Cidb 2 nd QTR REPORT To Parliamentary Portfolio Committee Wednesday 20 June 2007 development through partnership

Content 1/2 Legislative framework and mandate Projects for 2007/08 –Construction Contact Centres –NCDP –NIMS –President’s Call Project –NYS –Support to 2010 Infrastructure Team –Support of Research Agenda development through partnership

Content 2/2 Stakeholder Forum Internal HR Development Registers Statistics –Grade 1 Contractors RoPSP Anti-Corruption-PACI Board matters Challenges Conclusion development through partnership

Legislative framework and mandate development through partnership CIDB Act 38 of 2000…mandates the CIDB to  provide strategic leadership to industry stakeholders to stimulate sustainable growth, reform and development  Exercise a regulatory function in the industry

Legislative framework and mandate development through partnership  CIDB Act 38 of 2000…mandates the CIDB to establish the National Register of Contractors:  Facilitates public sector procurement, delivery and risk management  Supports contractor development  Promotes better performance - improved quality, safety, health and environment.  to categorise contractors in accordance with their capability

Benefits of the RoC  Support risk management in the tendering process  Reduce the administrative burden  To facilitate sustainable growth and transformation of contractors, enable effective access by the emerging sector  Reduce tendering costs to clients and contractors  Promote minimum standards and contractor best practice  Enable access by the private sector  Provide information on the size, distribution, nature and development of contractors  To improve the performance of contractors Legislative framework and mandate development through partnership

Projects for 2007/08 Construction Contact Centres First group of CCC –KZN, WC, GAUTENG and EC –KZN and WC operating in June and planned to be be launched in July –Gauteng operating in phases –Gauteng and EC to officially launch later- July/August Second group of CCC- -FS, Mpumalanga, Limpopo, NW and NC development through partnership

Projects for 2007/08 NCDP –Rolled out in KZN, Gauteng, WC and EC –Technical Task Teams established –Continuous engagement and refinement of NCDP framework –CIDB aligning provincial contractor development programmes development through partnership

Projects for 2007/08 NIMS –Champion from DPW nominated –Champion from cidb nominated –Programme Steering Committee – End of July 2007 to be established –Source of budget to be identified –CIDB/DPW to programme manage development through partnership

Projects for 2007/08 NIMS –NIMS will promote sound maintenance of infrastructure and facilities across the whole of the public sector, and set parameters for all public sector institutions to perform against –Strategy gives substance to present legislation, e.g. PFMA, MFMA and the Municipal Services Act development through partnership

Intergovernmental Coordination The Minister of Public Works will provide political oversight within Cabinet The national Department of Public Works will perform the role of lead department development through partnership

Programme Steering Committee (PSC) Presidency National Department of Public Works –Chair as Lead Department National Treasury Department of Provincial and Local Government Department of Public Enterprises Department of Water Affairs and Forestry development through partnership

PSC Advisory Group An advisory group will be constituted to provide specific inputs and insights to the PSC and task teams Organizations such as SANRAL, SALGA, IMESA, DBSA, the Business Trust etc. will be approached to serve on the advisory group in order to provide good practices, coordination and communications development through partnership

Programme Management The Department of Public Works together with the Construction Industry Development Board (cidb) will provide overall programme management for the programme development through partnership

Task Teams / 4 Thrusts 4 Task Teams 1.Strengthening the regulatory framework governing planning and budgeting for infrastructure maintenance 2.Assisting institutions with non- financial resources 3.Developing the maintenance industry 4.Strengthening monitoring, evaluation and reporting, and feeding this into a process of continuous improvement development through partnership

Projects for 2007/08 PRESIDENT’S CALL PROJECT Eradication of mud schools –Development of local contractors using RoC –NCDP focus –CCC to improve reach out and support to local contractors –Co-operate with EPWP development through partnership

Projects for 2007/08 NYS –Cidb participating in developing module with CBE –Will provide staff to train recruited youth on career guidance –Assisted in developing framework for NYS programme for 5000 youths –Piloting through an ESDA when ready development through partnership

Projects for 2007/08 SUPPORT TO 2010 INFRASRUCTURE TEAM –2010 Procure Manual developed –Supported 2010 Team during their procurement processes for 2010 stadia- high level support –Will continue with high level support for further infrastructure procurement processes eg DoT roads for 2010 development through partnership

Projects for 2007/08 Support of Research Agenda To support skills development through various institutions and programmes: FET, Centres of Excellence, etc Working with Universities to advance the research agenda Campaign for students to stay at universities and pursue research and further academic training development through partnership

Stakeholder Forum –Stakeholder Forum reconstituted late 2006 –Stakeholder Forum successfully met with Minister on 1 June 2007 –Report being compiled –Provincial stakeholder workshops for all provinces-draft report compiled development through partnership Stakeholder communications

INTERNAL HR DEVELOPMENT –Personal Development –CMP-2 candidates this year –Investment in staff –Part of staff retention –Part of attracting new quality staff –Develop/Overhaul HR policies-already started development through partnership Stakeholder communications

Registers Statistics Numbers from the Registers development through partnership

There has been 1677 successful upgrades on the register, i.e. contractors improving on their gradings. 86.5% are by black owned enterprises. Current Status – Registers Statistics

Black owned by Grade only Medium sized contractors = 80% black ownership 80% gaps

Black Owned

gaps Women Owned By Grade

Development targeting gaps Women Owned – Mechanical Engineering – March 2007

Youth owned – By Grading Development targeting

Gradings by Province National & provincial targets

Black Owned (> 50%) GradeGBCEMEEE

Active Tenders (May 2007) GradeGBCEMEEE

Black Owned (> 50%) vs Active Tenders GBCEMEEE GBCEMEEE

Registers Statistics …Cont Grade 1 Contractors –About 79% of RoC as Grade 1 Contractors –Need to manage quality –Need to introduce training and development –Support from clients –Need to separate grade 1’s from main register - but still register –Draft concept document development through partnership

RoPSP Register of Professional Service Providers –Process of consultation –Draft framework for RoPSP –Focus group meeting on 26 June 2007 –Regulations to be developed –Piloting early in 2008 development through partnership

Anti-corruption Campaign Registration with PACI/Transparency International –Board approved resolution to be signatory of PACI –Application being considered by PACI –Promote anticorruption in construction –Serve as a rallying point to encourage contractors and consultants to be signatories –Work with international bodies as corruption cuts across borders development through partnership

Board matters New Board nominations –To finalise with Ministry end June 07 –Follow recommendations from Independent Review and stakeholders Independent Review Report –Submitted to Board –Then to submit to Minister development through partnership

Challenges for 2007/08 and beyond Challenges –Dealing with grade 1 registrations –Getting support from clients to support Grade 1 contractor development –Establishment of RoPSP –Successful rollout of CCC –Enforcement of compliance with regulations-focus from now on development through partnership

……………………….Thank you development through partnership Conclusion