Call for more private and public partnerships to help tackle housing backlog

21 November 2016 - 15:30 By Penelope Mashego
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Human settlements deputy minister Zoliswa Kota-Fredericks announced the Housing Development Agency (HDA) as the official state developer on Monday.

“Our intention is to put government in the forefront of land and property development for the delivery of integrated human settlements‚ critical to this decision is the need for government to work in a seamless and cooperative manner in partnership with the private sector to deliver on the master spatial plan‚” said Kota-Fredericks.

She was speaking at the inaugural Developers' Consultative Roundtable in Kempton Park‚ the roundtable was hosted by human settlements and the HDA where they met with private sector developers to discuss the role they will each play in providing housing.

The deputy minister urged private sector developers to enter into partnerships with the government to tackle SA's housing backlog.

“Please rest assured‚ we know your fears as government‚ that you think that the government is crowding out the private sector we want to say to you we are crowding in the private sector because this is about working together‚” she said.

Speaking after Kota-Fredericks‚ human settlements director general Mbulelo Tshangana reiterated the deputy minister's call for partnerships between the public and private sector especially at a time when the fiscus is shrinking.

Tshangana said for every social housing unit the agency built 70% of the funds came from the government but that it faced a R3.6bn cut in its budget.

“The time for partnership is required now more than before because the fiscus has been cut short‚” he said.

The director general said he recognised that red tape expensive and time consuming for developers who found themselves having to go to different departments to get projects started.

Tshangana said the HDA could help resolve that issue by becoming a one-stop shop for developers in provinces and municipalities but they had to discuss different solutions to deal with the housing backlog.

“There is no way that we are going to make an impact on the delivery backlog if we rely on the government delivery system‚” he said.

The HDA was established in 2008 in terms of the Housing Development Agency Act 23 of 2008 to facilitate human settlement developments by acquiring and releasing state‚ private and communally owned land.

TMG Digital/BusinessLive

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