http://forum2.masterbuilders.co.za/ This is a discussion forum hosted by the Master Builders Association and is a useful resource for members of the Building and Construction Industry. en Tue, 29 May 2012 13:50:31 GMT vBulletin 60 http://forum2.masterbuilders.co.za/images/misc/rss.png http://forum2.masterbuilders.co.za/ http://forum2.masterbuilders.co.za/showthread.php?441-Sexwale-ruffles-private-sector-s-feathers&goto=newpost Wed, 23 May 2012 08:49:53 GMT The Master Builders South Africa (MBSA), a national organisation representing the building industry, is none too pleased with Tokyo Sexwale's proposal for a state construction company.

"We are very concerned with the proposition tabled by the minister," said Tumi Dlamini, executive director of the MBSA.

“Our concern stems from the fact that South Africa already has an existing and established building and construction industry with the necessary expertise to deliver on both complex building and infrastructure projects as well as the housing needs, both in this country and abroad.”

Sexwale’s reason for suggesting the need for a state construction company was because of the large amount spent to rectify government houses due to inexperienced contractors.

“This does not take away the fact that some small companies have experience, but a lot of fly-by-nights take the taxpayer to the cleaners for their shoddy workmanship,” said Sexwale.

To this, Dlamini said: “The introduction of a state-owned firm will no doubt have a negative effect on the growth and sustainability of the existing building industry, an industry that is already under a lot of pressure.”

Construction companies Stefanutti Stocks, Basil Read and Wilson Bayly Holmes-Ovcon (WBHO) reported a decline in operating profits as well as headline earnings a share in their latest financial results. So too did road construction company Raubex.

Dlamini said government should rather improve its efficiency through skills and training projects for construction workers.

Frost and Sullivan analyst Sarah O’Carroll said government should first consider the success or failure of other sub-Saharan state construction companies.

“In Namibia, the National Housing Enterprise was established to assist government to increase the housing stock, particularly low- and middle- income houses. However, the state construction company no longer builds low-income houses, but is instead focused on providing middle-income houses,” said O’Carroll.

Source: businesslive.co.za
By infrastructurene.ws on May 21, 2012 in Buildings, Construction, Housing, News
http://www.infrastructurene.ws/2012/...tors-feathers/ ]]> General Discussion Ernest Roper http://forum2.masterbuilders.co.za/showthread.php?441-Sexwale-ruffles-private-sector-s-feathers http://forum2.masterbuilders.co.za/showthread.php?440-Union-backs-state-construction-firm&goto=newpost Tue, 22 May 2012 12:09:23 GMT Johannesburg - The National Education, Health and Allied Workers' Union (Nehawu) said on Sunday it supports the establishment of a state-owned construction company.

"We will always welcome and support any initiative that will result in construction cost reduction and also assist in job creation," it said in a statement.

The government needed to play an active role in delivering services to the people, it said.

Over 50 housing projects, valued at R4.2bn, had been identified for corruption investigations.

This showed that the time had come to explore the idea for a state company in this field, Nehawu said.

The proposal should be taken to the ANC so that it could be dealt with in the broader context of the land market.

"We see no point in a state-owned construction company reproducing the apartheid spatial order," it said.

All strategic sectors of the economy should be nationalised, including the steel and cement industries.

State intervention was a way of fast-tracking service delivery and fighting corruption.

"The poor workmanship that has been delivered by private companies and tenderpreneurs in the housing sector has wasted a lot of resources and frustrated the delivery of houses in the country," it said.

It called on Human Settlements Minister Tokyo Sexwale to investigate the looting of taxpayers' money by "tenderpreneurs" who had failed to deliver houses which were paid for.

"The construction industry has lost skills and the production capacity because lately it has attracted rogues and chancers that are chasing overnight riches," it said.

On Wednesday, Sexwale said in Parliament his department was considering establishing a state-owned construction company.

Sexwale said when houses were built in the government housing programme, the department relied "by and large" on inexperienced shovel, wheelbarrow and bakkie brigades.

