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INTSIKA YETHU MUNICIPALITY<br />

HOUSING SECTOR PLAN<br />

20<strong>08</strong> to 2012<br />

Prepared By:<br />

Wanklin & Naidoo<br />

<strong>Development</strong> Specialists<br />

Registration Number: CK2002 / <strong>08</strong>0780 / 23<br />

12 Elton Street, Southernwood<br />

East London, 5201<br />

Tel: +27 43 7221198 / 7226291<br />

Fax: +27 43 7438485<br />

Email: tshani@iafrica.com


EXECUTIVE SUMMARY<br />

1. SITUATION ANALYSIS<br />

The two towns within the area are Cofimvaba and Tsomo and the<br />

residential component comprises 213 villages scattered throughout the<br />

municipal area. Communities in the rural areas have little or no access<br />

to adequate services such as electricity, water, clinics or schools. This<br />

results in the visibility of informal settlements on the fringes of<br />

Cofimvaba and Tsomo. The increasing migration rate puts pressure<br />

on the municipality to provide housing in the towns. There is a need to<br />

create compact rural villages which will facilitate economic provision of<br />

services and infrastructure.<br />

There is little progress being made in housing delivery at present due<br />

to institutional capacity shortages, limited access to land and the lack<br />

of funding provided by the <strong>Provincial</strong> Department of Housing.<br />

The municipality does not have an approved housing policy and uses<br />

consultants for support in design and implementation of housing<br />

projects.<br />

2. STRATEGIC FRAMEWORK<br />

Key Issues<br />

A set of appropriate housing development strategies have been<br />

formulated to address the following key issues affecting delivery,<br />

namely;<br />

Institutional Capacity<br />

The municipality has an established Housing Division comprising four<br />

approved positions. Only two are filled positions. The municipality<br />

does not have an approved housing policy and uses consultants for<br />

support in design and implementation of housing projects. The<br />

municipality undertakes beneficiary identification, dealings with DoH<br />

and financial control. Coupled with this institutional need will be the<br />

requirement that a skills development and mentorship programme be<br />

introduced for officials and councilors, emerging contractors and<br />

support personnel in technical fields.<br />

Statistics<br />

A formal housing waiting list is maintained by the municipality which<br />

indicates that there are in excess of 2 000 families which require<br />

housing. The IDP states that the anticipated population growth rate<br />

over the next 10 years is likely to be level, however more recent<br />

2


3<br />

estimates suggest that the population is declining. This would also<br />

imply that there could be expected to be a decline in housing demand<br />

over time.<br />

Housing Backlog<br />

The municipality reports that not a single housing project has been<br />

completed either due to lack of subsidy funding, access to land delays,<br />

land tenure difficulties, blocking of approved projects and/or<br />

inadequate capacity to implement projects<br />

Infrastructure<br />

The state of the infrastructure in the municipality is going to delay<br />

public and private funded housing development unless and integrated<br />

approach is adopted, whereby the necessary infrastructure is funded<br />

ahead of the housing delivery programme<br />

Housing Vision<br />

The housing vision of the municipality is to complete 10000 units by<br />

2013.<br />

“By 2013 we should have completed at least 10 000 urban and<br />

rural houses meeting the quality standards and norms, with the<br />

support of the Department and the capacity to implement a<br />

complete programme.”<br />

Objectives and Strategies<br />

The housing vision (see above) will be achieved by a set of objectives<br />

and strategies including the following:<br />

Priority Housing Issues Objectives Strategies<br />

Infrastructure To ensure the Engage the DM re bulk<br />

prioritized wards have<br />

adequate water supply<br />

Road access to be<br />

water<br />

Apply for funding from<br />

MIG for access roads<br />

upgraded<br />

Engage Eskom re<br />

Provision of electricity<br />

Provision of sanitation<br />

electricity<br />

Engage DM re<br />

sanitation<br />

Engage the Dept. of<br />

Roads and Transport<br />

Land Access<br />

By the end of 20<strong>08</strong> all<br />

prioritized wards are to<br />

have all the necessary<br />

approvals for access<br />

to rural land<br />

re bridges<br />

To arrange for all<br />

community resolutions<br />

meetings in the rural<br />

area<br />

To have engagement<br />

with Traditional


4<br />

Approvals and funding of<br />

projects<br />

An up to date set of<br />

approvals and<br />

documents for every<br />

project<br />

Institutional Capacity A fully capacitated<br />

Housing Unit by the<br />

end of 2009<br />

Housing Need<br />

Meeting the need for<br />

housing<br />

Authority and DLA to<br />

hold community<br />

meetings<br />

Align the Area Based<br />

Plan with the Housing<br />

Sector Plan<br />

To register donated<br />

land with immediate<br />

effect<br />

Revalidation of Ext. 1<br />

and Joe Slovo to be<br />

speeded up<br />

Ensure the efficient<br />

processing of<br />

beneficiaries and<br />

approval of their<br />

subsidies<br />

Obtain sufficient office<br />

space, equipment and<br />

furniture<br />

Examine the available<br />

capacity<br />

Use CDW‟s with<br />

housing experience<br />

Engage<br />

the<br />

Department in the<br />

establishment of the<br />

unit<br />

Secure a Council<br />

resolution for the unit<br />

St. Marks, Joe slovo,<br />

Ext 2 Tsomo, all<br />

informal settlements.<br />

4000 to 6000 rural<br />

units will be complete<br />

by 2013<br />

Disaster housing<br />

backlog to be<br />

prioritized in terms of<br />

starting them from<br />

scratch as individual<br />

projects


5<br />

3. INSTITUTIONAL<br />

Capacity<br />

The municipality wishes to establish a dedicated housing unit and<br />

increase its staff capacity from 2 personnel to 4. Provision is made in<br />

the organogram for these posts. Funding will be required from<br />

<strong>Provincial</strong> Housing to support the establishment of the unit as follows:-<br />

Additional Staff<br />

Housing Officer (Grade 12)<br />

Housing Clerk (Grade 13)<br />

Annual Budget<br />

R124 <strong>08</strong>0.00<br />

R104 364.00<br />

R228 444.00<br />

Furniture and Equipment<br />

Computer and printer<br />

Desks<br />

Chairs<br />

Filing cabinets<br />

Once off amount<br />

R10 000.00<br />

R20 000.00<br />

R 5 000.00<br />

R 1 000.00<br />

R36 000.00<br />

Training<br />

It is essential that training of Councillors and staff will be undertaken to<br />

upgrade the capacity of the new unit. Prior to commencing a skills<br />

audit must be conducted to ascertain the training needs and design a<br />

training programme accordingly. It is envisaged that training in the<br />

following skills would be required:-<br />

Building Inspection<br />

Project Management<br />

End User Computing<br />

Project Administration and Record Keeping<br />

Housing Policy Frameworks and Procedures<br />

A mentorship programme would be necessary for a period of at least<br />

12 months to ensure a “hands on” transfer of skills. Such a mentor<br />

would need to be outsourced using experienced practitioners from the<br />

housing field. It is estimated that the required budget would be in the<br />

region of R250 000 per annum.<br />

4. CURRENT AND PLANNED HOUSING SCHEDULE<br />

The total budget required to implement the current and proposed<br />

projects is set out in the tables below. These estimates are based on<br />

the statistics provided by the municipality and the quantum applying to<br />

the subsides at the time of preparation of the Housing Sector Plan<br />

document.


INTSIKA YETHU MUNICIPALITY<br />

CURRENT PROJECT DETAILS<br />

PROJECT NAME NO OF PROJECT TYPE NUMBER OF UNITS<br />

TOTALS<br />

SITES YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5+<br />

TSOMO EXTENSION 2 293 INDIVIDUAL HOUSING PROGRAMME 100 193 293<br />

TSOMO EXTENSION 3 250 INDIVIDUAL HOUSING PROGRAMME 100 150 250<br />

TSOMO EXTENSION 4 601 INDIVIDUAL HOUSING PROGRAMME 100 200 301 601<br />

COFIMVABA EXT 1 142 INDIVIDUAL HOUSING PROGRAMME 50 92 142<br />

ST MARKS 500 RURAL HOUSING PROGRAMME 100 250 150 500<br />

ENYANISWENI 430 INDIVIDUAL HOUSING PROGRAMME 100 200 130 430<br />

LUBISI MCAMBALALA 2,400 RURAL HOUSING PROGRAMME 250 500 250 1,400 2,400<br />

JOE SLOVO 587 RURAL HOUSING PROGRAMME 150 300 137 587<br />

TOTAL 5,203 350 1,250 1,452 450 1,701 5,203<br />

CASH FLOW<br />

PROJECT NAME NO OF PROJECT TYPE CASH FLOW (INF - INFRASTRUCTURE TS - TOP STRUCTURE)<br />

TOTALS<br />

SITES YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5+<br />

TSOMO EXTENSION 2 293 INDIVIDUAL HOUSING PROGRAMME INF 4,685,656 TS 2,299,200 TS 4,437,456 11,422,312<br />

TSOMO EXTENSION 3 250 INDIVIDUAL HOUSING PROGRAMME INF 3,998,000 TS 2,299,200 TS 3,448,800 9,746,000<br />

TSOMO EXTENSION 4 601 INDIVIDUAL HOUSING PROGRAMME INF 9,611,192 TS 2,299,200 TS 4,598,400 TS 6,920,592 23,429,384<br />

CONIMVABA EXT 1 142 INDIVIDUAL HOUSING PROGRAMME INF 2,254,872 TS 1,149,600 TS 2,115,264 5,519,736<br />

ST MARKS 500 RURAL HOUSING PROGRAMME INF/TS 10,295,200 TS 5,748,000 TS 3,448,800 19,492,000<br />

ENYANISWENI 430 INDIVIDUAL HOUSING PROGRAMME INF/TS 9,175,760 TS 4,598,400 TS 2,988,960 16,763,120<br />

LUBISI MCAMBALALA 2,400 RURAL HOUSING PROGRAMME INF 38,380,800 TS 5,748,000 TS 11,496,000 TS 5,748,000 TS 32,188,800 93,561,600<br />

JOE SLOVO 587 RURAL HOUSING PROGRAMME INF/TS 12,836,104 TS 6,897,600 TS 3,149,904 22,883,6<strong>08</strong><br />

TOTAL 5,203 81,626,392 38,351,192 33,384,384 10,346,400 39,109,392 202,817,760<br />

PROPOSED PROJECT DETAILS<br />

PROJECT NAME NO OF PROJECT TYPE NUMBER OF UNITS<br />

TOTALS<br />

SITES YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5+<br />

EKUPHUMLENI 820 INDIVIDUAL HOUSING PROGRAMME 200 620 820<br />

THABO VILLAGE 348 SITE AND SERVICE ONLY 348<br />

COFIMVABA EXT 8 348 INDIVIDUAL HOUSING PROGRAMME 100 200 48 348<br />

FORTY JUNCTION 500 RURAL HOUSING PROGRAMME 500<br />

KWAJO JUNCTION 500 RURAL HOUSING PROGRAMME 500<br />

CHRIS HANI PHASE 1 3,893 RURAL HOUSING PROGRAMME 3,893<br />

CHRIS HANI PHASE 2 1,009 RURAL HOUSING PROGRAMME 1,009<br />

VUYISILE MINI PHASE 1 1,035 RURAL HOUSING PROGRAMME 1,035<br />

VUYISILE MINI PHASE 2 2,628 RURAL HOUSING PROGRAMME 2,628<br />

TOTAL 11,<strong>08</strong>1 0 0 1,100 8,965 668 1,516<br />

CASH FLOW<br />

PROJECT NAME NO OF PROJECT TYPE CASH FLOW (INF - INFRASTRUCTURE TS - TOP STRUCTURE)<br />

TOTALS<br />

SITES YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5+<br />

EKUPHUMLENI 820 INDIVIDUAL HOUSING PROGRAMME INF 13,113,440 TS 4,598,400 TS 14,255,040 31,966,880<br />

THABO VILLAGE 348 SITE AND SERVICE ONLY 0<br />

COFIMVABA EXT 8 348 INDIVIDUAL HOUSING PROGRAMME INF 5,565,216 TS 2,299,200 TS 4,598,400 TS 1,103,616 13,566,432<br />

40 JUNCTION 500 RURAL HOUSING PROJECT INF/TS 19,492,000<br />

KWA JO JUNCTION 500 RURAL HOUSING PROJECT INF/TS 19,492,000<br />

CHRIS HANI PHASE 1 3,893 RURAL HOUSING PROJECT INF/TS 151,764,712<br />

CHRIS HANI PHASE 2 1,009 RURAL HOUSING PROJECT INF/TS 39,334,856<br />

VUYISILE MINI PHASE 1 1,035 RURAL HOUSING PROJECT INF/TS 40,348,440<br />

VUYISILE MINI PHASE 2 2,628 RURAL HOUSING PROJECT INF/TS 102,449,952<br />

TOTAL 11,<strong>08</strong>1 0 5,565,216 54,396,640 343,094,760 15,358,656 45,533,312<br />

TOTAL ALL PROJECTS 16,284 81,626,392 43,916,4<strong>08</strong> 87,781,024 353,441,160 54,468,048 248,351,072<br />

(See Section 4.7.8 for a breakdown of the Chris Hani and Vuyisile Mini housing projects )<br />

6


CONTENTS<br />

1. INTRODUCTION ........................................................................................... 9<br />

2. POLICY CONTEXT ....................................................................................... 9<br />

2.1 Legislative Framework................................................................................ 9<br />

2.1.1 The Legal Context for Housing Provision in South Africa .................... 9<br />

2.2 Policy Environment ................................................................................... 11<br />

2.2.1 A Comprehensive Plan for the <strong>Development</strong> of Sustainable Human<br />

Settlements, „BNG‟ Strategy ........................................................................ 11<br />

2.3 Municipal Legislative and Policy Framework for Housing Sector Plans ... 13<br />

2.3.1 The Constitution 1996 ........................................................................ 13<br />

2.3.2 Local Government Transition Act 1995 .............................................. 13<br />

2.3.3 Rural <strong>Development</strong> Framework 1997 ................................................ 13<br />

2.3.4 White Paper on Local Government 1998 ........................................... 13<br />

2.3.5 Municipal Demarcation Act 1998 ....................................................... 14<br />

2.3.6 The Municipal Structures Act 1998 .................................................... 14<br />

2.3.7 Municipal Systems Act 2000 .............................................................. 14<br />

2.3.8 The National Housing Act (107) of 1997 ............................................ 15<br />

2.3.9 The White Paper on Wise Land Use (July 2001) ............................... 15<br />

2.3.10 Accelerated and Shared Growth Initiative for South Africa (AsgiSA)15<br />

2.4 <strong>Provincial</strong> Housing Policy ......................................................................... 17<br />

