steering infrastructure development...
TRANSCRIPT
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LEADERS BOOK
2015 EDITION
STEERING INFRASTRUCTURE DEVELOPMENT IN SOUTHERN AFRICA
LEADERS
Engineers, designers, planners, consultants and technical specialists
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ABOUT CAPTAINS OF CONSTRUCTION
It was an honour to spend the last few months meeting and liaising with the formidable leaders featured in our Captains of Construction Leaders’ Book. Infrastructure development is the key to unlocking Africa’s potential and therefore we are proud to recognize the leaders of industry, who in their respective ways, are driving development.
There are numerous challenges in South Africa and north of the Limpopo. A lack of capacity in government bodies is, as well as uncertainties surrounding procurement processes, have surfaced as prevalent issues for many of our Captains. It is encouraging that these leaders remain committed to finding solutions and have a true passion for development, despite the challenges that they are faced with. Everyone is playing their role; from the financial institutions bringing history-making projects to close, to the engineers who envision ground-breaking projects, to the construction leaders who are building life-altering infrastructure, and the suppliers who keep driving innovation to create better, safer, and more sustainable inputs. There is a will to leave this continent better than the way it was and to transfer skills to a new generation of leaders who can continue their great work.
This is the first edition and launch of the annual Captains of Construction Leaders’ Book and we look forward to many more.
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Captains of Construction Leaders Book 2015; Leaders at the Steer of Infrastructure Development in Southern Africa.
INTRODUCTION
Anita Kruger
LEADERS BOOK
www.captainsofconstruction.com
GOVERNMENT
Dr. Bridgette Gasa 8
Nazir Alli 9
The Honourable Dr. Rob Davies 10
FINANCE
David Humphrey 13
Greg Babaya 14
Kugan Thaver 15
Moe Shaik 16
Philisiwe Mthethwa 17
Tshepo Mahloele 18
Werner van Oudenhove 19
CONSULTING
Albert Geldenhuys 22
Andre Pottas 23
Brunhilde Barnard 24
Ebrahim Dhorat 25
Damane Hlalele 26
Gavin Noeth 27
Klaus Findt 28
Leon Furstenberg 29
Ralph Heath 30
Dr. Snowy Khoza 31
Tim ter Haar 32
Trueman Goba 33
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Captains of Construction Leaders Book 2015; Leaders at the Steer of Infrastructure Development in Southern Africa.
CONTENTS
CONTENTS
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Captains of Construction Leaders Book 2015; Leaders at the Steer of Infrastructure Development in Southern Africa.
ASSOCIATIONS
Cassim Coovadia 35
Frans JC Minnaar 36
Hanlie Turner 37
Inba Thumbiran 38
Johan van Wyk 39
Llewellyn van Wyk 40
Louw Du Plessis 41
Manglin Pillay 42
Mphikeleli Abe Thela 43
Retselisitsoe (Tseli) Maliehe 44
Tim White 45
CONSTRUCTION
Brad Nelson 47
Hennie Botes 48
Neville Nicolau 49
Paul Olivier 50
Thandi Ndlovu 51
CEMENT AND CONCRETE
Andries van Heerden 53
Bryan Perrie 54
Daniel van der Merwe 55
Darryll Castle 56
Hans Beushasen 57
Prof Herbert C. Uzoegbo 58
Joan-Maria Garcia-Girona 59
Ken Maclean 60
Prof Mark Alexander 61
Santie Gouws 62
Dr Stephan Olivier 63
Trevor Dickinson 64
Dr Wolfram Schmidt 65
Zaheer Surka 66
CONTENTS
CONTENTS
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Captains of Construction Leaders Book 2015; Leaders at the Steer of Infrastructure Development in Southern Africa.
INDUSTRY INSIGHT
ON THE GREATEST ACHIEVEMENTS IN INFRASTRUCTURE DEVELOPMENT
For the first time in South Africa, we now have a consolidated infrastructure plan published by the Presidential Infrastructure Coordinating Committee (PICC). This plan covers a spectrum of infrastructure projects across sectors the of water and sanitation, energy, ports, and road and rail.
ON GROWTH DRIVERS
Energy generation will remain a critical focus over the next five years, not only because there is constrained supply which is affecting South African households and particularly businesses, but also because it is an enabler for economic growth. Government and industries need it for growth, development, and attraction of investments. Another critical driver of infrastructure development over the next five years will be the identified Special Economic Zones.
