The tide is turning against construction mafias in South Africa

 ·18 Nov 2025

Public Works and Infrastructure Minister Dean Macpherson says South Africa is finally making real progress in its fight against the construction mafia.

The construction mafias are groups known to intimidate contractors, invade sites and extort money from building projects.

After years of disruption and rising violence, new arrests, stronger coordination with police and better community involvement are starting to stabilise the sector.

These groups, often called business forums, are not formal criminal syndicates. Instead, they are loose networks of people who spot an opportunity to extort cash from successful government and private projects.

They typically demand around 30% of a contract or insist on “protection fees”. When contractors refuse, they often respond with site invasions, threats, or destruction of equipment.

Their activities have delayed major infrastructure projects, increased construction costs and scared off investment across the country.

Lufuno Ratsiku, President of the South African Council for the Project and Construction Management Professions (SACPCMP), explained that these groups usually have no link to the communities they claim to represent.

“These are basically people who group themselves targeting certain projects that are proceeding well, and they see an opportunity to disrupt them and extort cash,” he said.

Macpherson said the government’s response began taking shape after the Durban Declaration was signed in November 2024.

The agreement—between the Public Works Department, SAPS and National Treasury—committed the government to restoring order at construction sites.

He described it as a clear turning point. Since then, over 770 cases have been reported, 241 suspects arrested, and 176 convicted.

KwaZulu-Natal, once the country’s main hotspot, has seen disruptions fall sharply from more than 60 a month to fewer than 10.

Hotlines have been set up for people to report project disruptions, and police now work with private security to break up the networks behind these crimes.

However, Macpherson added that enforcement is only part of the solution. “Crime flourishes where systems fail,” he said. 

Many projects were vulnerable because of poor planning, weak communication with communities and unclear regulations.

To fix this, the government is finalising a new Integrated Social Facilitation Framework to ensure communities are involved before construction begins.

Revival of the construction industry

Public Works and Infrastructure Minister Dean Macpherson with President Cyril Ramaphosa

Macpherson said this will help prevent outsiders from falsely claiming to represent local interests. “Local communities will become our first line of defence against those who seek to disrupt projects,” he said.

Ratsiku agrees that community involvement is essential. The government relies heavily on residents for information, but he says reporting must be safer and faster. 

“What needs to improve is the ability to report and the ability of the government to protect those who report,” he said.

“The fight against extortion cannot be handled by the government alone or by communities alone; both sides must work together.”

These reforms coincide with a broader push to revive the construction industry, which Macpherson sees as central to South Africa’s economic recovery.

He pointed out that 30,000 new construction jobs were created in the third quarter of this year, while industry figures show employment growth of about 130,000 in the third quarter of 2025.

The government has also set aside R300 million to help emerging contractors meet compliance requirements and operate more effectively. 

However, Macpherson admits that there are still serious challenges, particularly regarding slow government payments and delays in project approvals. 

Contractors, he said, have “borne the brunt” of these problems. He has promised faster processes and fewer bottlenecks.

A key part of this is the new South African Construction Action Plan (SACCAP), approved in October. 

It aims to fix long-standing issues in public-sector construction through better budget controls, digital project tracking, improved audits and new Procurement War Rooms in all nine provinces.

A national blacklist is also being created to stop repeat offenders from getting contracts, and a digital tracking system is being piloted to improve monitoring of public projects.

Macpherson said these steps will help rebuild trust in public construction and speed up delivery. 

He also wants all construction regulations consolidated under the Public Works Department, arguing that this will reduce confusion and help fast-track important projects.

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