2.4.1 <strong>Provincial</strong> Growth and <strong>Development</strong> Plan (PGDP) ............................ 17<br />

3. PARTICIPATORY PROCESS ..................................................................... 20<br />

4. THE EXISTING SITUATION ........................................................................... 22<br />

4.1 Location .................................................................................................... 22<br />

4.2 The Natural Environment........................................................................... 22<br />

4.2.1 Topography .......................................................................................... 22<br />

4.2.2 Climate .............................................................................................. 22<br />

4.2.3 Soils and Geology ............................................................................. 22<br />

4.2.4 Environmental Considerations .......................................................... 22<br />

4.3 <strong>Spatial</strong> Context ......................................................................................... 23<br />

4.3.1 Urbanisation ........................................................................................... 23<br />

4.3.2 Settlements ............................................................................................ 24<br />

4.4 Demography. ............................................................................................. 24<br />

4.4.1 Household income .............................................................................. 25<br />

4.4.2 Unemployment ................................................................................... 25<br />

4.4.3 Age and gender .................................................................................. 26<br />

4.5 Planning Context ....................................................................................... 26<br />

4.5.1 Integrated <strong>Development</strong> Plan ............................................................. 27<br />

4.5.2 Integration and Alignment of Sector Plans .......................................... 28<br />

4.5.3 <strong>Spatial</strong> <strong>Development</strong> Framework Plan ................................................ 30<br />

4.6 Municipal Infrastructure ............................................................................. 34<br />

4.6.1 Water and Sanitation .......................................................................... 34<br />

4.6.2 Refuse Removal ................................................................................. 35<br />

4.6.3 Electricity Supply ................................................................................ 35<br />

4.6.4 Roads and Storm water ...................................................................... 35<br />

4.7 Housing Situation ...................................................................................... 36<br />

7


4.7.1 Introduction ............................................................................................. 36<br />

4.7.2 Housing Need / Demand ........................................................................ 36<br />

4.7.3 Housing Supply / Type. .......................................................................... 36<br />

4.7.4 Land Availability .................................................................................. 37<br />

4.7.5 Current Housing Projects .................................................................... 38<br />

4.7.6 Planned Housing Projects ...................................................................... 39<br />

4.7.7 Social and Rental Housing ..................................................................... 39<br />

4.7.8 Proposed Rural Housing ........................................................................ 39<br />

4.8 Municipal Institutional Framework ........................................................... 40<br />

5. CONCLUDING KEY ISSUES .......................................................................... 41<br />

6. HOUSING STRATEGY ................................................................................... 41<br />

6.1 Housing Vision and Mission ...................................................................... 41<br />

6.2 Objectives and Strategies .......................................................................... 42<br />

6.3 Current and Planned Project Schedule .................................................... 44<br />

6.4 Infrastructure Programme ..................................................................... 45<br />

7. INSTITUTIONAL .......................................................................................... 46<br />

7.1 Capacity ................................................................................................ 46<br />

7.2 Training ................................................................................................. 46<br />

8. FIRST YEAR IMPLEMENTATION PLAN ........................................................ 47<br />

8


9<br />

1. INTRODUCTION<br />

The Department of Housing, Local Government and Traditional Affairs have embarked<br />

on a programme to establish 33 Municipal Housing Sector Plans in the Eastern Cape<br />

with the collaboration of Local and District Municipalities.<br />

The purpose of a Housing Sector Plan is as follows:-<br />

To ensure the effective allocation of limited resources (specifically financial and<br />

human) to a large pool of potential development interventions.<br />

To provide a formal and practical method of prioritizing housing projects and<br />

obtaining political consensus for the sequencing of their implementation.<br />

To ensure more integrated development through bringing together the relevant<br />

cross-sectoral role players to coordinate their development interventions in one<br />

plan.<br />

To provide greater spatial linkages between the spatial development framework<br />

and the physical implementation of projects on the ground.<br />

To ensure that there is a definite housing focus for the IDP.<br />

This document sets out the context of the existing situation in the Amahlathi Municipality<br />

area, the legal and policy setting and finally the various plans for housing delivery. This<br />

document also describes the situation of the local municipality and sets out the<br />

achievements to date. The various challenges facing housing delivery are described<br />

according to the information supplied by the Municipality.<br />

2. POLICY CONTEXT<br />

2.1 Legislative Framework<br />

2.1.1 The Legal Context for Housing Provision in South Africa<br />

‣ Constitution: Bill of Rights<br />

The Bill of Rights contained in the Constitution of the Republic of South Africa<br />

entrenches certain basic rights for all citizens of South Africa including: “The right to<br />

have access to adequate housing” (Article 26), where “adequate housing” is defined<br />

in the RDP White Paper of November 1994, in the following terms: "As a minimum,<br />

all housing must provide protection from weather, a durable structure, and<br />

reasonable living space and privacy. A house must include sanitary facilities, storm<br />

water drainage, a household energy supply, and convenient access to clean water.<br />

Moreover, it must provide for secure tenure in a variety of forms."<br />

The Constitution also describes the objectives of local government, including<br />

regional council as:-<br />

The provision of services to communities in a sustainable manner;<br />

The promotion of social and economic development;<br />

The promotion of safe and healthy environments; and<br />

The encouragement of community and community organization involvement in<br />

maters of local government.


10<br />

This section goes on to state that a municipality must strive, within its financial and<br />

administrative capacity, to achieve the above objectives.<br />

With regard to the development duties of local government, a municipality must:<br />

Structure and manage its administration and budgeting and planning processes<br />

to give priority to the basic needs of the community, and to promote the social<br />

and economic development of the community; and<br />

Participate in national and provincial development programmes.<br />

‣ National Housing Code<br />

The purpose of the National Housing Code is to set out clearly, in one<br />

comprehensive document, the National Housing Policy of South Africa. National<br />

Housing Policy comprises an overall vision for housing of South Africa and the way<br />

in which this vision should be implemented. The requirements for the establishment<br />

of the National Housing Code are set out in Section 4 of the Housing Act, 1997 (Act<br />

No. 107 of 1997). This act requires the Minister of Housing to publish a code to be<br />

called the National Housing Code. The code must contain National Housing Policy<br />

and administrative guidelines, in order to facilitate the effective implementation of the<br />

National Housing Policy. The code does not replace the key legislation and laws<br />

relating to National Housing Policy. Rather it is a statement of present policy,<br />

providing an overview and confirmation of the existing policy that is in place. As<br />

National Housing Policy is continually changing and evolving, so will the code<br />

continually change. Besides outlining the National Housing Policy, the code also<br />

provides guidelines and suggestions as to how this policy should be implemented.<br />

The code comprises the following parts:<br />

1. A user-friendly guide which is a summary of the code and an overview of the<br />

information available<br />

2. Part 1, is an overview of the National Housing Policy<br />

3. Part 2, is an overview of the Housing Act, No. 107 of 1997<br />

4. Part 3, details the National Housing Program including the Housing Subsidies<br />

Scheme, the Discount Benefits Scheme and Hostel re-development program.<br />

5. Part 4, covers new developments such as current policy relating to Social<br />

Housing and the Rental Act.<br />

The National Housing Policy is implemented primary by three spheres of government<br />

namely the National Government, <strong>Provincial</strong> Government and Municipalities, each of<br />

which have clear roles and responsibilities.<br />

The Constitution of South Africa broadly outlines the roles of the different spheres of<br />

government where:-<br />

1. A user-friendly guide which is a summary of the code and an overview of the<br />

information available<br />

2. Part 1, is an overview of the National Housing Policy<br />

3. Part 2, is an overview of the Housing Act, No. 107 of 1997<br />

4. Part 3, details the National Housing Program including the Housing Subsidies<br />

Scheme, the Discount Benefits Scheme and Hostel re-development program.<br />

5. Part 4, covers new developments such as current policy relating to Social<br />

Housing and the Rental Act.


11<br />

The National Housing Policy is implemented primary by three spheres of government<br />

namely the National Government, <strong>Provincial</strong> Government and Municipalities, each of<br />

which have clear roles and responsibilities.<br />

The Constitution of South Africa broadly outlines the roles of the different spheres of<br />

government where:<br />

1. National Government has the power to develop laws and policies that deal with<br />

matters that apply at a national level. Therefore at a national level Housing<br />

Policy is developed to facilitate an effective and equitable housing sector.<br />

National housing targets, goals and objectives are developed at this level.<br />

2. <strong>Provincial</strong> Government has the power to make specific laws and policies for the<br />

province in terms of all functional areas including housing. National Housing<br />

targets are subdivided amongst local municipalities based on housing needs<br />

analysis and delivery targets for each Municipality.<br />

3. Municipalities have the power to administer matters such as housing and all<br />

others relating to implementation of development projects in their areas.<br />

Municipal housing objectives and targets are defined in the Housing sector plan.<br />

2.2 Policy Environment<br />

2.2.1 A Comprehensive Plan for the <strong>Development</strong> of Sustainable Human<br />

Settlements, ‘BNG’ Strategy<br />

The “Breaking New Ground” document was approved by Cabinet and presented to<br />

MINMEC on 2 September 2004. This document suggests a number of progressive<br />

changes to the delivery of housing in South Africa. Since the documents approval in<br />

September 2004 a number of these suggested changes have been incorporated, the<br />

following is a summary of the major relevant shifts in housing delivery strategy currently<br />

being incorporated into policy based on this document.<br />

The new human settlements plan reinforces the vision of the Department of Housing, to<br />

promote the achievement of a non-racial, integrated society through the development of<br />

sustainable human settlements and quality housing. Within this broader vision, the<br />

Department is committed to meeting the following specific objectives:-<br />

Accelerating the delivery of housing as a key strategy for poverty alleviation<br />

Utilising provision of housing as a major job creation strategy<br />

Ensuring property can be accessed by all as an asset for wealth creation and<br />

empowerment<br />

Leveraging growth in the economy<br />

Combating crime, promoting social cohesion and improving quality of life for the<br />

poor<br />

Supporting the functioning of the entire single residential property market to<br />

reduce duality within the sector by breaking the barriers between the first<br />

economy residential property boom and the second economy slump.<br />

Major relevant Changes suggested through this document include:-


12<br />

‣ The new human settlements plan moves towards more holistic, integrated,<br />

flexible and responsive mechanisms which address the multi-dimensional needs<br />

of sustainable human settlements.<br />

‣ As part of an approach which envisages that municipalities will play a significantly<br />

increased role in the housing process, municipalities must take the lead role in<br />

negotiating the location of housing supply to facilitate spatial restructuring. This<br />

will also encourage integration between housing delivery, spatial planning,<br />

infrastructure provision, Municipal IDP and budgetary coherence.<br />

‣ Enhancing <strong>Spatial</strong> Planning, through greater coordination and alignment of<br />

various planning instruments and economic policies, lies at the heart of<br />

sustainable human settlements. This requires more than mere coordination<br />

between departments but there needs to be a single overarching planning<br />

authority and/or instrument to provide macro-level guidance to support the<br />

development of sustainable human settlements.<br />

‣ The housing chapter of Municipal Integrated <strong>Development</strong> Plans must be<br />

considerably enhanced to include municipal housing needs assessment, the<br />

identification, surveying and prioritisation of informal settlements, the<br />

identification of well located land for housing, the identification of areas for<br />

densification, the linkages between housing and urban renewal and the<br />

integration of housing, planning and transportation frameworks, and will link<br />

these to a multi year implementation plan.<br />

‣ It is important that the programme respond to the capacity needs of communities,<br />

ensuring that they are empowered to constructively engage with municipalities in<br />

identifying and fulfilling their housing needs.<br />

‣ Municipal capacity building is highlighted as critical to the success of the new<br />

housing plan. A comprehensive programme for capacity building in the housing<br />

sector is suggested.<br />

‣ Some changes were suggested to subsidy bands including the collapsing of the 3<br />

subsidy bands below R3500 and the introduction of finance products/instruments<br />

to medium income households (earning R3,500 to R 7,000 p.m.).<br />

‣ Progressive Informal Settlement Eradication is a primary aim of the new policy.<br />

Informal settlements must urgently be integrated into the broader urban fabric to<br />

overcome spatial, social and economic exclusion.<br />

‣ Promoting densification and integration of previously excluded groups into the<br />

city and the benefits it offers and to ensure the development of more integrated,<br />

functional and environmentally sustainable human settlements, towns and cities.<br />

One aspect of this process can be achieved through supporting urban renewal<br />

and inner city regeneration<br />

‣ An overall strategy to facilitate the release of well-located public land to<br />

municipalities is being developed, furthermore funding for the acquisition of<br />

private land for housing purposes will no longer form part of the housing subsidy.<br />

(The responsibility for the acquisition of land for housing development now rests<br />

with the Department of Land Affairs.)<br />

‣ Developing a rural housing programme which is to deal with a comprehensive<br />

range of rural housing related issues, such as tenure, livelihood strategies and<br />

broader socio-cultural issues. The document also suggested greater use of the<br />

„social housing instrument‟ to facilitate the production of effectively managed<br />

institutional housing in the areas where demand for institutional or managed<br />

housing, of all types, exists.<br />

In summary the discussion document places greater emphasis on the process of<br />

housing delivery (emphasizing planning and engagement), the quality of the housing<br />

product (both in terms of location but also in terms of final housing form) and the long-


13<br />

term sustainability of the housing environment (leading to a focus on institutional<br />

capacity).<br />

Additionally it should be noted that the Expanded Public Works Programme (EPWP) is<br />

aimed at alleviating and reducing unemployment by the provision of work opportunities.<br />

The principles/guidelines of the above plan/programme should be taken into account<br />

when housing projects are undertaken.<br />

(Source – Municipal Housing Sector Plan Manual prepared by Project Preparation Trust of KZN)<br />

2.3 Municipal Legislative and Policy Framework for Housing Sector Plans<br />

2.3.1 The Constitution 1996<br />

According to the Constitution of the Republic of South Africa, adopted on the 8 th of May<br />

1996 (sections 152 and 153), local government is responsible for the development<br />

process in Municipalities and for municipal planning. The constitution further states that<br />

municipalities are responsible for integrated development planning in order to meet the<br />

following objectives:-<br />

to ensure sustainable provision of services,<br />

to promote social and economic development,<br />

to promote a safe and healthy environment,<br />

to give priority to the basic needs of communities,<br />

to encourage involvement of communities.<br />

2.3.2 Local Government Transition Act 1995<br />

While the Local Government Transition Act of 1993, provided for revised interim<br />

measures with a view to promoting the restructuring of local government and the<br />

establishment of appointed transitional councils, amendments to that act introduced in<br />

