Learned society and voluntary organisation the South African Institution of Civil Engineering (SAICE) has welcomed government’s commitment to infrastructure investment as outlined by President Cyril Ramaphosa in his State of the Nation Address last week.

It says the announcement of more than R940-billion being allocated for infrastructure over the next three years, R375-billion of which is earmarked for State-owned enterprises, reflects a required focus on revitalising South Africa’s built environment and outlines a much larger financial commitment compared with 2024.

The organisation says it is encouraged by the renewed emphasis on public-private partnerships, blended finance models and essential maintenance programmes.

SAICE highlights the commitment to invest in critical infrastructure, including roads, bridges, ports and water projects, as a positive step.

It references the approval of 12 blended finance projects worth nearly R38-billion and the expectation of R100-billion in funding from local and international investors, which is expected to unlock further growth.

However, despite the scale, SAICE says these investments remain below the levels recommended by the World Bank, which estimates that South Africa requires yearly infrastructure investments amounting to 8.7% to 11.2% of GDP to meet its sustainable development goals.

SAICE CEO Sekadi Phayane-Shakhane underscores the importance of funding new projects, along with ensuring their effective implementation and the proper maintenance of existing infrastructure.

“We encourage government to work closely with SAICE experts to streamline infrastructure project execution, as this is the most efficient way to turn these plans into a reality for South Africans,” she emphasises.

WATER INFRASTRUCTURE

Water security remains a critical challenge for South Africa, SAICE warns.

It welcomes government’s commitment to securing R23-billion for seven large-scale water projects, including the Lesotho Highlands Phase 2 Polihali dam, as well as progress on the Ntabelanga dam for the uMzimvubu river.

However, SAICE has urged government to take a more proactive approach to water infrastructure maintenance.

Reports indicate that between 45% and 55% of South Africa’s water is lost owing to leaks and aging infrastructure. With an estimated R1-trillion needed to repair and upgrade existing water infrastructure, SAICE stressed the importance of addressing these systemic inefficiencies proactively.

Also, the organisation points out that South Africa’s water boards remain in financial distress, with debts exceeding R23-billion. SAICE called for a more structured financial model – potentially including national funding for water boards rather than sole reliance on municipal payments.