million m2, 30 000t of steel) • Expand to surrounding countries

7. 4. Development actions • JULY 06: 2nd ‘Industry’ meeting • Presented Interim draft code • Started drafting final code • Drafted Association Mission, Vision, Constitution, Code of Conduct. • Funding • Compiled value proposition for major material suppliers (steel, fibre cement, gypsum board and insulation). • Calculated each supplier industry’s potential gain when goal is reached (total Euro 60 million) • Developed activity based budget, and apportioned it to the major material suppliers • They accepted – diverse group of industries. • OCT 06: Launch cocktail function. Association a division of the SAISC. • Convened Interim Steering Group. Monthly meetings. • NOV 06: Started website.

8. 4. Development actions(continued …) • Formed committees – Training, and Technical. Broad industry involvement. • Made presentations at conferences and seminars, to introduce LSFB. • FEB 07: Arranged industry feedback meeting, “AGM”. Elected Exco and chairman, and other committee members. Appointed a director. • Structured ‘Quality’ programme: • Building code • Quality checklist • Training programme • Accreditation programme • Advisory service. • MAY 07: Held halfday seminars in four major centres. Vice Chairman and Chairman of LSK as presenters. Also speaker from a major bank in SA. 420 attendees. Great success. TV interviews “Home Channel”. • JUNE 07: ‘Train the trainers’ course: light steel frame erection. Australian trainer, 13 trainees. • AUG 07: Industry feedback meeting, 130 attendees. • Investigate dubious projects. • Energy efficiency study.

9. 5. What has been achieved? • SASFA a creditable association, on back of Institute standing. • Run on business principles, to reduce financial dependence on major material suppliers. • Website > 1000 visits / month (>100 000 ‘hits’ / month). • Awareness: up to 5 media placings per month. • Membership: 56 companies. • 3 Committees: 32 industry representatives. Regular meetings. • Training programmes offered by two companies: “LSF erection & cladding”. • Accreditation scheme being rolled out: • Four stages of value chain. • ‘Accreditation village’ - builders • LSFB Approved by NHBRC and local authorities, and major bank. • SASFA building code finalised.

10. 5. What has been achieved? (continued…)

11. Energy efficiency LSFB offers 70% saving on embodied energy, vs brick building, and … 10%+ saving on operational energy. Combined: >23% energy saving

12. 6. Industry overview

13. 7. Future plans • ‘Accreditation village’ • Accreditation scheme implementation • Publish SASFA Building Code • SABS approval for Building Standard (SANS 517) • Media ad programme for LSFB • Engineers training course (Feb – March 08) • Country wide seminars on Building Code (Feb - March 08) • Expand SASFA membership to 85 companies • Regular publicity in media – project articles • Interbuild Exhibition, July 08 • Capture financial benefits for energy efficient buildings from national electricity supplier? • Next industry feedback meeting – Feb 08.

14. What is happening? Office building, Durban airport Double storey house, Johannesburg

15. What is happening? Holiday house, Southern Cape

16. What is happening? School, Western Cape

17. What is happening? Offices inside industrial building, Durban

18. What is happening? College building, Durban

19. In conclusion: • The light steel frame building industry is rapidly developing in Southern Africa. • We have the support of major material producers. • If we keep on doing the right things correctly, we will reach our 5 year marketing goal well before 2011. • We value the support of the well established LSFB industries in the rest of the world. John Barnard Director, SASFA john.barnard@saol.com

20. For all those supporters of the Australian, New Zealand, French and English rugby teams who thought they were going to win the WRC….