June 1995, made provision for the establishment and management of Transitional Rural<br />

Local Government structures.<br />

Since then a number of further and positive changes have been introduced in the<br />

broader rural policy environment, and are outlined below.<br />

2.3.3 Rural <strong>Development</strong> Framework 1997<br />

In 1997, the Rural <strong>Development</strong> Task Team as part of the old RDP office prepared the<br />

Rural <strong>Development</strong> Framework for the National Department of Land Affairs. This<br />

framework advocated a holistic approach to rural development and poverty alleviation,<br />

focusing on local democracy, rural local economic development and development of<br />

rural infrastructure.<br />

2.3.4 White Paper on Local Government 1998<br />

In March 1998, the White Paper on Local Government was published advocating the<br />

developmental role of local government. Amongst the responsibilities and obligations<br />

defined for “<strong>Development</strong>al Local Government” as defined in the White Paper were the<br />

following:-<br />

to take responsibility for countering the racial divisions of the local space imposed<br />

by apartheid;


14<br />

to create unified urban and rural areas, where all community members have<br />

equal access to municipal services;<br />

to promote the active participation of local communities in decision-making<br />

through community participation in the budgeting process;<br />

to assemble municipal developmental priorities through the Integrated<br />

<strong>Development</strong> Planning (IDP) process; and<br />

to monitor municipal performance through the Performance Management<br />

System.<br />

2.3.5 Municipal Demarcation Act 1998<br />

The re-demarcation of municipal boundaries was effected through the Municipal<br />

Demarcation Act of 1998, the Municipal Structures Act of 1998 and the Municipal<br />

Systems Act of 2000. This re-demarcation has allowed for wall-to-wall local government<br />

throughout the country, removing historic confusion over responsibilities for areas, which<br />

fell outside of local municipalities, and creating the platform for more equitable<br />

development.<br />

2.3.6 The Municipal Structures Act 1998<br />

The Municipal Structures Act 1998 (Act No. 117 of 1998): provides for the establishment<br />

of municipal categories and for the appropriate division of functions and powers between<br />

these categories of municipality.<br />

A district municipality has the following functions and powers in terms of development<br />

planning:<br />

Integrated development planning for the district municipality as a whole, including<br />

a framework for integrated development plans for the local municipalities within<br />

the area of the district municipality, taking into account the integrated<br />

development plans of those local municipalities.<br />

Furthermore a district municipality must seek to achieve the integrated, sustainable and<br />

equitable social and economic development of its area as a whole by;<br />

Ensuring integrated development planning for the district as a whole;<br />

Promoting bulk infrastructural development and services for the district as a<br />

whole;<br />

Building the capacity of local municipalities in its area to perform their functions<br />

and exercise their powers where such capacity is lacking;<br />

And promoting the equitable distribution of resources between the local<br />

municipalities in its area to ensure appropriate levels of municipal services within<br />

the area.<br />

2.3.7 Municipal Systems Act 2000<br />

The Municipal Systems Act of 2000 formally introduced Integrated <strong>Development</strong> Plans<br />

(IDP‟s), as the form of planning to be adopted by all metropolitan, district and local<br />

municipalities throughout the country. Section 24(1) of the Act specifies that the planning<br />

undertaken by a municipality must be aligned with and complement the development<br />

plans and strategies of other affected municipalities and other state organs / government<br />

departments<br />

Section 24(3)(a) puts the onus on service providers to align their actions with that of the<br />

municipal IDP: “If municipalities are required to comply with planning requirements in<br />

terms of national or provincial legislation, the responsible organs of state must … align<br />

the implementation of that legislation with the provisions of Chapter 5 of the MSA dealing


15<br />

with integrated development planning.” It is clear that alignment is the responsibility of all<br />

Spheres of Government.<br />

2.3.8 The National Housing Act (107) of 1997<br />

The National Housing Act of 1997 defines the roles of different spheres of government in<br />

relation to the delivery of housing in South Africa. In terms of the responsibilities of Local<br />

Government in relation to housing delivery it states (Part 4 Sec 9.1).<br />

Every municipality must as part of the municipality‟s process of integrated development<br />

planning take all reasonable and necessary steps within the framework of national and<br />

provincial housing legislation and policy to:-<br />

a) Ensure that:-<br />

The inhabitants of its area of jurisdiction have access to adequate housing<br />

on a progressive basis;<br />

Conditions not conducive to the health and safety of the inhabitants of its<br />

area of jurisdiction are prevented or removed; and<br />

Services in respect of water, sanitation, electricity, roads, storm water<br />

drainage and transport are provided in a manner which is economically<br />

efficient.<br />

b) Set housing delivery goals in respect of its area of jurisdiction;<br />

c) Identify and designate land for housing development.<br />

2.3.9 The White Paper on Wise Land Use (July 2001)<br />

The White Paper on Wise Land Use (July, 2001) sets out to provide uniform, effective<br />

and efficient land use management in both urban and rural areas. It also aims at<br />

clearing the duplication in legislation inherited from the past.<br />

Of importance is that it further builds on the DFA normative approach to land use<br />

planning. The white paper further recommends „wise land use‟. Underpinning the<br />

concept of Wise land use are sustainable development concerns. These place society<br />

and the government at the fore front position in the preservation of natural assets for<br />

present and future generations. In other words, the White Paper re-emphasizes the need<br />

to strike a balance between the three critical aspects in development, viz. the<br />

environmental, the economic and the social.<br />

It is therefore critical, that the SDF proposals should give effect to the guiding principles<br />

as set out in both the DFA and this White Paper.<br />

2.3.10 Accelerated and Shared Growth Initiative for South Africa (AsgiSA)<br />

AsgiSA has economic and social objectives. Economically, it aims to achieve economic<br />

growth of four comma five percent (4, 5 %) in the first phase of development from 2005<br />

to 2009. Also, economic growth of six percent (6%) should be reached by 2014. Social<br />

objectives on the other hand include the improvement of the environment and<br />

opportunities for labour - absorbing and ensure that the fruits of growth are shared in<br />

such a way as to eventually eliminate poverty.<br />

AsgiSA recognizes some of the binding constraints against which the policy operates.<br />

These include:-<br />

The volatility and level of the currency.<br />

The cost, efficiency and capacity of the national logistics system.


16<br />

Shortage of suitably skilled labour amplified by the cost effects on labour of apartheid<br />

spatial patterns.<br />

Barriers to entry, limits to competition and limited new investment<br />

opportunities.<br />

Regulatory environment and the burden on small and medium businesses.<br />

Deficiencies in state organisation, capacity and leadership.<br />

Also, the policy highlights a series of interventions to counter these constraints.<br />

The following are the six categories into which the interventions were grouped:<br />

• Macroeconomic issues;<br />

• Infrastructure programmes;<br />

• Sector investment strategies (or industrial strategies);<br />

• Skills and education initiatives,<br />

• Second economy interventions; and<br />

• Public administration issues.<br />

Other strategic interventions in the infrastructure arena include further development of<br />

the country‟s research and development infrastructure, and further improvement in the<br />

modalities for public-private-partnerships in the development and maintenance of public<br />

infrastructure. Public sector infrastructure spending has considerable potential spin-offs<br />

in terms of the generation or regeneration of domestic supply industries, small business<br />

development and empowerment. Government is seeking to maximise the positive impact<br />

of these spin-offs on the domestic economy.<br />

In addition to the general infrastructure programmes, provinces were asked to propose<br />

special projects that would have a major impact on accelerating and sharing growth. A<br />

set of projects has been selected for finalisation of implementation plans. Some of these<br />

projects are already underway. They are:-<br />

• The Umzimvubu Catchments and Timber Industries <strong>Development</strong> Initiative in the<br />

Eastern Cape<br />

Also, the policy introduced sector strategies that aim at promoting private sector<br />

investment. These are inclusive of the following:<br />

A broader National Industrial Policy framework: Two sectors were identified for<br />

special priority attention: business process outsourcing (BPO) and tourism, and a<br />

third which is at a less advanced stage of development, biofuels. What all of<br />

these industries have in common is that they are labour intensive, rapidly growing<br />

sectors world wide, suited to South African circumstances, and open to<br />

opportunities for Broad Based Black Economic Empowerment (BBBEE) and<br />

small business development.<br />

Education and skills development: For both the public infrastructure and the<br />

private investment programmes, the single greatest impediment is the shortage<br />

of skills - including professional skills such as engineers and scientists, managers<br />

such as financial, personnel and project managers; and skilled technical<br />

employees such as artisans and IT technicians. The shortfall is due to the<br />

policies of the apartheid era and the slowness of our education and skills<br />

development institutions to catch up with the current acceleration of economic<br />

growth.


17<br />

Eliminating the second economy: Without interventions directly addressed at<br />

reducing South Africa‟s historical inequalities, growth is unsustainable.<br />

Interventions to address deep-seated inequalities and that target the<br />

marginalised poor are interventions to bridge the gap with the second economy,<br />

ultimately eliminating the second economy.<br />

Of importance with regards to the governance and institutional interventions, the<br />

framework for the planning and management of land use was highlighted as a key area<br />

for institutional reform. Many investment projects are unnecessarily held up by the<br />

weakness of local or provincial planning and zoning systems, or the cumbersome<br />

Environmental Impact Assessment system. The EIA system is being reformed so that it<br />

will reduce unnecessary delays, without sacrificing environmental standards. A<br />

complimentary activity must be improvements in the planning and zoning systems of<br />

provincial and local governments.<br />

2.4 <strong>Provincial</strong> Housing Policy<br />

2.4.1 <strong>Provincial</strong> Growth and <strong>Development</strong> Plan (PGDP)<br />

The PGDP is a strategic plan for the medium-to-long range (10 year) which prioritises<br />

and addresses major structural deficiencies in the economy and the conditions of<br />

society. The main aim of the Framework Document is to articulate a consensus-based<br />

vision and quantified targets for <strong>Provincial</strong> Growth and <strong>Development</strong> through a clear<br />

strategy framework. This strategy framework will in turn lay the ground for the generation<br />

of policy options.<br />

The need for a strategic approach to growth and development came from the recognition<br />

that a comprehensive strategic response is needed to poverty and the associated<br />

structural constraints to growth and development. Also, it was realised that, while<br />

continued growth of the manufacturing sector is needed, a stronger priority is industrial<br />

diversification, promotion of linkages into other sectors of the economy with growth<br />

potential, and promotion of regional linkages. Manufacturing growth must not be limited<br />

to a modern, export-oriented enclave, but must develop strong supply and value chain<br />

linkages to agriculture and agro-processing. In addition, the agriculture sector has high<br />

growth potential in the former homelands as a source of income and employment.<br />

<strong>Provincial</strong> agricultural resources have to be mobilized to:-<br />

‣ Improve the food security of poor households.<br />

‣ Promote agricultural growth for employment and to provide raw materials for agro<br />

processing and natural resource based industries.<br />

‣ To lay the foundations for economic growth in the rural parts of the Province and<br />

hence change the spatial inequality of growth and development.<br />

Moreover, a third strategic priority is the development of the Province‟s tourism potential,<br />

especially the promotion of community based tourism that will allow for broader<br />

distribution of the benefits of tourism. Tourism development must draw, in a sustainable<br />

manner, on the rich heritage and natural resources in the Province. One of the logical<br />

developments of such a broad strategic approach is the prioritization of different sectors<br />

based on their potential to contribute to poverty eradication and to regional equity in


18<br />

growth and development. This requires prioritization of interventions in the<br />

manufacturing, agriculture and tourism sectors that will:-<br />

‣ Optimise the use of provincial resources to facilitate poverty eradication and job<br />

Creation.<br />

‣ Leverage additional public and private resources, particularly for capital<br />

investment.<br />

‣ Develop social and economic infrastructure to address backlogs.<br />

‣ Lead to sustained increases in domestic savings.<br />

‣ Support technological and workplace innovation.<br />

‣ Build institutional capacity to plan for and guide economic-development.<br />

‣ Optimise the role of local government in identifying local economic development<br />

opportunities, in facilitating targeting of those opportunities, and in coordinating<br />

Service delivery.<br />

The following are the underlying principles for the development of the PGDP:-<br />

‣ State-facilitated growth and development is the strategy that offers the greatest<br />

possibility of economic change sufficiently deep and sustainable to address the<br />

problems of poverty and inequality that were the legacy of the apartheid regime.<br />

‣ In facilitating growth and development, the state requires effective partnerships<br />

with business, labour and civil society to meet the socio-economic challenges of<br />

the Province.<br />

‣ Resources will be directed to ensure that the capacity and efficiency of the state<br />

are improved in order to meet the challenges of growth and development,<br />

particularly within the local sphere of government.<br />

‣ Local government will in future be the primary site for service delivery and<br />

participatory democracy. This requires good planning for the progressive<br />

delegation of powers and functions to local government, accompanied by<br />

sufficient resources. Effective support is therefore needed for the Integrated<br />

<strong>Development</strong> Planning process within local government and the effective<br />

integration of IDPs into <strong>Provincial</strong> Plans.<br />

‣ The financing of the PGDP will extend beyond links to the provincial budgeting<br />

process, to include engagement with national government on the level of fiscal<br />

transfers, the private banking system and the donor community. These<br />

engagements should proceed from an analysis of provincial savings and<br />

investment flows by institutional sectors (households, corporations, and<br />

government).<br />

‣ A provincial industrial strategy, based on existing strengths and future<br />

opportunities at a national and international level, will guide provincial<br />

interventions, including those in support of industrial development in District<br />

Municipalities.<br />

‣ Infrastructure development will be promoted in order to address social backlogs<br />

and support economic growth. Labour-intensive and community based methods<br />

will be used for infrastructure delivery wherever possible. This is the year<br />

immediately proceeding the strategy period and is the year of release of the<br />

results of Census 2001.


