South Africa: Committee on Public Works Notes Announcement on Telkom Towers Redevelopment

The Portfolio Committee on Public Works and Infrastructure notes the announcement from the Minister of Public Works and Infrastructure on the department’s intention to issue a Request for Information for the redevelopment of the Telkom Towers complex through a public-private partnership model, which would include a rehabilitate-operate-transfer approach. The committee recognises the importance of turning dormant state assets into productive public infrastructure. However, any proposal involving public funds must be approached with full fiscal discipline. The committee Chairperson, Ms Carol Phiri, said the Minister must ensure that every rand government is expected to spend under this proposed arrangement falls strictly within the approved budgeted allocation for Public Works and Infrastructure over the current Medium Term Expenditure Framework period. The estimated cost of the Telkom Towers redevelopment, stated to be between R1.8 billion and R2.2 billion, cannot be treated as a public relations opportunity before Parliament and the public are assured that the funding implications have been properly assessed, budgeted for and tested against the affordability requirements that must