"Many of these discredit the good name of genuine and committed small to medium emerging contractors," he said.

"This does not take away the fact that some small companies have experience, but a lot of fly-by-nights take the taxpayer to the cleaners with their shoddy workmanship."

Source:
http://www.fin24.com/Economy/Union-b...-firm-20120513 ]]> General Discussion Ernest Roper http://forum2.masterbuilders.co.za/showthread.php?440-Union-backs-state-construction-firm http://forum2.masterbuilders.co.za/showthread.php?439-Accelerated-Schools-Infrastructure-Delivery-Initiative&goto=newpost Tue, 22 May 2012 11:52:38 GMT Our colleague Pieter Rautenbach (http://blog.masterbuilders.co.za/2009/09/focus-on-staff-pieter-rautenbach.html), contacted the Association this... Our colleague Pieter Rautenbach, contacted the Association this morning and notified us that an advertisement was placed by the Department of Basic Education for Contractors to apply for appointment to participate in the Framework Agreement of the Department`s ASIDI for a period of 3 years?

The advert was placed on page 4 of the Sunday Times of 20 May 2012, ref RFPDBE91. All Technical enquiries can be directed to Steve van Huyssteen (012 9971538) and Supply Chain Management Enquiries to Nthabiseng Metula (012 357 3134). The KZN contact is 033 846 5000.

Pieter says that according to a radio news report this morning, the Minister has indicated that many Billions will be spent across the RSA on this project. ]]> General Discussion Ernest Roper http://forum2.masterbuilders.co.za/showthread.php?439-Accelerated-Schools-Infrastructure-Delivery-Initiative http://forum2.masterbuilders.co.za/showthread.php?438-Sars-to-tackle-construction-tax-fraud&goto=newpost Fri, 11 May 2012 12:06:49 GMT Parliament - After tackling VAT evasion with considerable success, the SA Revenue Service will take on rampant tax fraud in the construction sector,... Parliament - After tackling VAT evasion with considerable success, the SA Revenue Service will take on rampant tax fraud in the construction sector, Commissioner Oupa Magashula said on Tuesday.

Magashula told Parliament's standing committee on finance that construction was the least tax compliant of all sectors of the formal economy.

This was particularly troubling, he said, because contractors who secured government tenders received large sums of public money for projects.

"Given that this sector receives a significant portion of public infrastructure spending from the fiscus, compliance is even more critical.

"We intend to ensure that those companies benefiting from public sector tenders maintain their compliance for the duration of the contract and don't only need a tax clearance certificate at the beginning of the process".

Magashula announced in October last year a new verification system had prevented some R4bn in VAT fraud. He said this figure had grown to R11bn in recent months.

The new VAT system gave people who filed suspicious refund claims the option to submit more supporting documentation, or required them to revise their declaration.

Source: http://www.fin24.com/Economy/Sars-to...fraud-20120509 ]]> General Discussion Ernest Roper http://forum2.masterbuilders.co.za/showthread.php?438-Sars-to-tackle-construction-tax-fraud http://forum2.masterbuilders.co.za/showthread.php?437-Sexwale-moots-state-construction-firm&goto=newpost Fri, 11 May 2012 12:04:25 GMT Parliament - The department of human settlements is considering establishing a state-owned construction company, Minister Tokyo Sexwale said on... Parliament - The department of human settlements is considering establishing a state-owned construction company, Minister Tokyo Sexwale said on Wednesday.

Sexwale said when houses were built in the government housing programme, the department relied "by and large" on inexperienced shovel, wheelbarrow and bakkie brigades.

"Many of these discredit the good name of genuine and committed small to medium emerging contractors," he said.

"This does not take away the fact that some small companies have experience, but a lot of fly-by-nights take the taxpayer to the cleaners with their shoddy workmanship.

"Is it perhaps not time to establish a state-owned construction company? We at human settlements are exploring this idea together with Public Works."

Sexwale said the department was a key player in the property market, with a recent study finding that 1.44 million of the six million registered residential properties in the Deeds Registry were government subsidised.