19<br />

‣ Under no circumstances will any drop in the real incomes of people living below<br />

the poverty line be tolerated.<br />

‣ At all times, improvement of the moral fibre of the people of the Eastern Cape will<br />

be promoted through an integrated crime prevention strategy, an emphasis on<br />

good governance, and the building of strong households and communities.<br />

‣ Opportunities for productive employment of women, youth and disabled people<br />

will be created in all government-sponsored programmes and endeavours to<br />

influence the extension of such opportunities in the private sector will be<br />

intensified. To this end, the impact of such programmes will need to be analysed<br />

to ensure that targeting is appropriate.<br />

‣ Substantial progress will be made towards the socio-economic rights enshrined<br />

in the Constitution. These rights pertain to housing, health care, food, water,<br />

social security, education and just administrative action.<br />

‣ The HIV/AIDS pandemic will be managed effectively. This includes following an<br />

integrated approach in terms of which the many dimensions of poverty, health,<br />

prevention and effective treatment are included.<br />

‣ Gender perspectives will be analysed at all stages of planning, designing,<br />

implementation, monitoring and evaluation of the PGDP to ensure the<br />

development of gender responsive programmes.<br />

‣ The needs and opportunities associated with the natural environment will be<br />

considered at all stages of planning, design, implementation, monitoring and<br />

evaluation of the PGDP. This will require attention to the requirements for<br />

environmental sustainability both at a strategic and specific project level.<br />

‣ A comprehensive evaluation of the implementation of the PGDP Strategy<br />

Framework, as well as its subsidiary strategies, programmes and projects will be<br />

conducted in 2009.<br />

Importantly, quantified targets for growth and development in the province for the period<br />

2004-2014, with 20034 as the base year, have been developed. These targets set out<br />

expected results in the areas of growth, employment, poverty and income distribution. In<br />

the second phase of the PGDP they will be further developed into medium term targets<br />

associated with strategies and programmes. The following are the targets:-<br />

‣ To maintain an economic growth rate of between 5% and 8% per annum.<br />

‣ To halve the unemployment rate by 2014.<br />

‣ To reduce by between 60% and 80% the number of households living below the<br />

poverty line by 2014.<br />

‣ To reduce by between 60% and 80% the proportion of people suffering from<br />

hunger by 2014.<br />

‣ To establish food self-sufficiency in the Province by 2014.<br />

‣ To ensure universal primary education (UPE) by 2014, with all children<br />

proceeding to the first exit point in a secondary education.<br />

‣ To improve the literacy rate in the Province by 50% by 2014.<br />

‣ To eliminate gender disparity in education and employment by 2014.<br />

‣ To reduce by two-thirds the under-five mortality rate by 2014.


20<br />

‣ To reduce by three-quarters the maternal mortality rate by 2014.<br />

‣ To halt and begin to reverse the spread of HIV/AIDS by 2014.<br />

‣ To halt and begin to reverse the spread of tuberculosis by 2014.<br />

‣ To provide clean water to all in the Province by 2014.<br />

‣ To eliminate sanitation problems by 2014.<br />

Of importance, the policy emphasizes the fact that developmental local Government<br />

requires strengthening of the Integrated <strong>Development</strong> Planning process within District<br />

and Local Municipalities, with particular attention paid to issues such as the following:<br />

planning and project management capacity; financial management capacity;<br />

decentralisation of service delivery supported by increased and more effective flows of<br />

fiscal resources to the local sphere; strengthening of ownership of the IDP process by<br />

local communities, particularly the poor; effective integration of provincial and national<br />

programmes with Integrated <strong>Development</strong> Plans; strengthening of partnerships within<br />

the local sphere of government, particularly with civil society organisations supporting<br />

the strengthening of livelihoods at the household level.<br />

The failure to seriously address these institutional and capacity requirements will<br />

undermine the consolidation of local democracy, as well as compromise the<br />

implementation of the PGDP in the same manner that the failure to adequately deal with<br />

capacity constraints in provincial government compromised implementation of the<br />

PGDS.<br />

3. PARTICIPATORY PROCESS<br />

Public participation as it is the most powerful tool that shapes development practices will<br />

form one of the principles of this <strong>HSP</strong>. This process will ensure involvement of different<br />

actors, such as stakeholders, beneficiaries, the local community, the poor and the<br />

disadvantaged. It is a process through which people, especially the disadvantaged<br />

group, influence resource allocation and policy and program formulation and<br />

implementation. The quality of this <strong>HSP</strong> process is dependant on the level of<br />

involvement and participation of the interested and affected parties. This is a democratic<br />

process through which actors are requested to identify their needs, voice their demands<br />

in order contribute to the improvement of their livelihoods.<br />

These actors will be involved in all the phases of planning process. This means that the<br />

process promotes decentralization of resource allocation and enhances transparency<br />

and accountability in the management of public goods. It is also an important factor in<br />

the efficiency and effectiveness of the project design and implementation. Although the<br />

process itself can be time consuming, the involvement gives the local community a<br />

sense of ownership and a sense of responsibility thereby guaranteeing better project<br />

performance<br />

The planning process of the development of this <strong>HSP</strong> follows that of the IDP and will be<br />

undertaken in five phases:-<br />

• Phase 1: Project Inception


21<br />

At this stage the project vision was identified and a detail project plan was developed.<br />

This was followed by a project introductory session, whereby the project was introduced<br />

to both local and district municipalities. Institutional Arrangements were discussed to<br />

guarantee community involvement. A project Inception report was submitted to the<br />

DHLGTA to also keep them informed of the processes.<br />

• Phase 2: Desktop Analysis Report<br />

The desktop analysis phase requires that data be collected and collated into a report.<br />

This gives an overview of the municipality‟s current situation with regards to housing<br />

development and management. Taking into consideration the municipality‟s IDP and<br />

SDF, information on the municipality‟s housing needs and demands were revealed. A<br />

report is then compiled, which enables an informed assessment of the level of housing<br />

development to be undertaken within the municipality. This report will be presented in<br />

order to provide the municipality with information on the status and also to get an<br />

understanding of the current conditions.<br />

• Phase 3: Data Analysis – Interpretation<br />

This phase involves the development and administration of a questionnaire. Unlike the<br />

previous phase this phase will be more interactive. It aims to acquire more detailed and<br />

updated information on the municipality‟s housing situation. This includes an<br />

investigation of housing backlog/need, land availability, access to infrastructure and<br />

loans as well as the human resource capacity to deal with housing issues within the<br />

municipality. Field work will also be undertaken to physically engage with the key issues<br />

affecting the municipality as well as investigations on particular issues of critical<br />

importance to housing. This is followed by a community workshop at a local level, which<br />

aims to identify and discuss all the key issues and challenges affecting housing<br />

development. A District Coordinating Committee Meeting where all the municipalities<br />

will be represented will also be held. All the Information is then analyzed and collated to<br />

form a consolidated situation analysis report.<br />

• Phase 4: Formulation of a Housing Strategy<br />

After all key issues have been identified, a goal and vision stating where the municipality<br />

would like to go in terms of housing delivery is developed. Objectives and strategies on<br />

how to achieve this vision is thereafter developed. Careful consideration of all the above<br />

challenges and available resources and potential needs to be considered. At this stage<br />

the municipality will find more appropriate, innovative and cost-effective solutions for<br />

resolving the identified issues. Again community workshops will be held and a report will<br />

then be produced detailing the housing vision, goals, objectives and strategies.<br />

• Phase 5: Final Housing Sector Plan<br />

This final phase deals with the identification of actions that will be undertaken in order to<br />

achieve realistic solutions for effective housing development. A draft Housing Sector<br />

Plan (<strong>HSP</strong>) will be prepared, with an implementation plan. A workshop will be held to<br />

discuss and agree on the quantum targets and budget requirements for all the Key<br />

Performance Areas. This ensures an implementable <strong>HSP</strong>. The draft <strong>HSP</strong> will then be<br />

presented to Council for approval and will be reviewed annually.


22<br />

4. THE EXISTING SITUATION<br />

4.1 Location<br />

<strong>Intsika</strong> <strong>Yethu</strong> Local Municipality is located within the Chris Hani District Municipality of<br />

the Eastern Cape to the east of Queenstown on the R61 linking to Mthatha.. The two<br />

towns within the area are Cofimvaba and Tsomo. The rural residential component<br />

comprises 213 villages scattered throughout the municipal area.<br />

4.2 The Natural Environment<br />

4.2.1 Topography<br />

The municipal area is located in the Grassland Biome with limited areas of<br />

natural forest. The area is characterized by incised river valleys and hilltops of<br />

similar altitude. There are four primary drainage systems, the Xonxa, Ncora,<br />

Lubisi and Tsojana rivers. The first three of these rivers have been dammed to<br />

create large water impoundments suitable for large scale irrigation schemes.<br />

4.2.2 Climate<br />

The climate of the area is typified by hot summers and cool dry winters. Rainfall<br />

is between 700 – 800mm. per annum which falls in summer. Temperatures are<br />

moderate and frost occurs from May to September. Spring is generally dry and<br />

windy often followed by heavy early summer rains which make the soil cover<br />

highly vulnerable to erosion. Average daytime temperature in summer is 20<br />

degrees C. Prevailing wind in winter is from the north known as a berg wind<br />

which is hot and dry, whilst summer winds are from the south east and south<br />

west..<br />

4.2.3 Soils and Geology<br />

The dominant geological types are volcanic intrusions and sandstone of the<br />

Clarens Group which is generally resistant to erosion. Below the sandstone are<br />

red and purple mudstones together with shale. The soils in the area are<br />

categorized as shallow to moderately deep and highly weathered.<br />

4.2.4 Environmental Considerations<br />

Unpredictable weather patterns impose a limited range of agricultural activities.<br />

This, combined with overstocking and poor veld management and farming<br />

techniques has resulted in serious land degradation, particularly noticeable on<br />

non commercial farmland adjacent to village communities. From a housing<br />

perspective the area experiences numerous storms with hail and high winds


23<br />

during the summer rainfall season. This results in housing damage, particularly<br />

with roofing being blown off and structures being blown down. There are also<br />

widespread veld fires which threaten settlements during the drier winter seasons.<br />

4.3 <strong>Spatial</strong> Context<br />

<strong>Spatial</strong> Analysis – Tsomo and Cofimvaba Towns<br />

Informal Trading<br />

The lack of regulations of informal trading activities is evident in both towns. Informal<br />

trading operates under unhygienic conditions e.g. one finds a food stall located next to a<br />

hairdresser, whilst some unhygienic practices like use of open land instead of toilets<br />

occur next to these food stalls. These informal activities also have littering implications<br />

which are unacceptable and need to be addressed.<br />

Informal traders need to be provided with properly covered hawker stalls. A system<br />

whereby they operate with licences is in place but will have to be enforced. There is also<br />

a need to identify sites where these informal traders should relocate. However, they will<br />

have to be strategically located so as not to be sensitive to their business interests and<br />

preferences as hawkers.<br />

Lack of Updated Zoning Schemes<br />

No proper records are kept in the record keeping of sites and therefore there is a lack of<br />

information of property owners, their uses and what they were/are zoned for. These<br />

results in some activities happening in areas zoned for other specific uses e.g.<br />

businesses operating in residential sites. The main factor contributing to this occurrence<br />

is the lack of institutional capacity to deal with zoning and development control and<br />

management. There is a need for the municipality to be equipped with proper<br />

institutional capacity and proper technology i.e. GIS systems.<br />

Littering<br />

There is marked littering along the main roads and around community ranks. This could<br />

be attributed to the lack of awareness of how littering degrades the environment. There<br />

is also little or no visibility of rubbish bins in the towns. A proper site for waste disposal<br />

needs to be identified. Co-ordinated efforts should be made to implement cleaning<br />

campaigns to curb the unacceptable littering in the towns. This situation must be<br />

managed using municipal policies and by-laws.<br />

Taxi Ranks Congesting Main Roads<br />

Taxis are more visible on the main roads. There are plans in place to relocate taxi ranks<br />

to designated areas. By-laws should be established and enforced to ensure that taxis<br />

operate within these areas and do not cause congestion by making the main roads their<br />

loading zones. Hawkers should also be relocated to these designated taxi ranks as this<br />

is a strategic business territory for them.<br />

4.3.1 Urbanisation<br />

Communities in the rural areas have little or no access to adequate services such as<br />

electricity, water, clinics, or schools. The lack of job opportunities is also another area of<br />

concern that further aggravates poverty in <strong>Intsika</strong> <strong>Yethu</strong>. Rural communities are then<br />

forced to move to the urban areas in search of better standards of living. This results in


24<br />

the visibility of informal settlements on the fringes of Cofimvaba and Tsomo. Coupled<br />

with efforts to make available basic services to the poor the municipality should embark<br />

on the creation of employment opportunities. In its plan the municipality should make<br />

rural development a priority so as to lessen the migration of people to urban areas.<br />

The increasing migration rate puts pressure on the municipality to provide housing in the<br />

towns. There is an obvious need for pro-active planning .<br />

4.3.2 Settlements<br />

Settlements are divided into 2 distinctive types, namely rural and urban. Around the<br />

urban settlements there is relative visibility of urban sprawl. The rural settlements are<br />

also sparsely scattered all over the municipal area with the largest concentration of<br />

pockets found along the main access routes. Surrounding villages are huge tracts of<br />

bare arable land. There is need to create compact rural villages which will facilitate<br />

economical provision of services and infrastructure.<br />

4.4 Demography.<br />

According to 2001 census information 194 246 persons live in <strong>Intsika</strong> <strong>Yethu</strong><br />

municipality, which represents 22% of the Chris Hani District Municipality population.<br />

This population figure represents 44 768 households, at an average household size of<br />

4.3 persons per household. Two further population estimates undertaken in 2005<br />

concluded that the population size and the number of households had remained<br />

unchanged since the 2001 census. Population growth is clearly very low.<br />

The Bureau of Market Research publication of 2005 and Global Insight projections<br />

(2005) also estimated the population of <strong>Intsika</strong> <strong>Yethu</strong> to around the same levels (194<br />

000 people and 45 000 households), however according to municipal sources the<br />

population in 2007 was estimated at 167 050 (Global Insight and STATSA). Should this<br />

be correct, the population decrease would have serious implications for housing delivery<br />

in the area. The Community Survey 2007 (Stats SA) shows the population to be 185<br />

344. The 5 year population forecast based on this figure can be found in the tables in<br />

the Appendices.<br />

Population spatial distribution<br />

Rural / Farms<br />

0%<br />

Urban<br />

3%<br />

Peri-urban<br />

2%<br />

Rural / Villages<br />

95%


25<br />

Itsika <strong>Yethu</strong> is the largest and most rural municipality in the Chris Hani District when<br />

comparative figures are reviewed for all the municipalities in the area.<br />

4.4.1 Household income<br />

Household income is a useful proxy for understanding levels of poverty. The analysis<br />

(RSS 2006) of monthly household income distribution within the <strong>Intsika</strong> <strong>Yethu</strong><br />

municipality shows that an estimated 76% of households can be regarded as poor with<br />

gross monthly incomes of less than R1500. The figure below compares the household<br />

income distribution of the <strong>Intsika</strong> <strong>Yethu</strong> with other municipalities in the district.<br />

63<br />

Household Income Distribution<br />

76<br />

71<br />

75.3 75.9<br />

59.9<br />

57.2<br />

50.6<br />

Inxuba Tsolwana Inkwanca Lukhanji <strong>Intsika</strong><br />

Yethemba<br />

<strong>Yethu</strong><br />

Emalahleni Engcobo Sakhisizwe<br />

% HH income less than R1500/month<br />

It shows that <strong>Intsika</strong> <strong>Yethu</strong> has the highest number of households receiving incomes of<br />

less than R1500 per month within the district. This implies the need for the municipality<br />

to invest in building its local economy so as to create income generating opportunities<br />

and livelihood security nests for its communities.<br />

The updated earnings from the Community survey 2007 can be found in the table sin the<br />

Appendices<br />

4.4.2 Unemployment<br />

Unemployment in the municipality is very high. There is an urgent need to invest in<br />

sustainable economic growth and poverty alleviation to relieve local residents of the<br />

agony of poverty and unemployment. Recent survey by RSS (2006) estimated<br />

unemployment rate of <strong>Intsika</strong> <strong>Yethu</strong> to be as high as 87.1%. When compared to the<br />

district as whole, <strong>Intsika</strong> <strong>Yethu</strong> municipality remains the worst affected.<br />

The figure below shows a comparative picture.


