The Development Bank of Southern Africa (DBSA) has highlighted the potential of strategic public-private partnerships (PPPs) to ensure the proper management and maintenance of State-owned healthcare facilities, and indeed other key public infrastructure, in the future. The financial institution cited the example of the country’s first PPP health infrastructure rehabilitation programme, currently under way at the South African National Defence Force’s 1 Military Hospital, in Pretoria.

The DBSA was selected by the national Department of Public Works and Infrastructure to be the implementation agency for the project, for which a budget of R178-million was allocated. The DBSA had to select a facilities management services company. Servest was chosen. Servest, in turn, selected subcontractors to provide specialist services, such as DBI Construction & Facilities (heating, ventilation and air conditioning) and Kusini Holdings (facilities and supply chain modelling and management); both of these companies are also partners in the project.

“The aim of this project is to launch 1 Military Hospital as a model for the revamp of other public healthcare facilities, especially given the direction that the country will be taking with the National Health Insurance [plan],” explained DBSA construction project manager Silumko Khambi. “The progress is very encouraging and is indicative of what needs to be done to address the challenges that beset some of our critical public healthcare facilities.”

Originally built in 1972, 1 Military Hospital’s facilities had not been successfully refurbished since then. A maintenance and repair project for the hospital was launched by the then Department of Public Works in 1999. This became mired in delays and allegations of financial irregularities, and proved abortive.

The hospital had 12 operating theatres, intensive care units, a trauma unit, emergency casualty departments, a radiology department, a pharmacy and ancillary services. By the time the DBSA took over the project, most of these facilities were non-operational, because of poor facilities management.

The contract with Servest and its subcontractors came into effect at the start of last year and has a duration of three years. The first year of the contract has seen the hospital’s boilers repaired and its ageing plumbing either overhauled or replaced. The hospital now has an uninterrupted supply of hot water. The backup power supply system has been restored. Energy efficient lighting has been installed throughout the hospital and the wards have been repainted. New outside signage has been set up. And the hospital garden and landscaped area have been revitalised and invasive plants removed.

“This project has set an important precedent which is both pragmatic and commercially viable,” he highlighted. “Hopefully, there will be keen interest to replicate this model to manage the maintenance and refurbishment of other provincial and national hospitals.”