To: ALL MEDIA

Date: 08 July 2025

DID BUDGET VOTE 2025/26 PRESS STATEMENT

The Department of Infrastructure Development has been allocated a budget of R 3,648 billion of which the total of R 2,783 billion is allocated to Public Works programme. R 669 million is allocated to the Administration programme and R 196 million will fund our Expanded Public Works Programme (EPWP).

The Gauteng Infrastructure Financing Agency (GIFA), our entity has been allocated R64 million.

Our biggest cost drivers are rates and taxes, compensation of employees, leasing of office accommodation, Infrastructure projects, EPWP Stipends, Legal costs and security services. The remaining budget is allocated to other operating costs which include soft services, provision of tools of trade, ICT systems, G-Cars and others.

An amount of R1,130 billion is allocated for payment of rates and taxes to the municipalities. The Department has set aside R163 million for infrastructure rehabilitation and maintenance of public properties. A total of R328 million has been set aside for leasing office accommodation, R144 million for safeguarding provincial assets. Under Legal services the Department received additional funding to specifically to deal with escalating legal costs. 

A total of R111 million is allocated towards poverty relief through our short-term employment EPWP programmes carried out through the National Youth Service, Data Capturers and CBD Revitalisation programme.

BUILDING A SMART, COHESIVE INFRASTRUCTURE DELIVERY SYSTEM

The Department of Infrastructure Development is already beginning to realise the benefits of the strategic realignment initiated by Honourable Premier Panyaza Lesufi, bringing together DID, the Gauteng Infrastructure Financing Agency (GIFA), and the Department of Cooperative Governance and Traditional Affairs (CoGTA) under one Executive Authority.

This alignment is not merely structural, it is strategic. It presents a powerful opportunity to harmonise our mandates, leverage institutional capabilities, and place infrastructure and urban development firmly at the centre of Gauteng's socio-economic transformation agenda.

In response to this, we have developed a unified and integrated infrastructure and urban development framework. This framework strengthens collaboration, streamlines delivery, and directly supports the priority outcomes articulated by the Premier.

Central to this approach is our embrace of the Smart Cities Concept, aligned with National CoGTA's South African Smart Cities Framework introduced in 2021. This concept encourages technology-driven, integrated, and citizen-focused urban development. It allows us to use infrastructure as an enabler of improved governance, service delivery, and sustainable growth across all Gauteng municipalities.

Through this tripartite partnership:

• DID provides infrastructure technology leadership, including the Project Readiness Matrix (PRM);
• CoGTA facilitates intergovernmental coordination across the three spheres of government;
• GIFA supports through funding models, feasibility studies, and the development of business cases.

Together, we are building a resilient, smart, and inclusive infrastructure system.

STRATEGIC INTERVENTIONS TO ADDRESS GAUTENG'S DEVELOPMENTAL CHALLENGES

Our Smart Cities vision positions us to directly respond to the 13 complex challenges facing our province, what we refer to as the G13. Through this realignment, we have agreed on a shared programme of action, guided by ten strategic interventions, or Intergrades, which will shape our delivery priorities:

1. Local Government Turnaround – Enhancing governance and frontline services.
2. Water Security – Promoting sustainable water systems.
3. Energy Security – Supporting alternative and renewable energy.
4. CBD Revitalisation – Restoring urban centres to economic vibrancy.
5. Social Equity – Driving inclusion through spatial and economic reform.
6. Infrastructure Development – Upgrading transport, digital, and housing networks.
7. Asset Utilisation – Leveraging public and private assets for impact.
8. Investing in Alexandra 4.0 and TISH – Modernising townships, informal settlements, and hostels.
9. Waste Management – Strengthening recycling and sustainability.
10. Job Creation – Catalysing employment through infrastructure investment.

DID TURNAROUND AND THE PROJECT READINESS MATRIX ECOSYSTEM

While the Department has faced persistent challenges over the years, we remain the province's central agent for infrastructure delivery and the custodian of all government immovable assets, in line with the Government Immovable Asset Management Act.