%<br />

26<br />

Comparative unemployment distribution<br />

74.4 82.2 82.9 71<br />

87.1<br />

73.3<br />

82.1<br />

80<br />

Inxuba<br />

Yethemba<br />

Tsolwana Inkwanca Lukhanji <strong>Intsika</strong><br />

<strong>Yethu</strong><br />

% unemployed<br />

Emalahleni Engcobo Sakhisizwe<br />

4.4.3 Age and gender<br />

The gender ratio indicates that 55% of the municipality‟s population are females, whilst<br />

45% are males. The most probable explanation to this phenomenon is the exodus of the<br />

adult male population to seek work opportunities outside municipal towns. The disparity<br />

is more than that of the national average of 49% male and 51% female.<br />

Since females form the greater portion of the economically active population age groups<br />

15 to 64 years, it will be strategic for the municipality to increase their participation in<br />

local governance and decision making issues.<br />

A study of the age structure revealed that the bulk of the population, about 60%, are<br />

children in the school going age group (0 – 19 years). About 7% falls within the pension<br />

age group. Only 33% are in the working age group (20 – 64 years). This means that<br />

there is high dependency ratio as the 67% of the population depend on the 33%<br />

workforce in the area. This is indicated in the chart below.<br />

Age Unknown<br />

Over 65<br />

50-64<br />

Category<br />

30-49<br />

20-29<br />

5-19<br />

0-4<br />

0 10 20 30 40 50 60 70 80 90 100<br />

4.5 Planning Context


27<br />

4.5.1 Integrated <strong>Development</strong> Plan<br />

VISION<br />

“A vibrant developmental municipality that seeks to provide sound governance and<br />

ensure sustainable development of its economy and people in an effective and efficient<br />

manner”<br />

Mission<br />

To achieve the above vision the municipality commits to the mission of ensuring and<br />

striving to achieve:<br />

Effective community participation<br />

Competent and efficient administration<br />

Rendering sustainable and affordable services<br />

Integration of services and activities in order to accelerate delivery<br />

Sustainable economic growth<br />

Adherence to sound environmental principles<br />

Good governance and accountability<br />

The IDP schedules key clusters and prioritises activities within the cluster:<br />

Finance, Governance & Admin. Cluster.<br />

Functional administration / administrative oversight<br />

Intergovernmental relations<br />

Policies and by laws<br />

Public participation<br />

Support to council political leadership<br />

Financial viability<br />

Budgeting<br />

Financial reporting and credit control<br />

Property valuation and billing<br />

Financial policies<br />

HR policies<br />

Indigent policy<br />

Work place skills plan<br />

Equity plan and transformation<br />

Economic <strong>Development</strong> and Planning Cluster<br />

LED<br />

Poverty alleviation<br />

Markets<br />

Street trading<br />

Local tourism<br />

Fencing<br />

Environmental management<br />

Municipal planning<br />

Housing and settlement planning<br />

Integrated development planning<br />

Performance management system<br />

<strong>Spatial</strong> development framework<br />

Table below is an extract of the above mentioned cluster<br />

KPA OBJ Strategy Ward Project Description Fund Source 2007/8 20<strong>08</strong>/9 2209/10<br />

NO Code No.<br />

Housing 1-23 Develop and implement a DHLGTA, 0.00 0.00 0.00


28<br />

and land<br />

reform<br />

housing sector plan<br />

02,03 Housing survey and<br />

07-09 planning of settlements<br />

06 Planning and development<br />

of rural housing in Lubisi<br />

(1600 units)<br />

09 State land disposal of Erf<br />

186 (800ha)<br />

09,14 Provision of low income<br />

housing development<br />

09 Establishment of medium to<br />

high income housing<br />

development project<br />

04 St Marks housing<br />

development project<br />

CHDM, IYM<br />

DLA 13 957<br />

890<br />

0.00 0.00<br />

DHLGTA,CHDM, 0.00 0.00 0.00<br />

IYM<br />

DLA 0.00 0.00 0.00<br />

DHLGTA,<br />

CHDM, IYM<br />

DHLGTA, CHDM<br />

IYM<br />

DHLGTA 5 300<br />

000<br />

0.00 0.00 0.00<br />

0.00 0.00 0.00<br />

Social Needs Cluster<br />

Disaster management<br />

Municipal health<br />

Special programmes<br />

Education<br />

Cemeteries<br />

Cleansing<br />

Waste management<br />

Pound management<br />

Public safety and traffic<br />

Public spaces and parks<br />

Amenities<br />

Community facilities<br />

Licensing of dogs control of liquor selling outlets<br />

Control and inspection of food selling outlets<br />

Public transport<br />

Street lighting<br />

Technical Services Cluster<br />

Water supply provision<br />

Sanitation service provision<br />

Electricity<br />

Roads and storm water<br />

Telecommunications<br />

Municipal public works<br />

Facilitation of EPWP implementation<br />

The IDP schedules in detail the clustered prioritized list of projects based on the clusters<br />

identified in above.<br />

4.5.2 Integration and Alignment of Sector Plans<br />

<strong>Spatial</strong> <strong>Development</strong> Framework<br />

The SDF could not be reviewed during 2006/7 and will be reviewed during 2007/8 IDP<br />

review. This is discussed in greater detail below.


29<br />

Waste Management Plan<br />

The existing plan will be reviewed in 2007/8<br />

Institutional Plan<br />

The municipality has commissioned a project to redesign the organogram in line with a<br />

new proposed institutional structure.<br />

LED Strategy<br />

The process of preparing an LED strategy has been implemented to guide and grow the<br />

local economy. The vision for economic growth in <strong>Intsika</strong> <strong>Yethu</strong> is “a growing, diverse<br />

and inclusive economic hub characterized by its sustainable job creating and value<br />

adding activities.” The activities which will underpin this economic growth are seen as:<br />

* Agro processing<br />

* Forestry development and timber processing<br />

* Tourism development<br />

* Human development<br />

* SMME development<br />

* Governance and institutional capacity<br />

* Sustainable villages<br />

The principles developed to achieve this strategy are:<br />

* Beneficial partnerships<br />

* Good governance and leadership<br />

* Job creation<br />

* Positive mindset change<br />

* Entrepreneurship<br />

* plugging leakages<br />

* Sustainability and research<br />

Challenges to the growth of economic development in <strong>Intsika</strong> <strong>Yethu</strong> are noted in the IDP<br />

as:<br />

Lack of support and planning for guiding investments in the retail, tourism and<br />

agricultural sectors<br />

Limited private sector investment in the municipal area – particularly so in the<br />

rural areas<br />

The level of skills in the municipal area is low and the skills that are available are<br />

not to be found in the economic opportunity areas of agriculture, tourism and<br />

retail development<br />

Savings levels are very low due to the very low household disposable income<br />

level<br />

Poor access to markets, particularly for small scale rural farmers<br />

There is a lack of support for small and emerging entrepreneurs<br />

Poor infrastructure to support business development particularly in agricultural<br />

development<br />

The land tenure system is counter productive to economic farming enterprise<br />

The LED framework will be informed by:<br />

The <strong>Provincial</strong> Growth and <strong>Development</strong> Strategy ( PGDS)<br />

Various national and provincial departmental programmes. Within such sectors<br />

the only reference to any housing programmes are the Tenure Reform and State<br />

Land Disposal programmes of DLA.<br />

Environmental Management


30<br />

Environmental management is an area identified in the IDP requiring immediate and<br />

dedicated attention. Environmental degradation reduces economic potential of the<br />

municipal area and the preparation of an Environmental Management Plan is long<br />

overdue. The following matters are identified as reasons for serious concern:<br />

High levels of soil erosion due to poor stock management<br />

Surface run off pollution<br />

High potential for the contamination of underground water sources due to the<br />

large number of informal burial sites and the extensive use of unlined pit latrines<br />

Pollution of rivers resulting from poorly managed sewage treatment plants<br />

Employment Equity Plan<br />

The municipality has adopted an Employment Equity Plan for the period 1/7/06 to<br />

30/6/09. The plan seeks to populate the organogram in a manner which reflects the<br />

demographics of the labour force in the region. The plan further seeks to remove all<br />

barriers that historically disadvantaged persons face as they enter the labour market.<br />

4.5.3 <strong>Spatial</strong> <strong>Development</strong> Framework Plan<br />

The SDF is regarded as an integral part of the IDP and seeks to give a spatial dimension<br />

to the strategic findings of the IDP. This section therefore complements Section 4.4.1<br />

above and details relevant aspects thereof. A copy of the SDF Plan is depicted in the<br />

appendices.<br />

Basic Characteristics: An assessment of the spatial and socio economic characteristics<br />

of <strong>Intsika</strong> <strong>Yethu</strong> established the framework for the municipal SDF and in this regard the<br />

IDP noted the following:<br />

The municipality is predominantly rural and the output of an SDF should<br />

empower rural communities<br />

The western part of the municipality has real potential for agricultural<br />

development<br />

There is an uneven distribution of services between urban and rural areas<br />

Economic activity is concentrated in Tsomo and Cofimvaba<br />

The dispersed nature of settlements implies a high cost solution to fulfill the<br />

basic needs of all residents<br />

A strategic approach is required to guide investment towards prioritized<br />

geographic areas<br />

The Eastern Cape <strong>Provincial</strong> <strong>Spatial</strong> <strong>Development</strong> Framework ( ECPSDF). The<br />

Eastern Cape <strong>Provincial</strong> <strong>Spatial</strong> <strong>Development</strong> Framework ( ECPSDF) notes three basic<br />

avenues of approach which should be pursued in any municipal SDF :<br />

Concentration of investment<br />

Investment channeled to nodal areas<br />

Boosting local economic development<br />

The above fundamentals are expressed in the following spatial guidelines:<br />

Identify a settlement hierarchy to promote nodes and corridors<br />

Identify flexible zones to promote different types of special investment<br />

Identify sustainable resources<br />

Identify restricted development zones to ensure that development does not take<br />

place in environmentally sensitive areas


31<br />

Encourage and enable poor people to access resources<br />

Utilize spatial integration as a means of integrating communities<br />

The ECPSDF notes further that there are three basic levels of approach for strategic<br />

investment:<br />

Level 1: Basic needs to all. Providing basic needs at a minimum level to all<br />

communities based on available resources and the development of existing<br />

infrastructure<br />

Level 2: Capacity building. Developing local capacity through sound<br />

management of public sector funding<br />

Level 3: Targeted focus areas. <strong>Development</strong> zones, nodal areas and<br />

corridors with economic development potential must be provided with adequate<br />

development funding.<br />

The above features of the ECPSDF form the building blocks of the <strong>Intsika</strong> <strong>Yethu</strong> SDF.<br />

Urban Node Proposals: The following land development proposals for the two<br />

identified urban nodes of Cofimvaba and Tsomo are noted in the SDF:<br />

Cofimvaba:<br />

Tsomo:<br />

An area between the prison and “pilot housing” has been identified for<br />

middle income housing<br />

Across the river, to the south of the town, there is land suitable for<br />

agricultural development to encourage small scale farming<br />

Vacant municipal land adjacent to the old hotel is available for additional<br />

industrial development. Additionally, land is set aside for industrial use to<br />

the east of Ext.3 on the R61.<br />

Housing, in the form of flats, mixed with business is recommended on<br />

vacant municipal land on the road to Queenstown<br />

Additional land for sewage ponds and a solid waste site needs to be<br />

identified ( no sites identified in SDF)<br />

Expansion of the existing cemetery has been proposed<br />

The large area of land opposite the hospital has been identified for<br />

institutional development<br />

Densification ( residential ) will take place between Ext 3 and the existing town<br />

The developing area between Ext 2 and the town will further densify<br />

A taxi rank across the road from Ext 3 is recommended<br />

The existing sewage ponds and solid waste site require engineering<br />

investigations<br />

Secondary Node Proposals: These are rural nodes where the focus is on<br />

development planning for households dependent upon agricultural development. The<br />

key target areas are land reform and rural housing projects:<br />

Ncora<br />

This area has a long agricultural development history and in the 1970‟s was<br />

the subject of a major dam construction and previous irrigation projects.


