CAPE TOWN

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PRESENTATION TO HOUSINMG PORTFOLIO COMMITTEE
KwaZulu-Natal Department of Housing

• CAPE TOWN
• 22 MAY 2007

Together, helping people to house themselves
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STRUCTURE

• Introduction
• Vision
• State Of Housing Needs In The Province
• Provincial Priorities
• 2006/07 Financial Status
• 2007/08 Financial Status Programmes
• Provincial Challenges

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INTRODUCTION

• The focus of the presentation is to table the
  state of KwaZulu-Natal Provincial Department of
  Housing.
• The presentation tends to explore the value add
  on usage of housing fund during 2006/07 and focus
  on distribution towards 2007/08 and experiences /
  challenges in utilization of grants including
  outline on the programmes.

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VISION

• The vision of the department is -
• Enabling all people to house themselves by
  engaging various institutions and stakeholders in
  the provision of a conducive and enabling
  environment

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STATE OF HOUSING

• STATE OF HOUSING NEEDS IN THE PROVINCE
• Based on census of 2001 and Stats SA 2006 mid
  term review estimates, KwaZulu-Natal has an
  estimated population of approximately 10 million
  and housing backlog of approximately 950 000 of
  various type, shacks, rural, farm dwellers, etc.

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PRIORITY AREAS

• The following are the key focus areas in the
  province especially in 2007/08 financial year
• Eradication of slums in KZN by 2014
• Accelerating housing in rural areas
• Strengthening governance and service delivery
• Ensuring job creation through housing delivery
• Accelerating the hostels redevelopment and
  upgrade programme.
• Completion of all blocked projects by 2007
• Creating rental/social housing opportunities

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PRIORITY AREAS

• The following are the key focus areas in the
• province especially in 2007/08 financial year
• Building the capacity of housing stakeholders
  (especially municipalities)
• Promoting home ownership (through the EEDBS)
• Provision of housing to vulnerable groups
  including those affected by HIV/AIDS
• Ensuring the provision of incremental housing,
  and
• Implementation of the Financial Service Market
  Programme

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2006/2007 YEAR
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BUDGET ALLOCATION 2007/08
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BUDGET ALLOCATION
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ADMINISTRATION
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HOUSING PLANNING AND RESEARCH
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HOUSING DEVELOPMENT IMPLEMENTATION
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SERVICE DELIVERY TARGETS 07/08

• Units R000
• Project linked subsidy
• Sites-
• Normal 5,320 86,290
• Informal settlement 5,721 96,873
• Blocked 788 12,608
• Top structures-
• Normal 3,700 85,100
• Informal settlement 5,497 125,001
• Blocked 3,212 37,392

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SERVICE DELIVERY TARGETS 07/08

• Units R000
• Peoples Housing Process
• Sites 5,371 90,639
• Top structures 4,800 114,144
• Establishment grant 8,500
• Rural
• Sites 2,800 44,765
• Top structures 3,100 71,300

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SERVICE DELIVERY TARGETS 07/08

• Units R000
• Emergency housing
• Sites 1,800 28,800
• Top structures 500 17,000
• Rectification
• Top structures 841 20,000
• Consolidation
• Top structure 450 11,515
• Institutional
• Top structure 700 28,060

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Housing Property Management
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CONDITIONAL GRANT

• The department receives the majority (86) of its
  funding from the Integrated Housing and Human
  Settlement Development conditional grant
• The purpose of the grant is
• to promote the achievement of a non racial,
  integrated society through the development of
  integrated sustainable human settlements and
  quality housing.

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CONDITIONAL GRANT
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INFRASTRUCTURE

• The departments infrastructure budget is linked
  to the conditional grant budget and is broken
  down as follows-
• Capital Infrastructure Transfers
• Construction of low income houses 921,075
• Hostel Redevelopment 75,600
• Social and economic facilities 120,000
• Current
• Maintenance 138,880
• Total 1,255,555

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DONOR FUNDING

• The department has an agreement with the Flemish
  Government to fund the formation of Housing
  Components in municipalities
• The department will receive 590,179
  (R5,5million) in terms of this agreement
• It is anticipated that the department will
  receive R1,56 million during the 2007/08
  financial year for this programme

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CHALLENGES

• Implementation of housing development programmes
  has a number of challenges and we cite provincial
  specific
• Lack of bulk infrastructure (Water,, Electricity
  Sanitation Estimated Backlog R34 Billion)
• Topography
• Mushrooming of slums Slums Lordism,
• Competing environment in infrastructure
  development linked to 2010

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CONCLUSION

• In conclusion, the KwaZulu-Natal Department of
  Housing strive to achieve its strategic objective
  and the vision of the province to ensure it
  enables people to house themselves through
  engagement of various stakeholders in the
  provision of housing.

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Thank you