The South African Council for the Project and Construction Management Professions (SACPCMP) has expressed its support for the South African Council for the Architectural Profession’s (Sacap’s) recent protest against government’s approach to a turnkey tender in the Free State.

Sacap president Charles Nduku has warned against the approach taken by the Free State Department of Human Settlements in an important tender related to a multibillion-rand housing project.

The department planned to appoint an implementing agent for a 36-month-long R3-billion housing project, which Sacap says will stifle growth and transformation in the architectural and allied professions.

Sacap believes this approach is a breeding ground for corruption since a contractor-led turnkey project means the costs will not be transparent. “No single contractor can afford the upfront financial administration to kickstart the implementation of a project of this magnitude,” Sacap has been quoted as saying.

“Such procurement avenues will negatively impact on built environment transformation. It is important to ensure that the sharing of economic opportunities, especially in the construction sector, will enable growth and development of all the professions in our industry,” adds SACPCMP president Lufuno Ratsiku, in backing up Sacap.

He mentions that complex work can always be treated differently and yet still be accommodative economically.

“As a council, we note that turnkey projects have their place as dictated by circumstance, although these should not be adopted as a general practice. 

“This can remove accountability in projects, as well as result in a separation of responsibilities, checks and balances, thereby impacting on good governance,” Ratsiku states.

Projects such as the one recently announced by the Free State Department of Human Settlements can have a substantial, positive impact on the construction industry as well as the country’s economy.  However, this will not happen should such a project be coordinated by only one person or contractor in particular, Ratsiku says.

He adds that turnkey opportunities should be reserved for extremely complex and specialised projects where the client department could dedicate the necessary specialists to manage such projects on their behalf.

“It is unacceptable for built environment professional service providers to end up at the mercy of appointed turnkey contractors and remain disadvantaged,” Ratsiku notes.

The SACPCMP deems it imperative to ensure accountability in projects. Where government does not have the necessary capacity to monitor projects in terms of professional service providers, the situation can lead to the creation of a ‘player and referee on the same field’ situation.

The interest of the appointed contractor may not necessarily be in the interest of the client. This can lead to issues in terms of liability and impact on governance, the council concludes.