SONA 2021: R100bn Infrastructure Fund is now in full operation
Durban - President Cyril Ramaphosa announced the development of an infrastructure investment project pipeline worth R340 billion in network industries such as energy, water, transport and telecommunications.
Speaking during his fifth State of the Nation Address this evening, Ramaphosa said construction has started and progress is being made on a number of projects.
He said since the announcement of the Reconstruction and Recovery Plan, government has launched two major human settlements projects that will provide homes to almost 68 000 households in the Gauteng province.
"Similar human settlements projects are planned in other provinces," he said.
He added that progress was being made on several major water infrastructure projects, which include Phase 2A of the Mokolo and Crocodile River project and the uMkhomazi Water Project.
"The Infrastructure Investment Plan identifies roads projects worth R19 billion covering the spine of the South African road network. Work is underway to finalise project finance structuring for these projects. Resources have been committed from the fiscus to support the construction and rehabilitation of the major N1, N2, and N3 highways," Ramaphosa said.
He said these infrastructure projects will lead to the revival of the construction industry and the creation of much-needed jobs.
He added that the R100 billion Infrastructure Fund is now in full operation.
"This Fund will blend resources from the fiscus with financing from the private sector and development institutions. Its approved project pipeline for 2021 is varied and includes the Student Housing Infrastructure Programme, which aims to provide 300,000 student beds. Another approved project is SA Connect, a programme to roll out broadband to schools, hospitals, police stations and other government facilities," he said.
Ramaphosa said government was proceeding with efforts to strengthen the local government infrastructure and accelerate service delivery through the District Development Model.
He said the Model brings all three spheres of government to focus on key priorities and implementation of critical high impact projects.
"Working with both public and private sector partners, government is implementing a range of measures to support municipalities to address inadequate and inconsistent service delivery in areas such water provision, infrastructure build and maintenance," he said.