We are under no illusion that a 'quick fix' exists. Turning the Department around requires deliberate, focused, and long-term interventions. Over the past year, we have made significant progress in building internal capacity, restoring institutional discipline, and re-establishing project delivery systems.

Today, we are proud to present the Department's short-, medium-, and long-term strategy to fully implement a modern, smart infrastructure delivery model. At the heart of this strategy is the Project Readiness Matrix (PRM) ecosystem, our official governance framework for infrastructure delivery in line with the Infrastructure Delivery Management System (IDMS).

This ecosystem consists of five integrated pillars:

1. PRM Infrastructure Delivery Platform (iDEP)

This is our digital backbone for infrastructure delivery. It integrates end-to-end compliance, governance, and real-time tracking of infrastructure projects across the province.

• The PRM Portfolio of Risk monitors project performance and identifies threats.
• The PRM Portfolio of Evidence uses real-time photo and video uploads to assess site progress.
• PRM Analytics provides interactive dashboards to track progress and identify delays before they escalate.

This platform allows for transparency, accountability, and smarter decision-making.

2. PRM Infrastructure Governance Lab (IGL)

The Governance Lab is the enforcement arm of the PRM. It ensures all internal teams and contracted service providers comply with standards, project scopes, and delivery timelines.

It also implements consequence management where there is non-compliance, manages Service Level Agreements, monitors contractor obligations, and provides ongoing quality assurance.

3. PRM Turnkey Rescue Contractors

One of our biggest delivery challenges has been stalled or underperforming projects caused by contractor liquidity issues. To address this, we have appointed a panel of Turnkey Rescue Contractors who have the technical and financial capacity to step in and stabilise such projects.

This intervention will fast-track project completion, ensure payments to SMMEs and subcontractors, and protect jobs in the construction value chain.

4. PRM Multidisciplinary Infrastructure Team (The A-Team)

We have consolidated our professional expertise into an elite multidisciplinary team of inspectors, engineers, artisans, and built environment specialists. Known as the A-Team, this unit is deployed to priority projects to:

• Conduct site inspections,
• Verify data integrity,
• Enforce compliance with infrastructure specifications, and
• Provide technical support to other departments and municipalities.

Their role is critical in unblocking delays, improving execution, and ensuring that every project moves from planning to delivery with speed and precision.

5. PRM Intergovernmental Relations (IGR) and Stakeholder Management

Infrastructure delivery cannot succeed in isolation. We must work hand-in-hand with municipalities to comply with local regulations, including town planning, rezoning, council resolutions, and land transfers.

Municipalities play a critical role in issuing:

• Temporary and permanent occupation certificates,
• Fire and water compliance approvals,
• Approvals for building plans and drawings.

Our stakeholder engagement and IGR pillar ensures that we coordinate seamlessly with all spheres of government, removing blockages and ensuring that every requirement is met on time.

The overarching objective of the PRM ecosystem is to reduce completion risk, which includes project delays, budget overruns, quality failures, and payment issues.

There is no single solution. What is required is a toolbox of integrated, dynamic interventions, each contributing to stronger governance, faster implementation, and more impactful results.

Through this ecosystem, we are moving towards a more capable, responsive, and resilient infrastructure delivery institution, one that supports the needs of the people of Gauteng.

This institutional strengthening through the PRM ecosystem is not an end in itself, it is the foundation upon which we are now driving a bold and people-centred infrastructure agenda that directly advances socio-economic transformation across Gauteng.

Advancing Socio-Economic Transformation through Infrastructure

As part of our turnaround strategy, the Gauteng Department of Infrastructure Development has aligned its core mandate with the province's broader socio-economic objectives. Our infrastructure investments are not only about bricks and mortar, they are fundamentally about reducing multi-dimensional poverty, combating unemployment, addressing structural inequalities, and improving the quality of life for all residents.

Reducing Multi-Dimensional Poverty and Inequalities

Poverty in our province is not merely defined by income, it is multi-dimensional. It includes limited access to quality education, healthcare, dignified shelter, and basic services such as water and sanitation. Through targeted infrastructure investments in schools, hospitals, public transport, and social housing, we are directly confronting these intersecting deprivations.