32<br />

There is a need for mobilization of funds to reinstate the irrigation and<br />

agricultural potential of the area.<br />

There is existing infrastructure which could be improved and utilized for<br />

training, research and development of skills for adjacent communities<br />

Sustainable fish farming in the dam represents a vast potential to be<br />

investigated<br />

There is existing potential for large scale production of irrigable crops<br />

Qamata<br />

This former irrigation scheme area should be investigated for major crop<br />

production<br />

Small scale farming could be successfully introduced<br />

An EIA is required to initiate new production areas<br />

There is potential for the establishment of a game reserve and LED spin-offs<br />

Bilatye<br />

This area has been earmarked for wheat production and the establishment of<br />

an agricultural village<br />

Electricity needs to be provided<br />

Investigations required for dam construction<br />

Lubisi<br />

Sabalele<br />

There is high potential for fish farming in the dam coupled with tourism<br />

development based upon sport fishing<br />

All necessary requirements such as an EIA should be initiated<br />

This area has potential for tourism development based upon a proposed<br />

national monument<br />

Land Use Management System ( LUMS)<br />

The objective of the LUMS is to create a management tool to ensure that the<br />

recommended spatial form of development is achieved. Land use management in both<br />

Cofimvaba and Tsomo is achieved to some extent through the use of a very outdated<br />

Town Planning Scheme which is implemented by the municipality. There is no proper<br />

land use management effected in the balance of the municipal area – input is made by<br />

appropriate state departments such as Depts. of Agriculture and Land Affairs. Despite<br />

the absence of a proper land use management platform, the IDP notes that a LUMS will<br />

achieve the following:<br />

Regulation of land use changes<br />

Regulation of subdivision and consolidation of land parcels<br />

Regulate use of commonage<br />

Regulate and upgrade informal settlements<br />

Facilitate land development<br />

<strong>Intsika</strong> <strong>Yethu</strong> municipality will deal with land use management in terms of the different<br />

levels of nodal development viz:<br />

The primary nodes of Cofimvaba and Tsomo<br />

The identified priority secondary nodes


33<br />

Other secondary nodes<br />

The Primary Nodes of Cofimvaba and Tsomo<br />

Ensure proper management of development control through all available<br />

statutory procedures<br />

Maintain proper up to date records of all aspects of land change<br />

Ensure the central area of each town is functional – eg. Parking provision,<br />

public ablutions etc.<br />

No development should take place without the approval of the Municipality and<br />

where necessary the approval of the Townships Board<br />

The municipality should be proactive in land development to ensure orderly<br />

development of the town<br />

The municipality should encourage densification of the town<br />

Identify, develop and maintain suitable open areas as a public park<br />

Manage traffic movement and parking in the central areas of the towns<br />

Promote housing development to avoid the illegal occupation of land<br />

Encourage small scale agriculture in areas specified in the SDF<br />

Protect the natural environment in towns and ensure no development takes<br />

place in sensitive areas<br />

Ensure adequate reservations are made for solid waste disposal, sewage<br />

treatment and water treatment<br />

Priority Secondary Nodes<br />

Prevent land invasions and ensure the growth of rural settlements does<br />

consume viable agricultural land<br />

Work with the Dept. of Agriculture to identify prime agricultural land and ensure<br />

that such land is used for agricultural production<br />

Identify vacant land suitable for settlement purposes<br />

Protect all sensitive natural areas<br />

Protect heritage sites, historical buildings, cemeteries and graves<br />

Other Identified Secondary Nodes<br />

These are nodes to be dealt with as above – the only difference is that these nodes are<br />

not prioritized for development purposes.<br />

Additional Categories of the <strong>Intsika</strong> <strong>Yethu</strong> LUMS: Apart from the above nodal areas<br />

the SDF categorises the following further aspects of the LUMS proposal:<br />

Tourism <strong>Development</strong> Areas: Sabalele and Ncora are identified as tourism<br />

development areas. To promote these areas the following is recommended in<br />

the SDF :<br />

* promotion of environmentally sensitive infrastructure<br />

* Degraded areas in tourism development areas should be rehabilitated<br />

* protect sensitive environmental areas<br />

* coordinate all role players<br />

* Ensure all relevant legislation is followed<br />

Agricultural <strong>Development</strong> Areas : The following requirements are noted in the<br />

SDF :<br />

* Conservation of prime agricultural land<br />

* utilize STEP programme findings<br />

* Provision of training and skills development programmes


34<br />

* undertake land suitability studies<br />

Forestry <strong>Development</strong> Areas : The following requirements are noted in the<br />

SDF :<br />

* Management of forestry areas to be implemented with the assistance of<br />

DWAF<br />

* Protect natural forests<br />

* Improve management capacity of forest administration<br />

Land <strong>Development</strong> Policies and Guidelines : The SDF notes that the following<br />

policies and guidelines need to be developed as a matter of urgency :<br />

* Policy on development of prime and sensitive environmental areas and<br />

Agricultural land<br />

* Policy on hawkers and appropriate management of informal trade<br />

* Policy on containers for retail purposes with particular reference to cell<br />

Phones<br />

* Policy on spaza shops in residential areas<br />

* Policy on operation of taverns<br />

* Policy for leasing municipal properties<br />

Unfortunately the <strong>Spatial</strong> <strong>Development</strong> Framework Plan does not contain a map<br />

depicting the SDF and we are unable to source this map for inclusion into this document<br />

4.6 Municipal Infrastructure<br />

4.6.1 Water and Sanitation<br />

Chris Hani District Municipality is both the Water Services Authority and Water Services<br />

Provider for all areas in <strong>Intsika</strong> <strong>Yethu</strong> municipality. However the local municipality<br />

monitors service provision and household access to such service and makes<br />

representation to the water authority when necessary. Water supply backlogs still exist<br />

and the water authority has appointed a consultant to undertake service provision in<br />

rural areas, whilst attending to the supply in urban areas from its own resources. It is<br />

estimated that 47.% of households in the municipal area lack water a water supply,<br />

whilst 38% receive water from an RDP level stand pipe, 11% receive water from<br />

boreholes and 4% have yard connections.<br />

HOUSEHOLD WATER SUPPLY<br />

TYPE<br />

PERCENTAGE<br />

YARD CONNECTION 4<br />

BOREHOLE 11<br />

STAND PIPE 38<br />

NO SUPPLY 47<br />

Sanitation backlogs are very high, particularly in rural areas and are estimated to be<br />

85%.


35<br />

OVERALL SANITATION PROVISION<br />

TYPE<br />

PERCENTAGE<br />

WATERBORNE 0,9<br />

VIP 53.2<br />

BUCKET 0.2<br />

NO SERVICE 45,7<br />

The District Municipality estimated in 2006 that an amount of R 112 million would be<br />

required to reverse the current water and sanitation backlogs – R80m for water and R32<br />

for sanitation.<br />

4.6.2 Refuse Removal<br />

<strong>Intsika</strong> <strong>Yethu</strong> municipality is responsible for providing refuse removal service to its areas<br />

of jurisdiction. Since the establishment of <strong>Intsika</strong> <strong>Yethu</strong> municipality in 2000, this service<br />

has generally been provided to urban areas of Cofimvaba and Tsomo only. Rural areas<br />

are generally using a range of temporary mechanisms such as own dump within the<br />

yard, illegal damp sites and mobile tankers.<br />

According to recent statistics only 2% of households have access to weekly refuse<br />

removal service. Another 1% receives regular but adhoc collections from the<br />

municipality. A further 1% utilises communal dumps while 36% is underserved. About<br />

60% in mostly rural areas, utilize own means such as burning waste or disposing it within<br />

their yards. The latter two categories can be defined as clear backlog for waste removal<br />

service in <strong>Intsika</strong> <strong>Yethu</strong>.<br />

4.6.3 Electricity Supply<br />

Eskom is a sole provider of electricity services in the <strong>Intsika</strong> <strong>Yethu</strong> jurisdictional areas.<br />

The municipality‟s role is currently to facilitate the implementation and communicate with<br />

Eskom regarding areas of priority for connections. Backlogs in electricity connections<br />

remain high for most areas in the municipality.<br />

The backlog for electricity household connections is estimated by RSS survey of 2006 to<br />

be equal to 44% of households. The survey revealed that only 56% households currently<br />

have household electricity connections.<br />

4.6.4 Roads and Storm water<br />

The municipality is responsible for the construction, maintenance and upgrading of local<br />

access roads and stormwater infrastructure. Other roads are a responsibility of the<br />

District, Province and National department of Transport.<br />

The entire road network of mainly gravel roads is generally in poor conditions and in dire<br />

need upgrading and maintenance. There is an estimated 50 kilometres of tarred roads<br />

which are largely main distributor level roads such as R61 linking major towns of<br />

Queenstown and Umtata as well as the newly resurfaced route linking R61 through<br />

Tsomo to N2 going to East London. Of the tarred roads, a length about 5km or so are<br />

urban access roads within towns of Cofimvaba and Tsomo.<br />

It is difficult to quantify the extent of proclaimed gravel access roads but observations by<br />

Public Works officials approximate them to 600km in length. Of this amount of gravelled<br />

roads, the Department of Roads and Transport in the Eastern Cape has budgeted to<br />

maintain and upgrade approximately 288km of gravelled roads in <strong>Intsika</strong> <strong>Yethu</strong> during<br />

2007/8 financial year at a cost of R892 000.


36<br />

4.7 Housing Situation<br />

4.7.1 Introduction<br />

There is little progress being made in housing delivery at present due to institutional<br />

capacity shortages, limited access to land and the lack of funding provided by the<br />

<strong>Provincial</strong> Department of Housing.<br />

4.7.2 Housing Need / Demand<br />

A formal housing waiting list is maintained by the Municipality which indicates that there<br />

are in excess of 2000 families which require housing. The municipality has initiated<br />

housing projects which should generate 3743 sites. However, the following demand was<br />

identified;<br />

‣ In situ upgrade : currently 3401 units located in Wards 9 and 14<br />

‣ Income group < R3500 : 500 units required to be located in wards 4<br />

‣ Income group R3500 – R7500 : 142 units required to be located in Ward 9<br />

In addition, there are 120 houses awaiting repairs from disasters which occurred during<br />

2007. Many other homes are still not repaired from disasters which occurred prior to<br />

2007.<br />

The number of households in the municipal area earning below R3500 is estimated to be<br />

in excess of 75% of the total number of households. The IDP states that the anticipated<br />

population growth rate over the following ten years is likely to be level, however more<br />

recent estimates suggest that the population is declining. This would also imply that<br />

there could be expected to be a decline in housing demand over time.<br />

4.7.3 Housing Supply / Type.<br />

The municipality is characterized by a largely rural settlement character. These<br />

settlements are clustered on ridges and along the roads with a variety of housing<br />

structures built out of mud brick, block and brick walls. Roofing varies from thatch to tiles<br />

or to corrugated iron. In the two towns of Tsomo and Cofimvaba, there are informal<br />

structures and back yard shacks behind larger houses built from brick and blocks.<br />

The table below is a summary of the statistics found on the Statistics South Africa<br />

website. (The number of private ship/boat is queried as to its source)


37<br />

House or brick structure on a separate stand or yard 8 293<br />

Traditional dwelling/hut/structure made of traditional materials 29 561<br />

Flat in block of flats 1 266<br />

Town/cluster/semi=detached house(simplex; duplex; triplex 91<br />

House/flat/room in back yard 573<br />

Informal dwelling/ shack in back yard 206<br />

Informal dwelling/ shack NOT in back yard 322<br />

Room/flatlet not in back yard but on shared property 151<br />

Caravan or tent 23<br />

Private ship/boat 2<br />

40 488<br />

(Source – Statistics South Africa – Census 2001)<br />

Updated housing figures sourced from the Community Survey 2007 can be found in the<br />

tables in the Appendices.<br />

It is a characteristic of this area that many settlements are located at the foot of hills and<br />

mountains. Problems are experienced with storm water run off and flooding due to the<br />

steep hill sides. Some of the soils have a clay content which affects structural strength of<br />

walls and floors. In areas close to the hill sides, large rocky outcrops result in high costs<br />

for the provision of services..<br />

4.7.4 Land Availability<br />

Municipal commonage land is available for future housing development. These sites are<br />

well located in relation to work opportunities, social amenities and other basic services.<br />

The existence of communal and informal land ownership systems in the rural parts of the<br />

municipal area is a major challenge to development because it locks strategic resources<br />

(land) which is needed for improving the lives of rural people. There is a commitment by<br />

the Department of Land Affairs to transform land tenure so that rural households living in<br />

traditional or communal lands can have access to land ownership.<br />

Current initiatives in the areas of Land Reform, Survey and Planning as well as Housing<br />

are listed below with amounts of committed budgets where information exists.<br />

Land<br />

Affairs<br />

Tenure<br />

Reform<br />

State Land<br />

Disposal<br />

Housing, Survey and<br />

Planning<br />

Erf 186 (800 ha),<br />

16,17,33,36,152,185<br />

Ward 2,3,7<br />

and 8<br />

R 12,296,040<br />

Ekuphumleni R 1,661,850<br />

Cofimvaba<br />

Public<br />

infrastructure<br />

Construction<br />

Maintenance<br />

&<br />

Budget<br />

unknown<br />

Public<br />

Works<br />

State land<br />

Roads<br />

Facilitate transfers<br />

and release for<br />

development<br />

Construction &<br />

Maintenance


38<br />

Land Use<br />

Management<br />

(Valuations &<br />

Survey)<br />

Support conduct of<br />

valuations and land<br />

surveys<br />

NB:<br />

district<br />

entire<br />

R 1,680,000<br />

LG<br />

Housing &<br />

Traditional<br />

Affairs<br />

IDP / PMS<br />

LED<br />

Disaster<br />

Management<br />

Including fire-fighting<br />

NB:<br />

district<br />

NB:<br />

district<br />

NB:<br />

district<br />

entire<br />

entire<br />

entire<br />

R 1,727,000<br />

R 2,410,000<br />

R 3,7<strong>08</strong>,000<br />

Capacity<br />

Building<br />

support<br />

MIG<br />

Finance mentoring,<br />

by-laws & policies,<br />

asset registers, ICT,<br />

Councilor training<br />

NB:<br />

district<br />

NB:<br />

district<br />

entire<br />

entire<br />

R 33,024,000<br />

R<br />

198,646,645<br />

Through these initiatives the department is intending to contribute towards tenure<br />

improvements and increasing access to land by especially rural households.<br />

There are some land claims within the municipal area and these can be seen on the<br />

table below;<br />

Cofimvaba<br />

Cofimvaba<br />

Communal areas<br />

Gwatyu<br />

Cofimvaba Thembani settlement 231/2<br />

Cofimvaba<br />

Cofimvaba<br />

Cofimvaba<br />

St Johns<br />

Isolethu<br />

St John's Bolotwa<br />

(Siyazama Asociation)<br />

Erf 586 Bolotwa<br />

4.7.5 Current Housing Projects<br />

The municipality has initiated 11 housing projects which will generate 3 743 residential<br />

sites to supply an identified waiting list of 2 000 households and upgrade shacks<br />

occupied in informal settlements. However many of these projects are stalled for a<br />

variety of reasons, including the moratorium on funding by the Department of Housing,<br />

land tenure problems and infrastructure capacity in certain areas. According to the<br />

information provided housing subsidies have been approved for the St Marks project<br />

which is under construction.<br />

The following schedule indicates housing proposals in this regard. Some are approved<br />

townships, whilst others are beset with matters such as Section 28(1) Certificates and<br />

non approval of housing funds ;<br />

Enyanisweni : 431 proposed sites : Township register opened : Funds not<br />

approved


39<br />

Ekuphumleni : 820 proposed sites : project funding insufficient<br />

Thabo Village : 348 proposed sites : Planning and Survey funded<br />

Ext 7 : planning and survey initiated – no funding<br />

Tsomo Ext.2 : application submitted to DoH<br />

Tsomo Ext.3 : application submitted to DoH<br />

Tsomo Ext4 : 300 sites planned : application being prepared for Townships<br />

Board<br />

Lubisi Mcambalala <strong>Development</strong> : 2 400 proposed sites : 1 000 submitted to DoH<br />

St Marks housing : 500 approved subsidies : Infrastructure being constructed<br />

