Councils fail to utilise PPP model
In the meantime, my Ministry continues to engage with relevant stakeholders, including MFED, to sensitise and build capacities in Councils to understand PPP principles, including the conclusion of development of guidelines that Councils will use, going forward.
Councils across the country are failing to utilise the PublicPrivate Partnership ( PPP) model for developments in their respective districts. According to the Minister of Local Government and Rural Development, Kgotla Autlwetse currently, there is no Council that has utilised the PPP model. He said that his Ministry has not received any Council projects that will use the PPP model in this financial year. However, for the NDP 12, Councils have been encouraged to include PPP project proposals.
He told Parliament that given that Councils have not implemented any projects under the PPP model, challenges if any, will only arise when implementation ensues. He pointed out that it must be noted that some private investors have shown interest in projects that are commercially viable, and as indicated by the Minister of Finance and Economic Development in the 2022 Budget Speech, the Ministry is developing guidelines to facilitate Ministries and Councils in the implementation of PPP projects.
“In the meantime, my Ministry continues to engage with relevant stakeholders, including MFED, to sensitise and build capacities in Councils to understand PPP principles, including the conclusion of development of guidelines that Councils will use, going forward”, Autlwetse said.
The Minister was responding to a question from MP for Bobonong Taolo Lucas who had asked him to state the number and list of local Councils that have utilised the PPP model and in each case, the type and number of projects embarked upon by such Councils; to update Parliament on Local Council projects that will use the PPP model in this and the next financial years, and to outline challenges faced by Councils in the use of the PPP model and how such challenges are addressed.