ON CRITICAL ISSUES
Energy and the extent to which the SADC governments tap into the human potential within their countries through which they will deliver these ambitious infrastructure programmes, will be critical moving forward.
ON COLLABORATION BETWEEN THE PUBLIC AND PRIVATE SECTOR
Collaboration between the public and private sector is absolutely critical. However, this collaboration should not be as it always has been. The private sector needs to do more in honouring its side of the bargain.
ON LEAVING A LEGACY
I have been quite privileged to have served this country in various ways: I was part of the team that established the Construction Industry Development Board (CIDB), which set out industry specific best practice guides and toolkits to measure performance.
Dr. Bridgette Gasa Commisioner and Chairperson of the Dube TradePort IDZ in KwaZulu Natal
National Planning Commission (NPC)
Managing Director
The Elilox Group
GOVERNMENT
I would like
to continue playing
a role in the
delivery of social
infrastructure.
Infrastructure that
will improve the
living conditions
of the majority of
our citizens. That
for me is where
development would
be most felt.
www.captainsofconstruction.com9
Captains of Construction Leaders Book 2015; Leaders at the Steer of Infrastructure Development in Southern Africa.
INDUSTRY INSIGHT
ON THE THE GREATEST ACHIEVEMENTS IN INFRASTRUCTURE DEVELOPMENT
Without a doubt it has been the development of the national road network as the backbone of the economy of South Africa. Before 1994, the National Department of Transport was responsible for a road network of less than 530 km. In 1998 SANRAL was established to manage the national road asset and is now managing 21 403 km. The network is projected to grow to 35 000 km.
ON GROWTH DRIVERS
In South Africa the need to create jobs and grow the economy is the single most important driver. It has been repeatedly stated that large-scale infrastructure projects have the ability to deliver on this. However, given the current geopolitical and economic realities, they rely on the innovation of the engineering sector to achieve this.
ON CRITICAL ISSUES IN INFRASTRUCTURE DEVELOPMENT
Policy certainty is a critical issue. There has to be a uniformity of purpose within government and between government and its social partners around our infrastructure plan and our strategic infrastructure projects. The second challenge relates to funding. It is becoming increasingly clear that additional sources of finance from the private sector are required for infrastructure. In developing economies such as ours, the demand for infrastructure is growing faster than tax revenues, with the latter committed more towards social infrastructure.
ON LEAVING A LEGACY
I would like to remain true to the statement made in the National Development Plan that South Africa’s national and provincial roads network is the country’s “largest, single public asset” and for SANRAL to play its role in preserving this asset and thus ensuring that it is used for economic and social benefit for our country.
Nazir Alli Chief Executive Officer
South African National Roads Agency (SANRAL)
GOVERNMENT
It has been
gratifying to see
how public private
partnerships
have come to be
accepted as part
of the funding
mix, both locally
and in the region,
when it comes
to infrastructure
development.
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Captains of Construction Leaders Book 2015; Leaders at the Steer of Infrastructure Development in Southern Africa.
INDUSTRY INSIGHT
ON THE GREATEST ACHIEVEMENTS IN INFRASTRUCTURE DEVELOPMENT
Most significantly, we have spent around R1 trillion on infrastructure development during the last administration. This is more than we have ever spent on infrastructure development in the history of South Africa.
ON GROWTH DRIVERS
From the Department of Trade and Industry’s (DTI) point of view, we are using the infrastructure build programme to drive industrial development. Integral to this is the Industrial Policy Action Plan. We are seeing the potential and possibilities of manufacturers of inputs into industrial infrastructure and are trying to leverage that for further economic growth and development.
ON LOCALISATION
When we choose the levels of localisation in projects, we do so with extensive consultation and care and we use it as a tool to support efficient manufacturers to fill that space. We are clear that we are in support of competitiveness and for this we are relying on the Competitiveness Enhancement Programme, which builds on a number of the different subsector programmes. Within the Strategic Integrated Projects (SIPs), we have identified the contributions that can be made by the private sector. There is a clearly defined mix of private sector requirements. The greatest beneficiaries of the localisation programme will of course also be private sector manufacturers. It is a case of government using policy tools to deepen productive contributions.
ON LEAVING A LEGACY
It is now my second term as Minster of Trade and Industry and during my tenure we have introduced industrial policy action plans. I would like to leave a legacy that we institutionalise these plans strongly in the system, so that whoever finds themselves sitting in this position in a few years’ time will have that as a basis to build on as we deepen and strengthen our industrial development.
