http://www.engineeringnews.co.za
  SEARCH
Login
R/€ = 14.21Change: -0.08
R/$ = 11.06Change: -0.15
Au 1222.82 $/ozChange: -13.30
Pt 1348.00 $/ozChange: -14.00
 
 
Note: Search is limited to the most recent 250 articles. Set date range to access earlier articles.
Where? With... When?








Start
 
End
 
 
And must exclude these words...
Close Main Search
Close Main Login
My Profile News Alerts Newsletters Logout Close Main Profile
 
Agriculture   Automotive   Chemicals   Competition Policy   Construction   Defence   Economy   Electricity   Energy   Environment   ICT   Metals   Mining   Science and Technology   Services   Trade   Transport & Logistics   Water  
What's On Press Office Tenders Suppliers Directory Research Jobs Announcements Contact Us
 
 
 
RSS Feed
Article   Comments   Other News   Research   Magazine  
 
 
Oct 16, 2012

Civil construction confidence highest in three years

Back
Construction|Natal|Eskom|First National Bank|PROJECT|Projects|Road|Transnet|Water|Eastern Cape|Cees Bruggemans|Infrastructure|Power|Water|Eastern Cape|Limpopo|North West
Construction||Eskom|PROJECT|Projects|Road|Transnet|Water||Infrastructure|Power|Water|
construction|natal|eskom|first-national-bank|project|projects|road|transnet|water-company|eastern-cape|cees-bruggemans|infrastructure|power|water|eastern-cape-province-or-state|limpopo|north-west
© Reuse this



Confidence in the civil construction industry reached a three-year high during the third quarter of 2012, the latest First National Bank (FNB) and the Bureau of Economic Research (BER) construction confidence index found on Tuesday.

The FNB/BER report said that a gain of 4 index points to 42, was achieved on the back of on-track provincial capital project spending, particularly road and water infrastructure projects.

Construction activities at power utility Eskom’s Medupi, Kusile and Ingula power stations and Transnet-led infrastructure projects also contributed to higher confidence during the quarter.

However, FNB chief economist Cees Bruggemans pointed out the recovery in the construction sector was expected to continue over the next few quarters, but that the pace relied on the public sector’s ability to realise spending on their capital expenditure (capex) budgets.

He pointed to a R12.8-billion underspend by municipalities during the year ended June 2012. Only 72.5% of the total capital budget for the full year was realised.

Provincial capex rose 14.6% during the first quarter of the year, with capex in KwaZulu-Natal, Gauteng and the Free State growing robustly, while projects struggle to get off the ground in the Eastern Cape, Limpopo and North West provinces.

Despite the increased activity levels, profitability came under renewed pressure during the third quarter, as input prices increased faster than tendering prices, said Bruggemans.

The rise in activity has led to some constraints in the construction sector, most notably the shortage of skilled labour.
 

Edited by: Mariaan Webb
© Reuse this Comment Guidelines (150 word limit)
 
 
 
 
 
 
 
 
Other Construction News
In a landmark R1.5-billion deal that precedes it planned listing on the JSE, Pivotal Property Fund has acquired “strategic” land and property assets from Standard Bank Properties, which includes Sandton’s landmark Alice Lane development. “Pivotal has acquired...
Confidence in the building sector, as measured by the First National Bank (FNB) and Bureau for Economic Research building confidence index, ticked up four index points to 45 in the third quarter, with improvements in residential building activity supporting the rest...
Electricity producer Eskom warned on Tuesday it would take some time to arrest the current high levels of unplanned outages, revealing that 32 of its 87 coal-fired generating units required “major surgery”, while four were in a “critical condition”. However,...
More
 
 
Latest News
Ian Donald and Sullivan O’Carroll
Nestlé South Africa announced plans on Wednesday to invest a further R2-billion over the coming five years to grow its domestic manufacturing base, which would increasingly be used as a platform to supply into fast-growing sub-Saharan African markets. The Swiss food...
In a landmark R1.5-billion deal that precedes it planned listing on the JSE, Pivotal Property Fund has acquired “strategic” land and property assets from Standard Bank Properties, which includes Sandton’s landmark Alice Lane development. “Pivotal has acquired...
Lafarge Africa, Finland's Wartsila and the World Bank's IFC have agreed to build a 220 MW gas-fired power plant in Nigeria to boost electricity supplies, they said on Wednesday. The trio said in a statement their plan was to help fast-track increased power supplies...
More
 
 
Recent Research Reports
Road and Rail 2014: A review of South Africa's road and rail infrastructure (PDF report)
Creamer Media’s Road and Rail 2014 report examines South Africa’s road and rail transport system, with particular focus on the size and state of the country’s road and rail network, the funding and maintenance of these respective networks, and the push to move road...
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.
 
 
 
 
 
This Week's Magazine
The board of UD Trucks Southern Africa (UDTSA) has announced the resignation of MD Jacques Carelse.   Long-time UD employee, corporate planning and marketing GM, Rory Schulz, has been appointed as acting MD while the process started to appoint a new MD. The Japanese...
There is a need to start planning another pumped storage scheme in South Africa. Much work has already been done at a site in the Limpopo province and the project was very close to being put out to tender at one stage. In 2008/9 the National Energy Regulator of South...
The Coega Development Corporation (CDC) is preparing to leverage its strategic coastal position to develop the Eastern Cape economy through proposed aquaculture development zones (ADZs), with a proposed R2-billion project aiming to contribute $278-million to the...
Completion of the ongoing construction of the 102 km Zomba–Jali–Phalombe–Chitakale road, in southern Malawi, has been extended from June  to December 15 because of persistent rains and difficulties in paying the contractor. The project is being undertaken by Kuwait's...
The Malawi government has awarded South African firm  Fischer Consortium the  contract to upgrade the Malawi Road Traffic Information System. The Directorate of Road Traffic and Safety Services at Malawi's Ministry of Transport and Public Works says Fischer...
 
 
 
 
 
 
 
 
 
Alert Close
Embed Code Close
content
Research Reports Close
Research Reports are a product of the
Research Channel Africa. Reports can be bought individually or you can gain full access to all reports as part of a Research Channel Africa subscription.
Find Out More Buy Report
 
 
Close
Engineering News
Completely Re-Engineered
Experience it now. Click here
*website to launch in a few weeks