{"id":757493,"date":"2024-03-06T07:00:00","date_gmt":"2024-03-06T05:00:00","guid":{"rendered":"https:\/\/businesstech.co.za\/news\/?p=757493"},"modified":"2024-03-05T13:29:33","modified_gmt":"2024-03-05T11:29:33","slug":"why-government-buildings-are-falling-apart","status":"publish","type":"post","link":"https:\/\/businesstech.co.za\/news\/government\/757493\/why-government-buildings-are-falling-apart\/","title":{"rendered":"Why government buildings are falling apart"},"content":{"rendered":"\n<p>The Department of Public Works and Infrastructure says it needs close to R14 billion to keep all the government buildings in its portfolio well-maintained and in running order (ie, accommodation charges) &#8211; but it is only getting R5.7 billion from the budget.<\/p>\n\n\n\n<p>This means there is an R8.3 billion shortfall in accommodation charges &#8211; with no reversal of this trend expected in the next three years.<\/p>\n\n\n\n<p>According to the department&#8217;s presentation to parliament&#8217;s portfolio committee on Tuesday (5 March), it expects to see a <strong>budget shortfall of R25 billion over the next three financial years<\/strong>.<\/p>\n\n\n\n<p>&#8220;As a result of the shortfall, the entity in most cases cannot deliver the basic services required, backlog maintenance cannot be performed, and future refurbishments cannot be executed,&#8221; said the DPWI.<\/p>\n\n\n\n<p>&#8220;This all leads to further deterioration of the buildings, which will lead to the need for more capital injection.&#8221;<\/p>\n\n\n\n<p>Looking across the department&#8217;s portfolio of buildings, it currently oversees 56,393 buildings covering nearly 17 million square metres.<\/p>\n\n\n\n<p>The South African Police Service (SAPS), Defence Department, Justice Department and correctional services account for 91% of both the count and size of the properties under billing.<\/p>\n\n\n\n<p>Understandably, it is also these departments which account for the most significant shortfalls.<\/p>\n\n\n\n<figure class=\"wp-block-embed is-type-wp-embed is-provider-flourish wp-block-embed-flourish\"><div class=\"wp-block-embed__wrapper\">\n<iframe loading=\"lazy\" class=\"wp-embedded-content\" sandbox=\"allow-scripts\" security=\"restricted\" title=\"Interactive or visual content\" src=\"https:\/\/flo.uri.sh\/visualisation\/17030364\/embed#?secret=R7fHm9sgwM\" data-secret=\"R7fHm9sgwM\" frameborder=\"0\" scrolling=\"no\" height=\"575\" width=\"500\"><\/iframe>\n<\/div><\/figure>\n\n\n\n<p>This total shortfall is expected to be R8.3 billion and R8.8 billion in the 2025\/26 and 2026\/27 financial years, respectively. <\/p>\n\n\n\n<p>According to the department\u2019s\u00a0<a href=\"https:\/\/www.gov.za\/sites\/default\/files\/gcis_document\/202310\/dpw-annualreport2021-22.pdf\" target=\"_blank\" rel=\"noreferrer noopener\">most recent annual report<\/a>, 6,808 state-owned buildings are defined as being in a \u201cpoor or very poor\u201d condition, with the government unable to keep track of ballooning servicing costs.<\/p>\n\n\n\n<p>The government&#8217;s relatively new approach to solving this is through public-private partnerships (PPPs). <\/p>\n\n\n\n<p>According to DPWI Minister Sihle Zikalala, through PPPs, the department aims to encourage the private sector to refurbish and lease out some state-owned properties over time and\u00a0hand them back to the state in a functional state.<\/p>\n\n\n\n<p>This is argued as an opportunity to alleviate fiscal pressure on the property management functions that the entities have, including facilities management, maintenance, repair and construction.<\/p>\n\n\n\n<p>\u201cWe are not selling the buildings to the private sector; we want to build the capacity of the state [rather] than depending on the private sector entirely,\u201d said Zikalala.<\/p>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity\"\/>\n\n\n\n<p><strong>Read: <a href=\"https:\/\/businesstech.co.za\/news\/trending\/741435\/government-wants-the-private-sector-to-fix-up-its-broken-buildings\/\" data-type=\"link\" data-id=\"https:\/\/businesstech.co.za\/news\/trending\/741435\/government-wants-the-private-sector-to-fix-up-its-broken-buildings\/\">Government wants the private sector to fix up its broken buildings<\/a><\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"<p>The Department of Public Works and Infrastructure needs billions of rands to keep its buildings maintained and running.<\/p>\n","protected":false},"author":101,"featured_media":741513,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[23],"tags":[19085,19517,19091,19087],"class_list":["post-757493","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-government","tag-department-of-public-works-and-infrastructure","tag-dpwi","tag-public-private-partnerships","tag-sihle-zikalala"],"_links":{"self":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/757493","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/users\/101"}],"replies":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/comments?post=757493"}],"version-history":[{"count":12,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/757493\/revisions"}],"predecessor-version":[{"id":757613,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/757493\/revisions\/757613"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media\/741513"}],"wp:attachment":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media?parent=757493"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/categories?post=757493"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/tags?post=757493"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}