The Honourable Dr. Rob DaviesMinister of Trade and Industry
The Department of Trade and Industry (DTI)
GOVERNMENT
We need to see
much more
economic
diversification, more
value addition, more
manufacturing,
and further
industrialisation, to
create and increase
the base for regional
trade.
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Captains of Construction Leaders Book 2015; Leaders at the Steer of Infrastructure Development in Southern Africa.
INDUSTRY INSIGHT
ON THE GREATEST ACHIEVEMENTS IN INFRASTRUCTURE DEVELOPMENT
The greatest achievement has been the steady progress made by governments in the enabling of Independent Power Producers (IPP) and other Private Finance Initiatives (PFI’s) so that the private sector can play its part in driving economic growth by improving infrastructure. Governments do not have the balance sheet to meet their countries infrastructure needs by themselves. They need the private sector to play its part, and projects that provide utility style long term cashflows are ideal for the combination of Development Finance Institution (DFI’s), Export Credit Agencies (ECA’s) and commercial bank funders to play their part. The stand out example has been the renewables programme in South Africa, which has created a new market for the government in energy supply on increasingly competitive terms. Progress here is closely followed by what is happening in Nigeria with its power privatisation and Kenya with their power and roads programmes.
ON GROWTH DRIVERS
On the demand side, the most important drivers are macro-economic such as population growth, urbanisation, better agricultural production, the rise of the service sector and industrialisation. On the supply side, it is the increase in capital available for project developers and project funding, and government capacity and capability to procure the projects in the first place. There is nothing stopping a consistent and continual improvement in infrastructure development over the next five, even 50 years in Africa.
ON CRITICAL ISSUES
Ultimately it is the political climate towards business and the ability of politicians to leave power and infrastructure development to the private sector to develop. If politicians can enable and execute better business and infrastructure policies and laws, within five years there were an even more dramatic increase in the number of infrastructure projects, and hence higher GDP across the region.
David HumphreyGlobal Head, Power, Infrastructure & Renewables
Standard Bank
FINANCE
If people can
tell me that I have
made a positive
difference through
creating better
understanding of
how to develop
infrastructure
in sub-Saharan
Africa, because of
my influence and
the way Standard
Bank has enabled
projects, then I will
be happy with
that legacy.
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Captains of Construction Leaders Book 2015; Leaders at the Steer of Infrastructure Development in Southern Africa.
INDUSTRY INSIGHT
ON THE GREATEST ACHIEVEMENTS IN INFRASTRUCTURE DEVELOPMENT
The programme has led to the creation of a new private sector industry now worth in excess of R100 billion. There has been participation of significant numbers of investors into the infrastructure space that otherwise would not have considered this as sector in which to be involved, such as contractors, developers, operators and investors.
The programme also served in unblocking some of the procurement bottle-necks that have prevented the roll-out of significant infrastructure development.
Finally, it has led to the creation of new and alternative asset class for institutional investors to consider
ON LEAVING A LEGACY
I would like to leave a legacy of providing a platform where South African private sector investors can get access to infrastructure investments and for this to develop into a mainstream investment class. This will be beneficial to our pensions funds by offering a good balance of risk and return and unlock the capital required to meet the infrastructure needs of the country. A successful result will be good for both public and private sectors.
Greg BabayaHead of Infrastructure Investments
Stanlib
FINANCE
I would like to
leave a legacy
of providing a
platform where
South African
private sector
investors can
get access to
infrastructure
investments and
for this to develop
into a mainstream
investment
class.
One of the greatest achievements has been the success of the Renewable Energy Independent Power Producer Procurement programme in South Africa. This has resulted in a change in the way many can consider the roll-out of infrastructure in South Africa in power and other sectors.
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Captains of Construction Leaders Book 2015; Leaders at the Steer of Infrastructure Development in Southern Africa.
INDUSTRY INSIGHT
ON THE PICC LOCALISATION UNIT
The PICC Localisation Unit was formed specifically to identify localisation opportunities associated with industrial inputs required by the 18 SIPS projects. For example, when building a power station, we analyse which inputs into the power station can be locally manufactured. Therefore, beyond the provision of power, we also explore how South African industry can benefit by providing inputs into infrastructure projects, as well as the wider community in terms of jobs, skills and entrepreneurship opportunities.
