The Construction Industry Development Board (CIDB) is undertaking measures to redirect its focus toward meeting the criteria of its original mandate, which was drafted in 2000, after being tasked by the Department of Public Works and Infrastructure (DPWI) to realign itself.

The CIDB discussed these measures during a joint meeting of the Portfolio Committee on Public Works and Infrastructure and the Select Committee on Transport, Public Service and Administration on May 20.

CIDB CEO Cyril Vuyani Gamede pointed out that the CIDB was governed by the Construction Industry Development Board Act, but said the entity had, over the past 20 years, strayed from its mandate.

The CIDB board of directors has now been tasked with going back to its original mandate, and in terms of Section 5(7)(a) of the Act, must submit its yearly business plan to the Public Works and Infrastructure Minister Patricia de Lille for approval.

Gamede said the organisation had developed a five-year strategy to realign itself with its original mandate, which should result in a transformed industry that operated ethically and was performance-driven.

In this regard, he pointed out that transformation formed the core of this new CIDB strategy, but would require government infrastructure development-related departments to increase their infrastructure spend.

This increased infrastructure spend would enable the industry to employ and train more people, thereby propelling the CIDB’s ability to meet its mandate.

Another factor that will play an important part is the emerging sector market, with the CIDB being the catalysing agent to spur development in both the infrastructure client’s expenditure and emerging sector market.

However, Gamede said it was critical to support the emerging role-players, as they needed to develop past the emerging phase and become major role-players at some point in time.

In this regard, the CIDB plans to increase transformation from both an ownership and participation perspective by increasing the capabilities of emerging sector and improving client performance.

On the transformation and development side of the CIDB’s outcomes are increasing black ownership and participation, increasing women and youth ownership and participation, as well as contractor development.

In terms of creating an ethical and performance-driven industry, the CIDB aims to promote performance-driven clients and reduce noncompliance and fraud.

As part of its five-year strategy, the CIDB plans to increase black ownership of contractors in grades 7 to 9, from the baseline of 67%, to 75%, as well as increase access to work for black-owned contractor enterprises, from 58% to 70%.

The CIDB also plans to increase the percentage of women-owned contractor enterprises from a baseline of 30% to 40% within five years, and increase access for these enterprises from 24% to 35%.

This business plan needs to align with the new development priorities of South Africa, with specific reference to empowerment, skills transfer, women, youth and persons with disabilities. It also needs to establish clear linkages between the workings of the DPWI, the CIDB and the Infrastructure Development Act.

Meanwhile, the committees noted that legislation was needed for both the CIDB and the Council for the Built Environment (CBE) to drive transformation of the construction and built environment sectors.

LEGISLATION REQUIREMENT

The committees have set a six-month time frame that the DPWI has given both entities to complete the necessary tasks that will propel them to address the issue of transformation. The committees, however, believe that it is necessary to either amend current legislation to make provision for the enforcement of transformation or to come up with new legislation that will address this matter.

The committees have requested both the CIDB and CBE to provide a detailed list of incidences of fraud, corruption and malpractice in the sector within seven working days.

“The CBE and CIDB are important as they regulate and drive development of the construction and built environment sectors," the committees note, adding that for this reason, the committees believe that for these entities to be efficient and successful in their task to transform the industry, they have to be strengthened through legislation.

The committees, therefore, urged De Lille and the DPWI to fast-track this process so that these entities can have stronger enforcement and coordination powers.

The committees have also requested the CIDB to give a detailed report on the number of injuries at construction sites which will enable proper oversight. The committees have also requested De Lille and the DPWI to ensure that contractor performance ratings are completed. This regulation must enforce client departments to complete these as part of contracts and projects managed.

“This is to ensure that contractors who do shoddy work can be held accountable,” the committees pointed out.