Oct 03, 2012
12m people still require adequate housing in SA – PIC’s MasilelaBack
Johannesburg|Africa|Education|FinMark Trust|Housing|International Housing Solutions|Projects|Public Investment Corporation|Systems|Water|Africa|South Africa|Basic Infrastructure Services|Finance|Systems|Transport|Elias Masilela|François Viruly|Infrastructure|Kecia Rust|Water|Sub-Saharan Africa
© Reuse this
Speaking at the fourth yearly International Housing Solutions developer conference, in Johannesburg, he said that, while the government had built over three-million subsidised houses since 1994, 12-million people still required adequate housing.
A “massive” jump in demand, urbanisation and decades of degradation of the current housing infrastructure all contributed to the lag in building subsidised houses and made the backlog difficult to eradicate.
Currently, about 12.8% of South African households lived in Reconstruction and Development programme houses, while 13.5% of households had at least one person on the waiting list for subsidised housing.
FinMark Trust housing finance theme coordinator Kecia Rust said that about 60% of the South African population earned less than R3 000 a month and were eligible to apply for subsidised housing.
The Department of Human Settlements aimed to eliminate the backlog by 2030 and has committed R16-billion a year to fund housing projects. The PIC was refining it strategy on affordable housing and has already invested R2.6-billion in, besides others, low-cost housing projects and private equity for housing developments.
However, with an increasing rate of urbanisation, government required partnerships with and the involvement of businesses, individuals and institutions to ensure the delays in delivering adequate housing and related infrastructure were eradicated.
Masilela noted that, over the next 25 years, three-billion people globally would need access to housing and basic infrastructure services. This means that 35.1-million housing units, or 96 156 units a day, would need to be built to meet the demand. Sub-Saharan Africa would need to house about 300-million by 2030.
University of Cape Town Professor Francois Viruly added that, while South Africa’s population would most likely stabilise at about 50-million, urbanisation would remain a challenge. It was expected, for instance, that over the next 30 to 40 years, over 10-million people would migrate to Gauteng, creating a challenge in housing options.
Masilela pointed out that, without proper investment and planning into housing infrastructure, water, electricity and transport systems, South Africa’s development could be stunted and fall further behind other emerging countries. The country would also experience increased developments of squalor and informal settlements.
He also commented that housing infrastructure should be a “springboard” for access to education, employment opportunities, health services and affordable transport, while allowing citizens to contribute to the country’s development.
Edited by: Mariaan Webb© Reuse this Comment Guidelines
Recent Research Reports
Real Economy Year Book 2014 (PDF Report)
This edition drills down into the performance and outlook for a variety of sectors, including automotive, construction, electricity, transport, steel, water, coal, gold, iron-ore and platinum.
Real Economy Insight: Automotive 2014 (PDF Report)
This four-page brief covers key developments in the automotive industry over the past 12 months, including an overview of South Africa’s automotive market, trade figures, production and the policies influencing the sector.
Real Economy Insight: Construction 2014 (PDF Report)
This five-page brief covers key developments in the construction industry over the past 12 months. It provides an overview of the sector and includes details of employment in the sector, infrastructure and municipal spending, as well as insight into companies’...
Real Economy Insight: Electricity 2014 (PDF Report)
This five-page brief covers key developments in the electricity industry over the past 12 months, including details of State-owned power utility Eskom’s generation activities, funding and tariffs, independent power producers and prospects for the sector.
Real Economy Insight: Road and Rail 2014 (PDF Report)
This six-page brief covers key developments in the road and rail industries over the past 12 months, including details of South Africa’s road and rail network and prospects for both sectors.
Real Economy Insight: Steel 2014 (PDF Report)
This four-page brief covers key developments in the steel industry over the past 12 months. It provides an overview of the global and South African steel and stainless steel markets, South Africa’s major steel producers and events that have shaped these markets.
This Week's Magazine
Updated 5 hours ago Multinational semiconductor chipmaker corporation Intel announced its national campaign to further acquire partners to drive its She Will Connect programme, an initiative that aims to expand digital literacy skills to young women in developing countries, further into...
Updated 5 hours ago South Africa's MeerKAT radio telescope array programme should get back on schedule within a few months. This assurance has been given by SKA South Africa (SKA SA) associate director: science and technology Prof Justin Jonas. Early last month, Science and Technology...
Updated 5 hours ago The Passenger Rail Agency of South Africa’s (PRASA’s) Metrorail service will remain a subsidised service following its current multibillion-rand rolling stock, station, depot and signalling upgrade programme. PRASA group CEO Lucky Montana has allayed fears that...
Updated 5 hours ago The uncertainties around the remediation of affected areas as addressed in the Contaminated Land Provisions in the National Environmental Management: Waste Act No 59 of 2008 will possibly spark litigation and disputes between landowners and businesses, contractors...
Updated 5 hours ago South Africa is currently the largest component of the African Development Bank’s (AfDB’s) active portfolio in Southern Africa, comprising 62.5% of the bank’s $7.9-billion exposure to the 12-country region – the second largest beneficiary is Mauritius, which...