Documents tied to 45 housing projects worth R6.6 billion lost due to fire

The Department of Human Settlements is unable to trace the details of ghost housing projects dating back to 2008.

The housing projects are listed as having been blocked, but all have been abandoned or indefinitely suspended after being approved.

Human Settlement Member of the Executive Council (MEC) Tasneem Motara provided the details in a written response to a question submitted to the Gauteng Provincial Legislature.

Documents lost in fire

The MEC noted that 45 housing projects had been abandoned in the last 16 years, with the initial budget for projects totalling a combined R6.6 billion. 

Of the projects, 22 were approved for the City of Johannesburg, with the West Rand and Sedibeng municipalities earmarked for four and seven, respectively.

Motara stated that Tshwane and Ekurhuleni would have received six housing projects each.

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When asked if the contracts, land use agreements and other legal documentation were available, Motara provided a startling answer.

“The Department is unable to provide the initial documents as requested due to the fact that these were hard copies and were lost at the department’s Bank of Lisbon building that burnt down,” the response stated.

1.3 million abandoned recipients

The Democratic Alliance’s provincial shadow MEC for human settlements Mervyn Cirota highlighted the lost opportunity to house the province’s destitute.

“Many residents in Gauteng are forced to endure inhumane, unsanitary, and appalling living conditions while this department fails to fulfil its mandate,” stated Cirota.

According to the Democratic Alliance’s calculations, the failed housing projects would have been able to accommodate 1.3 million South Africans.

“Furthermore, no meaningful and deliverable plan with effective timelines has been presented by either the MEC or the department for the residents on the housing waiting list,” Cirota added.

Poor contractor performance

No explanation was given on why the documents were not backed up digitally but reasons were given as to why projects were abandoned.

The reasons listed for the failures were predominantly a result of poor contractor performance and a lack of programmes to support surrounding communities and SMMEs.

Additionally, some pieces of land earmarked for projects were occupied by informal dwellers, leading to a discontinuation of projects.

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The MEC was unable to state how much had been spent on the projects before being abandoned but said at least R18 million was spent on structural assessments and construction designs for just over 9,100 units.

The provincial opposition said it will push for a forensic audit of the projects and the implementation of a province-wide recovery plan.

“The people of Gauteng cannot wait another day while R6 billion worth of housing projects lie abandoned,” Cirota concluded.

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