Infrastructure
In respect of the massive and persistent housing backlog in the province:
- (a) How much was the province allocated in the Human Settlement Development Grant (HSDG) for the 2024/25 financial year and (b) how much has his Department spent (i) to date and (ii) on which projects of the allocated HSDG for the 2024/25 financial year,
- whether the project plans for the projects in (1) (ii) meet the national government spending framework and are compliant; if so, where are the projects located?
- (a) The department spent the entire R1,405,872,000 available as per annexure A. It should be noted that at the end of February 2025 the HSDG was incorrectly reduced by R200m from the original R1,605,872,000. This meant that R200m in accrued payments for March 2025 were paid in the 2025/26 financial year which will have an impact on funding available to initiate new projects.
(b) (i) Following the confirmation of the R200 million budget cut by the National Department of Human Settlements, which reduced the HSDG allocation, the Department successfully spent R1.405 billion by the end of the financial year representing 100% of the revised allocation.
(ii) The HSDG funds have been committed to a range of priority housing projects across the province. A detailed list of projects and associated expenditure is attached as Annexure A
- All the projects meet the national government spending framework and are compliant as per the business plan approved by the National Department of Human Settlements. Yes, the Department has conducted internal assessments of the implications of the R200 million budget cut from the HSDG, the project plans for the above-mentioned initiatives comply with the national government’s spending framework and adhere to the applicable Human Settlements Sector conditions, including the Division of Revenue Act (DoRA), the Project Readiness Matrix, and relevant programme guidelines.
All projects are subjected to technical and financial assessment processes, and approvals are granted via the GAAC (Grant Allocation Assessment Committee). Furthermore, these projects are reflected in the approved 2024/25 Multi-Year Housing Development Plan and the provincial Business Plan submitted to the National Department of Human Settlements and approved.
