Portfolio Committee on Cooperative Governance, Human Settlements and Traditional Affairs visits Mmakau RDP Houses Project and Completion of the Construction of the SMME Development Hub project in Madibeng Local Municipality

The Portfolio Committee on Cooperative Governance, Human Settlements and Traditional Affairs led by Acting Chairperson, Hon. Nathan Oliphant conducted an oversight at Mmakau RDP Houses Project and Completion of the Construction of the SMME Development Hub project in Madibeng Local Municipality.

The oversight visit is part of the oversight programme in Bojanala District aimed at strengthening oversight and public participation and promoting accountability and transparency in government. During the program, Members of the Provincial Legislature will interact with different provincial departments and Members of the Executive Council; Mayors; Accounting Officers; and members of the Municipal Public Accounts Committees. Different Portfolio Committees will conduct oversight visits to various projects in the district to check their status quo and challenges therein.

Mmakau Housing Project
The housing project for 286 beneficiaries commenced in 2017 at a budget of R49,8 million but has been experiencing serious challenges from the developer, Khetwayo Construction. According to the Department of Human Settlements, there has been slow performance of the developer since its inception and was served with intention to downscale the project in order for the department to appoint alternatively performing developer. The contractor was ordered to halt further construction of foundations and focus on completing 50 houses by the end of December 2026. Failure to meet this target will result in the termination of the contract. The developer is currently under close monitoring, with unannounced site visits being conducted regularly to assess progress and compliance.

Completion of the Construction of The SMME Development Hub
The project which commenced in 2021 designed to host small, medium, micro enterprises for development of entrepreneurship and skills, and foster innovation, training and business growth. The contract has experienced serious challenges since its inception where previous contractors were terminated for poor performance. The project includes construction of the office park, classrooms and computer rooms for skills development initiatives.

After the underperformance of contractors, Joey Marang JV BRT Projects was appointed to complete the project at an amount of R10,4 million in April 2023 and it is at 99 percent completion rate. The consultants, M.Kona Consulting Engineers informed the Committee that they have been struggling to locate the contractor to finalise the project but have informed the municipal council on the challenges experienced.

Hon. Nathan Oliphant said it was shocking that the municipality through the performance management unit and council has allowed for occupation of the building of the incomplete project in October 2025 although it is a serious occupation health hazard as it does not meet all necessary requirements. “We are also shocked that the municipality has admitted that the non-performance on the contract might’ve led to the challenges in performance management unit where nine officials has bene dismissed. Furthermore, while the municipality has advertised for those positions, it has appointed an external service provider for 36 months on performance management which creates duplication of duties, additional costs and might cause fruitless and irregular expenditure.

“There are other concerning challenges such as weak and insufficient security systems and poor electricity supply with an unsecured generator without diesel or petrol supply on site; lack of office furniture, other amenities and the lack of a comprehensive management of the building. The municipality has also failed to inform the Committee on contract management strategy on the occupants of the building such as state-owned entities of SITAs providing training for cooperatives, how revenue will be generated, and maintenance and security plans,” said Hon. Oliphant.