Joe Slovo : 587 subsidies awaited; Tachy Survey completed but delayed due to<br />

the land not being transferred from DWAF to the municipality;<br />

Ext.1 Cofimvaba: 142 proposed sites : approval of Townships Board awaited<br />

4.7.6 Planned Housing Projects<br />

The municipality plans on submitting a project proposal for Mahfubini Thabo village for<br />

348 subsidies. The project is in the layout planning phase.<br />

4.7.7 Social and Rental Housing<br />

No Social or Rental housing projects are being considered within the next five years<br />

4.7.8 Proposed Rural Housing<br />

The Municipality is embarking upon a rural housing project involving some 8 565 houses<br />

as per the tables below<br />

Chris Hani Rural Housing Phase 1<br />

Ward No Village Population Households<br />

01 Lower Sabalele 2,718 500<br />

01 Upper Sabalele 992 132<br />

03 Ntshingeni 3,987 1,288<br />

01 Gudwana 762 500<br />

02 Mtimbini 375 75<br />

04 Ntlakokwefolo 1,800 600<br />

04 St. Marks 800 350<br />

03 Bolokodlela 1,800 448<br />

Chris Hani Rural Housing Phase 2<br />

Ward No Village Population Households<br />

01 Hoyita 711 124<br />

01 Ntshintshi 670 118<br />

01 Zigudu 856 126<br />

01 Banzi 865 130<br />

01 Boomplaas 768 128<br />

01 Exani 1,004 134<br />

02 Chamama 1,450 127<br />

01 Engxingweni 600 122


40<br />

Vuyisile Mini Rural Housing Phase 1<br />

Ward No. Village Population Household<br />

11 Matafeni 1,580 316<br />

11 Jojweni (Mhlahlane) 1,170 234<br />

11 Mzantzi 70 14<br />

11 Komkhulu 920 184<br />

11 Nzaba 250 56<br />

10 Mahlubini 3,945 131<br />

10 Majwareni 500 100<br />

Vuyisile Mini Rural Housing Phase 2<br />

Ward No. Village Population Household<br />

12 Mdletyeni 630 105<br />

12 Majavu 150 25<br />

12 Luxeni 654 109<br />

12 Qesha 240 40<br />

12 Luqolweni 270 45<br />

12 Ngceza 780 130<br />

12 Mgxobozweni 222 37<br />

12 Bulawayo 240 40<br />

12 Mome 300 50<br />

12 Chitheka 300 50<br />

12 Mmfengwini 480 80<br />

12 Phikweni 510 85<br />

12 Mkhuthukeni 300 50<br />

12 Ntlabathini 690 115<br />

12 Lower Tsojana 1,644 169<br />

12 Ngojini 400 397<br />

12 Mission 355 100<br />

12 Qwili 900 250<br />

12 Ngali 450 140<br />

12 Kwezana 500 250<br />

12 Ngonyama 966 161<br />

12 Mtyamde 1,200 200<br />

(See the spreadsheets of proposed projects for a condensed budget of the above<br />

project)<br />

4.8 Municipal Institutional Framework<br />

For purposes of administration the organization is structured into five departments, viz<br />

Municipal manager, community services, corporate services, finance, works. The IDP<br />

notes that the managerial skill and experience available is very limited. It is further noted<br />

that the Municipal manager function is carried out in an acting capacity by the Chief<br />

Accounting Officer, a situation which has led to poor performance in both positions.<br />

The municipality has an established Housing Division comprising four approved<br />

positions. Only two are filled positions. The municipality does not have an approved<br />

housing policy and uses consultants for support in design and implementation of housing


41<br />

projects. The municipality undertakes beneficiary identification, dealings with DoH and<br />

financial control. The SDF is used as a basis for directing new housing projects.<br />

DEPARTMENTAL STAFF DISTRIBUTION<br />

Dept. Senior Middle Prof. Supervisory Gen.workers Total<br />

Man. Man. staff<br />

Mun.Man. 1 1 6 1 4 12<br />

Corp. 1 1 3 1 14 20<br />

service<br />

Comm. 1 3 8 3 40 55<br />

Services<br />

Finance 1 1 7 2 11<br />

Works 1 1 4 3 28 37<br />

Total 5 7 28 10 86 135<br />

Percent. 3 5 22 7 63 100<br />

The high number of “general workers” in the Community Services Dept. is a noted matter<br />

for concern. The IDP does not state the required number of posts contained in the<br />

organogram - staff shortages are therefore not noted.<br />

5. CONCLUDING KEY ISSUES<br />

The <strong>Intsika</strong> <strong>Yethu</strong> Municipality reports that not a single housing project has yet been<br />

completed either due to lack of subsidy funding, access to land delays, land tenure<br />

difficulties, blocking of approved projects and/or inadequate capacity to implement<br />

projects. The key issues identified in the situation analysis include the following:<br />

The housing stock is mainly rural in nature but vulnerable to disasters due to the<br />

climatic characteristics in the area, disasters from high winds, flash flooding, hail<br />

and veld fires;<br />

The rural character results in a desire to upgrade rural homesteads but this is not<br />

possible because of the communal land tenure and requirements that<br />

beneficiaries have individual tenure;<br />

The two towns of Cofimvaba and Tsomo experience increased frustration with<br />

the lack of progress in housing delivery due to the reasons expressed above;<br />

The population is believed to be stable or even declining, meaning that the<br />

housing demand is unlikely to grow. There would accordingly be merit in<br />

considering future strategies to build new homes or carry out in-situ upgrading (or<br />

both).<br />

6. HOUSING STRATEGY<br />

6.1 Housing Vision and Mission<br />

The housing vision of the <strong>Intsika</strong> <strong>Yethu</strong> municipality is as follows;


42<br />

“by 2013 we should have completed at least 10 000 urban and rural houses<br />

meeting the quality standards and norms, with the support of the Department and<br />

the capacity to implement a complete programme.”<br />

6.2 Objectives and Strategies<br />

Priority Housing Issues Objectives Strategies<br />

Infrastructure<br />

To ensure the prioritized Engage the DM re bulk<br />

wards have adequate water<br />

water supply<br />

Apply for funding from<br />

Road access to be MIG for access roads<br />

upgraded<br />

Engage Eskom re<br />

Provision of electricity electricity<br />

Provision of sanitation Engage DM re sanitation<br />

Engage the Dept. of<br />

Roads and Transport re<br />

Land Access<br />

Approvals and funding of<br />

projects<br />

By the end of 20<strong>08</strong> all<br />

prioritized wards are to<br />

have all the necessary<br />

approvals for access to<br />

rural land<br />

An up to date set of<br />

approvals<br />

and<br />

documents for every<br />

project<br />

Institutional Capacity A fully capacitated<br />

Housing Unit by the end<br />

of 2009<br />

Housing Need to reduce<br />

the housing backlog<br />

Meeting the need for<br />

housing using various<br />

bridges<br />

To arrange for all<br />

community resolutions<br />

meetings in the rural<br />

area<br />

To have engagement<br />

with Traditional Authority<br />

and DLA to hold<br />

community meetings<br />

Align the Area Based<br />

Plan with the Housing<br />

Sector Plan<br />

To register donated land<br />

with immediate effect<br />

Revalidation of Ext. 1 and<br />

Joe Slovo to be speeded<br />

up<br />

Ensure the efficient<br />

processing<br />

of<br />

beneficiaries and<br />

approval of their<br />

subsidies<br />

Obtain sufficient office<br />

space, equipment and<br />

furniture<br />

Examine the available<br />

capacity<br />

Use CDW‟s with housing<br />

experience<br />

Engage the Department<br />

in the establishment of<br />

the unit<br />

Secure a Council<br />

resolution for the unit<br />

St. Marks, Joe slovo, Ext<br />

2 Tsomo, all informal


43<br />

instruments including,<br />

rural subsidies, informal<br />

settlement upgrading ,<br />

project linked subsidies<br />

and middle income<br />

projects.<br />

settlements. 4000 to<br />

6000 rural units will be<br />

complete by 2013<br />

Disaster housing backlog<br />

to be prioritized in terms<br />

of starting them from<br />

scratch as individual<br />

projects


6.3 Current and Planned Project Schedule<br />

INTSIKA YETHU MUNICIPALITY<br />

CURRENT PROJECT DETAILS<br />

PROJECT NAME NO OF PROJECT TYPE NUMBER OF UNITS<br />

TOTALS<br />

SITES YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5+<br />

TSOMO EXTENSION 2 293 INDIVIDUAL HOUSING PROGRAMME 100 193 293<br />

TSOMO EXTENSION 3 250 INDIVIDUAL HOUSING PROGRAMME 100 150 250<br />

TSOMO EXTENSION 4 601 INDIVIDUAL HOUSING PROGRAMME 100 200 301 601<br />

COFIMVABA EXT 1 142 INDIVIDUAL HOUSING PROGRAMME 50 92 142<br />

ST MARKS 500 RURAL HOUSING PROGRAMME 100 250 150 500<br />

ENYANISWENI 430 INDIVIDUAL HOUSING PROGRAMME 100 200 130 430<br />

LUBISI MCAMBALALA 2,400 RURAL HOUSING PROGRAMME 250 500 250 1,400 2,400<br />

JOE SLOVO 587 RURAL HOUSING PROGRAMME 150 300 137 587<br />

TOTAL 5,203 350 1,250 1,452 450 1,701 5,203<br />

CASH FLOW<br />

PROJECT NAME NO OF PROJECT TYPE CASH FLOW (INF - INFRASTRUCTURE TS - TOP STRUCTURE)<br />

TOTALS<br />

SITES YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5+<br />

TSOMO EXTENSION 2 293 INDIVIDUAL HOUSING PROGRAMME INF 4,685,656 TS 2,299,200 TS 4,437,456 11,422,312<br />

TSOMO EXTENSION 3 250 INDIVIDUAL HOUSING PROGRAMME INF 3,998,000 TS 2,299,200 TS 3,448,800 9,746,000<br />

TSOMO EXTENSION 4 601 INDIVIDUAL HOUSING PROGRAMME INF 9,611,192 TS 2,299,200 TS 4,598,400 TS 6,920,592 23,429,384<br />

CONIMVABA EXT 1 142 INDIVIDUAL HOUSING PROGRAMME INF 2,254,872 TS 1,149,600 TS 2,115,264 5,519,736<br />

ST MARKS 500 RURAL HOUSING PROGRAMME INF/TS 10,295,200 TS 5,748,000 TS 3,448,800 19,492,000<br />

ENYANISWENI 430 INDIVIDUAL HOUSING PROGRAMME INF/TS 9,175,760 TS 4,598,400 TS 2,988,960 16,763,120<br />

LUBISI MCAMBALALA 2,400 RURAL HOUSING PROGRAMME INF 38,380,800 TS 5,748,000 TS 11,496,000 TS 5,748,000 TS 32,188,800 93,561,600<br />

JOE SLOVO 587 RURAL HOUSING PROGRAMME INF/TS 12,836,104 TS 6,897,600 TS 3,149,904 22,883,6<strong>08</strong><br />

TOTAL 5,203 81,626,392 38,351,192 33,384,384 10,346,400 39,109,392 202,817,760<br />

PROPOSED PROJECT DETAILS<br />

PROJECT NAME NO OF PROJECT TYPE NUMBER OF UNITS<br />

TOTALS<br />

SITES YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5+<br />

EKUPHUMLENI 820 INDIVIDUAL HOUSING PROGRAMME 200 620 820<br />

THABO VILLAGE 348 SITE AND SERVICE ONLY 348<br />

COFIMVABA EXT 8 348 INDIVIDUAL HOUSING PROGRAMME 100 200 48 348<br />

FORTY JUNCTION 500 RURAL HOUSING PROGRAMME 500<br />

KWAJO JUNCTION 500 RURAL HOUSING PROGRAMME 500<br />

CHRIS HANI PHASE 1 3,893 RURAL HOUSING PROGRAMME 3,893<br />

CHRIS HANI PHASE 2 1,009 RURAL HOUSING PROGRAMME 1,009<br />

VUYISILE MINI PHASE 1 1,035 RURAL HOUSING PROGRAMME 1,035<br />

VUYISILE MINI PHASE 2 2,628 RURAL HOUSING PROGRAMME 2,628<br />

TOTAL 11,<strong>08</strong>1 0 0 1,100 8,965 668 1,516<br />

CASH FLOW<br />

PROJECT NAME NO OF PROJECT TYPE CASH FLOW (INF - INFRASTRUCTURE TS - TOP STRUCTURE)<br />

TOTALS<br />

SITES YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5+<br />

EKUPHUMLENI 820 INDIVIDUAL HOUSING PROGRAMME INF 13,113,440 TS 4,598,400 TS 14,255,040 31,966,880<br />

THABO VILLAGE 348 SITE AND SERVICE ONLY 0<br />

COFIMVABA EXT 8 348 INDIVIDUAL HOUSING PROGRAMME INF 5,565,216 TS 2,299,200 TS 4,598,400 TS 1,103,616 13,566,432<br />

40 JUNCTION 500 RURAL HOUSING PROJECT INF/TS 19,492,000<br />

KWA JO JUNCTION 500 RURAL HOUSING PROJECT INF/TS 19,492,000<br />

CHRIS HANI PHASE 1 3,893 RURAL HOUSING PROJECT INF/TS 151,764,712<br />

CHRIS HANI PHASE 2 1,009 RURAL HOUSING PROJECT INF/TS 39,334,856<br />

VUYISILE MINI PHASE 1 1,035 RURAL HOUSING PROJECT INF/TS 40,348,440<br />

VUYISILE MINI PHASE 2 2,628 RURAL HOUSING PROJECT INF/TS 102,449,952<br />

TOTAL 11,<strong>08</strong>1 0 5,565,216 54,396,640 343,094,760 15,358,656 45,533,312<br />

TOTAL ALL PROJECTS 16,284 81,626,392 43,916,4<strong>08</strong> 87,781,024 353,441,160 54,468,048 248,351,072<br />

(See Section 4.7.8 Proposed Rural Housing for a breakdown of the Chris Hani and Vutisile Mini Rural Housing Projects)<br />

44


6.4 Infrastructure Programme<br />

There are a number of approved MIG projects approved and these can be seen on the table below<br />

45<br />

National Project Number Project Name Total Project Cost Mig Funds<br />

Public Sector<br />

Funds Balance Status<br />

INTSIKA YETHU 8<br />

C/EC0304/W/00/03 Stormberg DC: Glen Grey TRC - Water supply to 6 villages R 7,437,133.00 R 5,974,436.00 R 1,462,697.00 491,173.35 Running<br />