This represented 24% of the total number of registered residential properties.

Sexwale said this could increase to 35% if the backlog in issuing title deeds was overcome.

The department, he said, would focus on low cost housing construction projects in its attempt to root out corruption and maladministration.

More than 50 housing projects, valued at R4.2bn, had been identified as the targets of an investigation, Sexwale said.

"The new focus in our current investigations is on low cost housing construction contracts.

"In this regard, more than 50 housing projects with the value of R4.2bn were identified. Over 40 investigations have been completed and 17 are ongoing."

Sexwale said Limpopo had "taken the lead" in the fight against corruption by blacklisting 24 contractors for shoddy workmanship, non-delivery and incompetence, and recovering more than a million rands from these companies.

More than 290 public servants who had committed housing subsidy-related misconduct and fraud had been arrested.

Nearly R30m lost through corrupt activities had been recovered, Sexwale said.

Source: http://www.fin24.com/Economy/Sexwale...-firm-20120510 ]]> General Discussion Ernest Roper http://forum2.masterbuilders.co.za/showthread.php?437-Sexwale-moots-state-construction-firm http://forum2.masterbuilders.co.za/showthread.php?436-Private-Projects-Module-To-generate-business-for-Members&goto=newpost Tue, 08 May 2012 06:38:51 GMT Something new that we've been working on that I'm extremely excited about is our Private Project Module. It’s an application on our website that enables the general public to submit scope of construction work in order to allow members of the Association to view and to quote on it.

In a Nutshell:

• The person submitting the project would have to follow four easy steps:
• Register as a user
• Click on Login to submit a tender
• Complete the contact form and include a brief description of the project in the field provided.
• Upon completion, to click on the submit button.

The web pages on which Private Project information is displayed, are password protected and only members of the Association have access to it. A list of open projects will also be emailed to our members on a regular basis to ensure that they are kept up to date with the most recent submissions.

While we have already gone live with this module, there are one or two cosmetic changes that are still to come, mainly to make it as user friendly as possible.

Click Here to View
]]> General Discussion Ernest Roper http://forum2.masterbuilders.co.za/showthread.php?436-Private-Projects-Module-To-generate-business-for-Members http://forum2.masterbuilders.co.za/showthread.php?435-R60-million-lighting-investment-will-create-80-100-jobs&goto=newpost Tue, 08 May 2012 06:31:51 GMT Construction of a R60 million new plant at Greenbushes for Lighting Innovations will get underway “in the next few weeks”. The investment by one... Construction of a R60 million new plant at Greenbushes for Lighting Innovations will get underway “in the next few weeks”.

The investment by one of the country’s leading manufacturers of a range of light fittings will create between 80 and 100 new jobs.

Facilitated by the Metro’s Economic Development, Tourism and Agriculture Directorate, initial manufacturing at the plant will start towards the end of this year.

The company’s CEO Bruce Waddell said yesterday that since the establishment of the company in Johannesburg in 1989 local content has been the core of our business.

He said that economic developments in the Eastern Cape, including the announcements of new projects in commerce and industry had “necessitated the investment in a larger factory.”

The new 8 000 square metre factory will initially produce fluorescent luminaires, he said, adding that this would progressively “be complemented with the full range of products including architectural and customised luminaires, LED luminaires, floodlighting and trunking”.

Some of the luminaries, he noted, will be manufactured for export.

In addition to the costs associated with the construction of the plant, investments will also be made in precision machines, wiring equipment and a powder coating line.

