Civil Engineering April 2021 | Vol 29 No 3

From the Pres ident ’ s Desk I recently had the honour of delivering the keynote address at the SAICE Durban Branch AGM and I was very impressed with the organisation, enthusiasm and commitment shown by the committee and the current chairperson. The Durban Branch’s theme for 2021 is a quote from Albert Einstein, one of the worlds greatest physicists: “In the middle of every difficulty, lies OPPORTUNITY”. Einstein encountered much dif- ficulty in his life due to the persecuton of Jewish people by the Nazis, but managed to find opportunity in those challenging times. I found the theme quite apt as, during the past year, many of us have faced difficulties in our business and personal lives, and it is time to look at what opportunities lie ahead. INFRASTRUCTURE DIFFICULTIES As a learned society, SAICE’s focus is mainly on infrastruture. Unfortunately, the state of our country’s infrastructure has begun to deteriorate and, in many areas, infrastructure delivery has slowed down or halted due to a failing economy, exacerbated by the effects of the pandemic. This has been a crushing blow to businesses and individuals who have had to bear the brunt. Lives and livelihoods have been severely affected and there is urgent need for intervention. Infrastructure development is a major contributor to the growth of the economy, and governent alone cannot solve the problem of meeting the needs of sustainable development. Recently, there has been a move towards a more collaborative approach in dealing with reviving our economy. Government is now even more focused on public-private partneships (PPPs) as there is just not enough money in the fiscus to maintain our ailing infraststucture and develop new infrastructure for basic service delivery. Private enterprises who are willing to invest in infrastructure and new developments are finding it much easier to work with government, and government is steadily focusing on making it much easier for investors to cut through the bureaucracy in order to fast track projects. As stated by Dr Kgosientso Ramokgopa, Head of the Investment and Infrastructure Office in the Presidency , PPPs to build economic and sustainable infrastruc- ture are a “no brainer” for South Africa and the best opportunity to increase capital investment in the economy. SOCIAL INFRASTRUCTURE Covid-19 has had a serious impact on economic growth in South Africa and the economy has contracted considerably since the second quarter of 2020, leading to many businesses calling for bailouts and capital injections in order to survive. One of the critical areas that can contribute to economic recovery is the development of social infrastructure. There is a steady focus on the construction of private hospitals, private education, student accommodation, and social housing. The Development Bank of Southern Africa is also continually investing in critical municipal infrastructure like water and sanitation, electricity distribution and road networks and, in collaboration with relevant government departments, is making headway on critical infrastructure projects like clinics, hospitals, and schools. As municipalities grow, so does the need for infrastructure devel- opment, which in turn provides opportunities for economic growth for business and labour. Apart from social infrastructure, South Africa faces a large gap in the energy sector. The move to focus on funding independent power producers to add generation capacity to the national grid is therefore welcomed, as businesses and the general population cannot cope with further disruptions in electricity supply. INFRASTRUCTURE SOUTH AFRICA More opportunities are in the pipeline with the formation of Infrastructure South Africa (ISA), an entity which falls under the Department of Public Works and Infrastructure and acts as a single entry point for all the projects in the country’s Infrastructure Investment Plan. ISA will be responsible for project preparation, packaging, funding pathways, and providing strategic oversight over all gazetted projects. There are approximately 276 projects in the Infrastructure Investment Plan valued at more than R2.3 trillion. South Africa currently spends about 5.8% of its GDP on infrastructure, while the National Development Plan: Vision 2030 targets a 10% GDP spend on infrastructure. The new methodology, called the Sustainable Infrastructure Development System (SIDS), will guide the country’s infrastructure development agenda to ensure that infrastructure development is undertaken in a manner that provides superior quality infrastructure that allows the economy to grow, increases productivity and raises long-term growth as well as living standards of our citizens. The SIDS methodology also prioritises skills development and empowering previously disadvantaged groups, women, and people with disabili- ties. This is most critical as South Africa moves forward in creating an equitable platform in which all can co-exist. FINDING OPPORTUNITIES During all the difficulties that we are currently experiencing, there are opportunities arising to revive the economy by investing in infra- structure development. But will these opportunities be sustainable? Only time will tell, but it is important that our members also benefit from these developments. Government is putting stringent measures in place to ensure that corruption and malfeasance do not occur, but it is imperative that every one of us conduct ourselves in an ethical manner to ensure that projects are delivered on time and within budget and that every cent of investment goes into the delivery of infrastructure. We as professionals in the built environment must prioritise our commitment to the ethos of our profession and contribute to the recovery of our economy, as it is also in our hands to improve. We are willing, able, and most certainly capable of doing so. Vishal Krishandutt SAICE President 2021 vkrishandutt@nyeleti.co.za Identifying opportunities in trying times Civil Engineering April 2021 1

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