The infrastructure we deliver must close the gap between historically marginalised communities and centres of economic opportunity. In this way, our work directly supports the Gauteng Provincial Government's vision of an inclusive, equitable, and just society.

Stimulating Economic Growth and Creating Jobs

Infrastructure is a recognised enabler of economic development. Our capital projects stimulate both immediate and long-term employment opportunities across a range of skill levels. From planning and design to construction and facilities management, our projects create jobs and support livelihoods.

Crucially, we have embedded local procurement, skills development, and contractor incubation into our project lifecycle. This ensures that infrastructure development becomes a vehicle for empowerment, particularly for township-based enterprises, women, and youth.Moreover, improved infrastructure attracts investment, facilitates trade, and enhances productivity. A well-maintained road, a reliable energy grid, or a functional public facility is not just a public asset, it is the foundation of a thriving economy. Our commitment to sustainable and climate-resilient infrastructure ensures that these gains are future-proof.

Enhancing Quality of Life through Public Infrastructure

Infrastructure must improve how people live, work, and move. By upgrading public facilities, we ensure that communities enjoy safe, accessible, and dignified spaces. Whether it's a mother accessing primary healthcare, a learner attending a modernised school, or a commuter relying on dependable transport, our work directly touches people's lives.

The Department's approach places people at the centre of infrastructure delivery. We measure success not only in completed buildings, but in human development outcomes, social mobility, and community cohesion.

Through this strategic posture, DID is no longer just a delivery agent, it is a catalyst for transformative change. In doing so, we reaffirm our commitment to building a more equitable, inclusive, and economically vibrant Gauteng.

PROPERTY MANAGEMENT PORTFOLIO

The Department is committed to managing Gauteng's immovable property portfolio in an efficient, ethical, and development-focused manner to support spatial transformation. In 2024/25, twenty unused government properties were released for socio-economic infrastructure development, with a further fifteen earmarked for release in 2025/26.

These non-core assets will reduce maintenance costs and redirect resources to critical priorities. Smart asset management technologies are being used to identify, classify, and optimise properties in line with the Government Immovable Asset Management Act.

A key priority is the revitalisation of the Johannesburg CBD, where quality accommodation will be provided for thirteen departments as part of the broader Jozi-My-Jozi campaign. In support of this, advanced work is under way to secure Treasury approval for the Government Precinct feasibility study, which will enable the refurbishment of eighteen buildings. In addition, we have appointed GIFA to lead the packaging of the province's immovable assets to unlock investment opportunities and enhance their productive use.

EXPANDED PUBLIC WORKS PROGRAMME (EPWP)

The EPWP continues to deliver on its objective of improving the quality of life for communities by creating job opportunities, fostering inclusion, and imparting employable skills. This year, the Department will temporarily employ 2,500 National Youth Service beneficiaries for a 24-month period. DID is working with twenty-two public bodies across Gauteng to create 469,048 job opportunities by 2029.

CONTRACTOR DEVELOPMENT AND EMPOWERMENT OF TARGET GROUPS

The Department is committed to inclusive economic growth by prioritising procurement from black-owned, black women-owned, youth-owned, military veteran-owned, and disability-owned enterprises, with a strong focus on Township Enterprise Revitalisation. This is supported by ongoing contractor development programmes and collaboration with other provincial departments to ensure SMMEs gain access to procurement opportunities through the department's contractor database. Empowering women, youth, and military veterans remains central to our infrastructure delivery strategy.

The performance of the Department in the current financial year will shape the path toward achieving the 2025–2029 Medium-Term Development Plan and the broader objectives of the 2030 National Development Plan.

We are confident that the institutional and technical capacity we have deliberately built over the last decade will enable DID to deliver infrastructure that improves the quality of life of Gauteng's people.

Ends

Issued by Gauteng Department of Infrastructure Development

For more enquiries contact Theo Nkonki (Spokesperson for MEC, Department of Infrastructure Development and COGTA) Cell: 082 719 6404

For more information, photos and videos of the department please visit: Website:        www.gauteng.gov.za

Facebook:    @gautenginfrastructure

Instagram:    @gauteng_infrastructure and

Twitter:          @GPDID