METRO MINUTES is an electronic up-to-date daily newsletter (Monday to Friday) covering decisions taken by the Nelson Mandela Bay Council and its committees, in addition to business developments within the Metro and occasionally in other parts of the Eastern Cape. The newsletter is free from October to the end of January. To receive this newsletter, send an e-mail to metminutes@iafrica.com

Source: http://www.news24.com/MyNews24/R60-m...-jobs-20120504 ]]> General Discussion Ernest Roper http://forum2.masterbuilders.co.za/showthread.php?435-R60-million-lighting-investment-will-create-80-100-jobs http://forum2.masterbuilders.co.za/showthread.php?434-Civil-engineering-firms-shedding-jobs-owing-to-lack-of-sustainable-project-work&goto=newpost Tue, 08 May 2012 06:17:46 GMT A lack of sustainable project work in South Africa is forcing civil engineering companies to release a number of their engineers back into the... A lack of sustainable project work in South Africa is forcing civil engineering companies to release a number of their engineers back into the market, leaving some to explore international job opportunities and others to look into alternative work options, says South African Institute of Civil Engineering CEO Manglin Pillay.

He says some companies with better management and administrative skills had the foresight to plan for the current lean times and are able to retain their workforce despite the lack of work. However, it was uncertain whether they would be able to do so much longer.

Another problem was that small and medium-sized businesses have insufficient economic depth to allow the same to happen within their structures.

Newly trained engineers are apparently facing similar problems to those of their older counterparts.

Pillay says the heads of civil engineering departments from four local universities of technology all say their students are unable to secure sustainable work for in-service training, as well as postgraduation employment.

He says there are a number of reasons for the current employment struggle among civil engineers and not all of them relate to the bleak economic climate.

“What confuses me is why we have unemployed engineers when it is very evident that there is a genuine need for engineering capacity to pursue the national demands of social and economic development,” says Pillay.

“And why is there inadequate project roll-out from the biggest civil engineering client – govern- ment – when the development goals have already been announced from the highest points of administration in the country to the tune of some R800- billion over the next three years?

“It appears the weakness is a lack of knowledge on how to identify projects and how to spend the allocated money. This is evident in the lack of structures, processes and systems in government to manage infrastructure spend. Then there is the cauldron of unsuitably qualified individuals ineffectually occupying technical engineering posts, nervously managing engineering projects, and second-guessing the allocation of funds.”

Pillay also questions “govern- ment’s audacity to bring engineers – together with other professionals – from Cuba . . . with full and comprehensive pack- ages to work in South Africa on South African government- funded projects”.

The solution to overcome the current infrastructure development challenges is for national government to apply the same approach adopted for the soccer World Cup, staged successfully in South Africa in 2010, says Pillay.

“The current challenges are certainly not due to insufficient funding or deficient engineering resources. It is a matter of political will and the recapacitating of the technical echelons within all three government structures.”

Edited by: Martin Zhuwakinyu

By: Irma Venter
4th May 2012
Source: http://www.engineeringnews.co.za/art...ing-2012-05-04 ]]> General Discussion Ernest Roper http://forum2.masterbuilders.co.za/showthread.php?434-Civil-engineering-firms-shedding-jobs-owing-to-lack-of-sustainable-project-work http://forum2.masterbuilders.co.za/showthread.php?433-Esorfranki-expects-earnings-to-bounce-back&goto=newpost Tue, 08 May 2012 06:14:39 GMT JSE-listed civil engineering and construction group Esorfranki said it expected an increase of between 132% and 138% in earnings a share and an... JSE-listed civil engineering and construction group Esorfranki said it expected an increase of between 132% and 138% in earnings a share and an increase of between 143% and 151% in headline earnings a share for the year ended February 29.

The company reported that it anticipated a significant improvement from losses recorded last year by achieving basic earnings a share of between 4.5c and 5.4c and headline earnings a share of between 5.5c and 6.5c for the period.

Esorfranki’s work on hand and future pipeline remained healthy, with a secured outstanding order book of more than R1.75-billion as at February 29 and imminent pending awards of about R2-billion.

The company’s financial results for the reporting period were expected to be published during the week ending June 1.

Edited by: Mariaan Webb
By: Idéle Esterhuizen
7th May 2012
Source: http://www.engineeringnews.co.za/art...ack-2012-05-07 ]]> General Discussion Ernest Roper http://forum2.masterbuilders.co.za/showthread.php?433-Esorfranki-expects-earnings-to-bounce-back