By Ella Smook
A damning audit report of the N2 Gateway housing project reveals costly and widespread deficiencies in the planning, accounting, design and execution of the government's flagship low-cost housing development.
The report, completed in June 2008 but tabled in parliament only last week, backs up complaints that have surrounded the project since its inception.
The national Department of Housing, which has responsibility for the project, commissioned the Auditor General's report, which confirmed the N2 Gateway Project had not been managed "economically, efficiently and effectively".
The Auditor General ordered corrective action, which will include training, as well as the recovery of possible fruitless and wasteful expenditure, and possible disciplinary action.
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The N2 Gateway project was launched in the Western Cape in March 2005 as a pilot to test the government's new low-cost housing policy called Breaking New Ground.
The policy sought to roll out integrated human settlements, rather than build row upon row of RDP houses in new communities that had no infrastructure or recreational facilities.
N2 Gateway houses would be bigger than RDP houses, and would be available as fully subsidised free homes, affordably bonded units and rental houses.
But in the past years positive reports of home handovers have been overshadowed by the negative press the development has attracted.
The problems have included housing lists, land invasions, politicking, illegal occupations, evictions, skills shortages and allegations of tender irregularities and shoddy workmanship on half-completed homes.
In June 2006, the Cape Argus reported on the "costly bungling" revealed at a mayco meeting.
Although the scope of the Auditor General's report did not extend to all the issues highlighted, it identified 10 areas of concern.
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