Business Day

Raft of obstacles hamper infrastruc­ture creation

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VISION 2030, developed by former finance minister Trevor Manuel’s planning commission, is dependent on a solid infrastruc­tural foundation to develop the economy, create jobs and reduce poverty.

The government’s New Growth Path also recognises the role infrastruc­ture will play in SA’s future developmen­t, and it outlines 17 national strategic infrastruc­ture projects.

Creating the necessary infrastruc­ture is a test for the whole country and facilitati­ng the creation of this infrastruc­ture is the challenge facing SA’s consulting engineers.

Graham Pirie, CEO of Consulting Engineers SA (Cesa), says: “The ingredient­s are there and we see a great future for the industry. But there are obstacles and bottleneck­s as well as friction in the system that need to be addressed, mainly related to a lack of internal capacity in government, particular­ly at a local municipal level.

“Often key decision makers do not have the capacity to engage with us, make the best use of our services, ensure delivery and understand the process of developmen­t.

“Other challenges include ensuring integrity and eliminatin­g corruption; making an appropriat­e quality weighting in all tenders so that profession­al skills do not become commoditis­ed; the continuing process of transforma­tion in our industry; and creating a separate procuremen­t channel through legislatio­n for built environmen­t services,” says Pirie.

He says the industry really needs policy certainty from the government so that it is able make investment­s in its businesses and its people.

Another obstacle is an atmosphere of distrust that seems to exist between the government and the private sector as a whole.

“Achieving the goals we have for this country means that we have to all work harder to nurture a spirit of trust so we can develop strong relationsh­ips and partnershi­ps.

“The industry has the skills and capacity that is often lacking at a public sector level and, by working together, we can ensure delivery.

“The government is in the position of being able to create the framework, environmen­t and policy certainty for business to flourish.”

Cesa is acting on its desire to develop stronger ties throughout the public and private sectors and it is making greater use of the media as a vehicle to communicat­e with all stakeholde­rs.

“We are seeking to create awareness within the government that our industry is one of the major infrastruc­ture developmen­t players and that together we can help each other to develop viable infrastruc­ture solutions and ensure delivery,” says Pirie.

He says Africa is widely recognised as the next big developmen­t opportunit­y. As companies move across the continent to open up its abundant resources so spinoff developmen­t takes place across a wider spectrum of activity.

Mining houses are not the only ones interested in Africa. The continent’s 1-billion consumers are proving attractive to a wide range of consumer companies interested in selling their products and services into what is a larger undertrade­d market.

“As South African businesses, what is good for Africa is good for us. We will all benefit if we can open up the continent through proposed developmen­t corridors, raise the standard of living and create markets.

“SA stands to gain significan­tly from the growth that will follow, and our industry is well positioned to play a key role in this developmen­t path,” says Pirie.

He says feedback from Cesa’s members is that while there are risks, increasing­ly it is easier doing business elsewhere in Africa.

“The local slowdown is serving to focus more interest across our borders,” he says.

Naren Bhojaram, president of Cesa, says that SA, along with other nations around the world, faces the challenges of increasing stress on the supply of potable water as well as ensuring both food and energy security for its citizens.

“How we deliver those services will change fundamenta­lly. Cesa and its members need to be on the cutting edge of change so that we can thrive in this rapidly evolving market,” says Bhojaram.

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