MIG/EC0282/W/05/12 Chris Hani: Tsomo Water Supply Scheme Wards 8 & 18 & 19 & 20 & 23 R 79,863,874.00 R 79,863,874.00 R 0.00 31,760,097.20 Running<br />

MIG/EC0323/R05/06 Kuluqolo Access Road Phase 2 R 1,400,699.00 R 1,400,699.00 R 0.00 473,292.00 Running<br />

MIG/EC0338/W/05/<strong>08</strong> Chris Hani DM: <strong>Intsika</strong> <strong>Yethu</strong>: Ward II Water Supply Phase II R 7,569,487.00 R 7,569,487.00 R 0.00 -21,861.25 Running<br />

MIG/EC0110/S/05/<strong>08</strong> Chris Hani DM: <strong>Intsika</strong> <strong>Yethu</strong> Ward 16 Sanitation Project R 12,137,461.00 R 10,000,651.00 R 2,136,810.00 3,051,637.23 Running<br />

MIG/EC0545/W/06/06 Chris Hani DM: Tsojana Bulk Water R 8,312,763.00 R 8,312,763.00 R 0.00 2,371,015.53 Running<br />

MIG/EC0626/S/04/09 Chris Hani DM: <strong>Intsika</strong> <strong>Yethu</strong>: Cofimvaba EU Sanitation Ph 2 R 2,611,483.00 R 2,611,483.00 R 0.00 1,166,540.26 Running<br />

MIG/EC0717/S/03/09 Chris Hani DM: <strong>Intsika</strong> <strong>Yethu</strong> <strong>LM</strong>: Chris Hani Area Sanitation Wards 5 R 19,605,422.00 R 19,605,422.00 R 0.00 7,656,583.79 Running<br />

MIG/EC0718/S/05/<strong>08</strong> Chris Hani DM: <strong>Intsika</strong> <strong>Yethu</strong> <strong>LM</strong>: <strong>Intsika</strong> <strong>Yethu</strong> Ward 8 Sanitation Project R 12,<strong>08</strong>9,700.00 R 12,<strong>08</strong>9,700.00 R 0.00 11,944,801.69 Running<br />

MIG/EC0106/S/05/<strong>08</strong> Chris Hani DM: <strong>Intsika</strong> <strong>Yethu</strong> <strong>LM</strong>: Cofimvaba Sewer Reticulation R 36,769,205.00 R 36,769,205.00 R 0.00 29,7<strong>08</strong>,158.01 Running<br />

MIG/EC0381/S/04/07 Chris Hani DM: <strong>Intsika</strong> <strong>Yethu</strong> <strong>LM</strong>: Ntsela Water Supply R 2,278,893.00 R 2,278,893.00 R 0.00 124,778.11 Completed<br />

MIG/EC0714/S/05/<strong>08</strong> Chris Hani DM: <strong>Intsika</strong> <strong>Yethu</strong> <strong>LM</strong>: Sanitation Wards 1, 14, 15 & 18 R 25,319,248.00 R 25,319,248.00 R 0.00 25,319,248.00 Running<br />

MIG/EC0716/W/06/09 Chris Hani DM: <strong>Intsika</strong> <strong>Yethu</strong> <strong>LM</strong>: Water Supply to Ward 15 Phase 2 R 21,439,021.00 R 21,439,021.00 R 0.00 11,373,297.40 Running<br />

MIG/EC0715/S/05/06 Chris Hani DM: <strong>Intsika</strong> <strong>Yethu</strong> <strong>LM</strong>: Cofimvaba EU Sanitation Ward 3 R 9,609,389.00 R 9,609,389.00 R 0.00 9,593,809.31 Running<br />

MIG/EC<strong>08</strong>21/W/05/09 <strong>Intsika</strong> <strong>Yethu</strong> <strong>LM</strong>:Tsomo Rural Water Supply Wards 3, 16 and 17 R 127,741,891.00 R 127,741,891.00 R 0.00 87,594,612.86 Running<br />

MIG/EC1041/R,ST/05/<strong>08</strong> Chris Hani Municipality: <strong>Intsika</strong> <strong>Yethu</strong> Ward7,9,12 and 14 Phase R 2,964,969.84 R 2,964,969.84 R 0.00 2,868,178.27 Running<br />

EC602 Cofimvaba Sanitation-EU R 1,000,000.00 R 1,000,000.00 R 0.00 - Completed<br />

EC636 Tsojana Bulk Water R 4,<strong>08</strong>6,458.00 R 4,<strong>08</strong>6,458.00 R 0.00 - Completed<br />

C/EC0314/W/00/00 Cofimvaba: Rehabilitation of water reticulation R 1,410,751.00 R 1,237,500.00 R 173,251.00 - Completed<br />

C/EC0529/W/02/02 <strong>Intsika</strong> <strong>Yethu</strong>: Cofimvaba - Ward 15 water reticulation R 113,157.00 R 99,260.00 R 13,897.00 - Completed<br />

C/EC0556/W/02/03 <strong>Intsika</strong> <strong>Yethu</strong>: Cofimvaba - Ward 11 water reticulation R 320,778.00 R 279,174.00 R 41,604.00 109,248.67 Completed<br />

C/EC0446/W/02/02 <strong>Intsika</strong> <strong>Yethu</strong>: Cofimvaba - Ward 1 Water Retic R 570,000.00 R 500,000.00 R 70,000.00 26,7<strong>08</strong>.84 Completed<br />

C/EC0476/W/01/03 <strong>Intsika</strong> <strong>Yethu</strong>: Tsomo - Shweni & Ndungunya Village water supply R 1,299,000.00 R 1,139,105.00 R 159,895.00 - Running<br />

C/EC0507/W/01/05 <strong>Intsika</strong> <strong>Yethu</strong>: Cofimvaba - Luthuli water supply R 1,949,400.00 R 1,710,000.00 R 239,400.00 - Completed<br />

C/EC0528/R/02/03 <strong>Intsika</strong> <strong>Yethu</strong>: Cofimvaba - Roads in ward 7,9,12,14 R 3,461,602.00 R 3,461,602.00 R 0.00 227,215.55 Completed<br />

C/EC0467/W/01/03 <strong>Intsika</strong> <strong>Yethu</strong>: Cofimvaba - Rodana water supply R 2,322,904.00 R 2,037,636.00 R 285,268.00 29,457.66 Completed<br />

C/EC<strong>08</strong>14/R,ST/02/03 <strong>Intsika</strong> <strong>Yethu</strong>: Ward 3 - Access Roads R 1,095,000.00 R 1,095,000.00 R 0.00 140,679.34 Completed<br />

C/EC<strong>08</strong>00/W/02/03 <strong>Intsika</strong> <strong>Yethu</strong>: Mphotulo & Rwantsana - Water Supply R 3,643,192.00 R 2,802,800.00 R 840,392.00 1,940,214.93 Completed<br />

C/EC0744/W/02/04 <strong>Intsika</strong> <strong>Yethu</strong>: Ward 6, 9 & 21 - Water Supply R 14,502,746.00 R 13,613,746.00 R 889,000.00 280,340.02 Completed<br />

C/EC<strong>08</strong>32/W/02/04 <strong>Intsika</strong> <strong>Yethu</strong>: Cofimvaba Ward 15 - Water Reticulationi R 4,103,423.26 R 3,665,928.26 R 437,495.00 - Completed<br />

C/EC<strong>08</strong>59/W/02/04 <strong>Intsika</strong> <strong>Yethu</strong>: Cofimvaba Ward 11 & 13 - Water Reticulation R 7,430,588.00 R 4,606,000.00 R 2,824,588.00 - Completed<br />

C/EC0649/W/02/04 <strong>Intsika</strong> <strong>Yethu</strong>: Lower Qitsi - Water Supply R 2,627,686.00 R 1,722,000.00 R 905,686.00 0.10 Completed<br />

C/EC<strong>08</strong>77/W,S,R,ST/02/04 <strong>Intsika</strong> <strong>Yethu</strong>: Qamata - Water Project R 12,110,000.00 R 10,670,026.00 R 1,439,974.00 9,819,219.55 Running<br />

C/EC<strong>08</strong>73/W/02/03 <strong>Intsika</strong> <strong>Yethu</strong>: Emampingeni & Mncuncuzo - Upgr Bulk Water Supply R 3,062,829.00 R 2,674,000.00 R 388,829.00 - Completed<br />

C/EC<strong>08</strong>79/R,ST/02/03 <strong>Intsika</strong> <strong>Yethu</strong>: Ward 20 - Access Road R 1,379,357.00 R 1,379,357.00 R 0.00 312,907.79 Completed<br />

C/EC<strong>08</strong>62/W/03/03 Insika <strong>Yethu</strong>: Nqumakala & Mtshanyana - Bulk Water Supply R 6,607,238.33 R 5,795,823.00 R 811,415.33 - Completed<br />

C/EC<strong>08</strong>24/R,ST/02/03 <strong>Intsika</strong> <strong>Yethu</strong>: Mathingwevu & Maqwatini - Access Road R 2,100,000.00 R 2,100,000.00 R 0.00 240,377.44 Completed<br />

C/EC<strong>08</strong>63/W/02/04 <strong>Intsika</strong> <strong>Yethu</strong>: Qamata Poort (Ward 14) Bulk Water Supply R 2,945,134.11 R 2,766,648.11 R 178,486.00 251,050.97 Completed<br />

C/EC0788/W/03/04 <strong>Intsika</strong> <strong>Yethu</strong>: Upper Ncuncuzo - Bulk Water Supply to Ward 14 R 1,442,338.00 R 1,002,400.00 R 439,938.00 985,482.40 Running<br />

C/EC1029/R,ST/02/03 <strong>Intsika</strong> <strong>Yethu</strong>: Bolokodlela & St Marks - Access Road R 700,000.00 R 700,000.00 R 0.00 - Completed<br />

C/EC1030/R,ST/02/03 <strong>Intsika</strong> <strong>Yethu</strong>: Ku Luqolo - Access Road R 1,500,000.00 R 1,500,000.00 R 0.00 - Completed<br />

C/EC1214/R,ST/03/04 <strong>Intsika</strong> <strong>Yethu</strong>: Camama Forest & Cofimvaba - Access Road R 1,583,685.<strong>08</strong> R 1,583,685.<strong>08</strong> R 0.00 - Completed


46<br />

7. INSTITUTIONAL<br />

7.1 Capacity<br />

The municipality wishes to establish a dedicated housing unit and increase<br />

its staff capacity from 2 personnel to 4. Provision is made in the organogram<br />

for these posts. Funding will be required from <strong>Provincial</strong> Housing to support<br />

the establishment of the unit as follows:-<br />

Additional Staff<br />

Housing Officer (Grade 12)<br />

Housing Clerk (Grade 13)<br />

Annual Budget<br />

R124 <strong>08</strong>0.00<br />

R104 364.00<br />

R228 444.00<br />

Furniture and Equipment<br />

Computer and printer<br />

Desks<br />

Chairs<br />

Filing cabinets<br />

Once off amount<br />

R10 000.00<br />

R20 000.00<br />

R 5 000.00<br />

R 1 000.00<br />

R36 000.00<br />

7.2 Training<br />

It is essential that training of Councillors and staff will be undertaken to<br />

upgrade the capacity of the new unit. Prior to commencing a skills audit<br />

must be conducted to ascertain the training needs and design a training<br />

programme accordingly. It is envisaged that training in the following skills<br />

would be required:-<br />

Building Inspection<br />

Project Management<br />

End User Computing<br />

Project Administration and Record Keeping<br />

Housing Policy Frameworks and Procedures<br />

A mentorship programme would be necessary for a period of at least 12<br />

months to ensure a “hands on” transfer of skills. Such a mentor would need<br />

to be outsourced using experienced practitioners from the housing field. It is<br />

estimated that the required budget would be in the region of R250 000 per<br />

annum.


47<br />

8. FIRST YEAR IMPLEMENTATION PLAN<br />

Priority Housing Objectives<br />

Issues<br />

Infrastructure To ensure the<br />

prioritized wards<br />

have adequate<br />

water supply<br />

Road access to<br />

be upgraded<br />

Provision of<br />

electricity<br />

Provision of<br />

sanitation<br />

Land Access By the end of<br />

20<strong>08</strong> all prioritized<br />

wards are to have<br />

all the necessary<br />

approvals for<br />

access to rural<br />

land<br />

Approvals and<br />

funding of projects<br />

Institutional Capacity<br />

An up to date set<br />

of approvals and<br />

documents for<br />

every project<br />

A fully capacitated<br />

Housing Unit by<br />

the end of 2009<br />

Strategies<br />

Engage the DM re<br />

bulk water<br />

Apply for funding<br />

from MIG for<br />

access roads<br />

Engage Eskom re<br />

electricity<br />

Engage DM re<br />

sanitation<br />

Engage the Dept. of<br />

Roads and<br />

Transport re<br />

bridges<br />

To arrange for all<br />

community<br />

resolutions<br />

meetings in the<br />

rural area<br />

To<br />

have<br />

engagement with<br />

Traditional<br />

Authority and DLA<br />

to hold community<br />

meetings<br />

Align the Area<br />

Based Plan with<br />

the Housing Sector<br />

Plan<br />

To register donated<br />

land with<br />

immediate effect<br />

Revalidation of Ext.<br />

1 and Joe Slovo to<br />

be speeded up<br />

Ensure the efficient<br />

processing of<br />

beneficiaries and<br />

approval of their<br />

subsidies<br />

Obtain sufficient<br />

office space,<br />

equipment and<br />

furniture<br />

Examine the<br />

available capacity<br />

Municipal<br />

Processes<br />

Municipal<br />

Processes<br />

Municipal<br />

Processes<br />

R 36 000.00<br />

R228 444.00


48<br />

Housing Need to<br />

reduce the housing<br />

backlog<br />

Meeting the need<br />

for housing using<br />

various<br />

instruments<br />

including, rural<br />

subsidies,<br />

informal<br />

settlement<br />

upgrading ,<br />

project linked<br />

subsidies and<br />

middle income<br />

projects.<br />

Use CDW‟s with<br />

housing<br />

experience<br />

Engage the<br />

Department in the<br />

establishment of<br />

the unit<br />

Secure a Council<br />

resolution for the<br />

unit<br />

Tsomo Ext. 2<br />

Tsomo Ext. 3<br />

Cofimvaba Ext 1<br />

St. Marks<br />

Enyanisweni<br />

Lubisi Mcambalala<br />

Joe Slovo<br />

Sub Total<br />

Total Budget Year<br />

One<br />

R250 000.00<br />

R 4 685 656<br />

R 3 998 000<br />

R 2 254 872<br />

R10 295 200<br />

R 9 175760<br />

R38 380 800<br />

R12 836 104<br />

R81 626 392<br />

R82 140 836

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