R6.141 billion budget to accelerate delivery of housing opportunities - 02 June 2022

Office of the Premier 2022/06/01 - 22:00



Thembisa Shologu

The Gauteng Department of Human Settlements and Urban Planning is implementing a revised housing allocations policy and a re-engineered beneficiary management plan to accelerate the delivery of completed houses.

MEC Lebogang Maile said the aim is to build integrated, smart human settlements that ensure access to economic opportunities, transport nodes, and social amenities for a more inclusive and equitable city region.

Tabling the 2022/23 budget vote on Wednesday, 25 May, Maile said the estimated annual influx of 300 000 people in Gauteng continues to place a huge burden on the housing sector, with 1.2 million people seeking housing.

Since the beginning of term, the department has delivered over 59 000 housing opportunities.

"Going forward, the department plans to deliver a total of 11 423 housing units in the 2022/23 financial year, 11 646 housing units in the 2023/24 financial year and 12 302 housing units in the 2024/25 financial year", said Maile.

With regards to the rapid land release, Maile said the department has entered into an agreement with the Housing Development Agency to act as an implementing entity to help us fast-track the programme. To date, 13 041 serviced stands have been acquired.

The department will spend R1.1 billion on the Informal Settlements Upgrading Programme.
"We have initiated assessment and town planning processes on 71 informal settlements, and we will be undertaking the relocation of some informal settlements, due to their geotechnical conditions", added Maile.

The plan is to implement alternative sanitation, water provision and solar solutions for several informal settlements.

Hostel redevelopment will take place in three hostels, namely: Kagiso, Rethabile and Jabulani for the 2022/23 financial year. The number of family units to be built in hostels will increase gradually from 135 to 920 in the 2023/24 financial year, right up to 4560 in the last financial year.

Through the Gauteng Partnership Fund and collaborative partnerships, the department wants to raise R300 million.

"We will be implementing the revised capital raising strategy, which includes plans to establish a private equity fund, social fund and the consolidation of all non-interest income and are looking to use the GPF to be the implementing agent of choice for our Rapid Land Release Programme and the Upgrading of Informal Settlements Programme", said Maile.

The department's budget allocation for the 2022/23 financial year is R6.141 billion, made up of; R5.141 billion conditional grant and R1 billion equitable share. 

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