In this regard, the IDC, where the PICC Localisation Unit is located, is tasked to promote the further industrial development of the country by focusing on new and emerging industries. Therefore, within the 18 SIPs there are both industrial infrastructure and localisation projects that the IDC could potentially fund based on economic merit.
ON THE CHALLENGES OF LOCALIZATION
One of the key challenges when it comes to localisation is to attract foreign direct investment (FDI), particularly in industries or sectors where we don’t have local technology or IP. This implies that there is a cost to localisation through FDI, because new factories need to be build, new management and workers needs to be hired and people need to be trained or upskilled for their new jobs. Localisation can also happen when we expand the capacity and capabilities of existing factories.
In both cases, it is crucial that the government support industrial development with appropriate grants and incentives that mitigate the some of the funding risks to investors associated with setting up new factories or expanding existing ones. However, it is important that any investments in new factories are based on economic merit and sustainable beyond the infrastructure programme.
Therefore, factories set up to supply parts and components during the build phase of the infrastructure programme, can be made sustainable through also supporting the operations phase of the infrastructure, as well as find new export markets, particularly on the rest of the African continent, where infrastructure programmes are gaining momentum in some of the world’s fastest growing economies.
Kugan ThaverHead: PICC Localisation Unit
Industrial Development Corporation (IDC)
FINANCE
The one thing
you get out of this
role is when you
see investments
are being made and
people are being
employed.
It is as simple
as that.
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Captains of Construction Leaders Book 2015; Leaders at the Steer of Infrastructure Development in Southern Africa.
INDUSTRY INSIGHT
ON CRITICAL ISSUES
Raising finance for projects in the early stages of project development or project preparation is a challenge. There needs to be a more concerted effort to unlock the bottlenecks in project development stages, bringing a greater amount of these infrastructure projects towards financing and delivery. However, addressing that problem leads to other challenges; as infrastructure projects are mainly driven by governments, it would appear that we need to build the capacity in governments to be able to choose the right kind of projects within their own national development plans and to help countries that have national infrastructure development plans and bring projects to financing. It is all about building capacity within government.
ON COLLABORATION BETWEEN PUBLIC AND PRIVATE SECTOR
There are deep lessons to be learnt from South Africa’s renewable IPP program. Firstly, government understood the challenge, then developed a policy with the goal to addressing that challenge, and created an enabling environment in which the private sector could have been brought into. Government empowered the DFIs, in particular the DBSA, to drive this process from a project management perspective. This allowed the DBSA to bring the private sector into the delivery of renewable programs. As a result, R120 billion was put into the renewable energy space, the spinoffs of which are still to be felt in our economy. It it has created a great sense of excitement, and therein lies the great lesson that we could learn of how much we can achieve when we put smart partnerships together between government and the private sector. That model can now be replicated in all other areas of infrastructure and if that enabling environment can be created in Africa, we would see the speedier delivery of infrastructure on the continent.
ON LEAVING A LEGACY
I would like to have been a part of a vehicle that was able to put together an approach that allows us to systematically address the infrastructure deficit on the continent. If I could lay the basis for that, I would be more than happy.
Moe ShaikGE: International Finance
Development Bank South Africa (DBSA)
FINANCE
I would like to
know I made
a small difference
to the thinking
about infrastructure,
as part of an
enormous team of
people both in the
DBSA and with our
partners.
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Captains of Construction Leaders Book 2015; Leaders at the Steer of Infrastructure Development in Southern Africa.
INDUSTRY INSIGHT
ON THE GREATEST ACHIEVEMENTS IN INFRASTRUCTURE DEVELOPMENT
South Africa is one of the most sophisticated and promising emerging markets globally. The unique combination of a highly developed first-world economic infrastructure and a massive emergent market economy has given rise to a strong entrepreneurial and dynamic investment environment. South Africa is the economic powerhouse of the African continent, with a Gross Domestic Product (GDP) of R1.9 trillion four times that of its Southern African neighbours, and comprising 30% of the entire GDP of Africa.
South Africa has achieved a level of macro-economic stability not seen in the country for many years. Such advances create opportunities for real increases in expenditure on infrastructure development, and reduce the costs and risks for all investors, laying the foundation for increased investment and growth. The potential of the South African economy is evident in its diversity of sectors and industries in which infrastructure is targeted as a high growth sector.
ON CRITICAL ISSUES
As a country, South Africa has an assembly of skills and capabilities from development to design, from construction to operation and from project management to maintenance, however, transformation remains pivotal in the construction industry to a range of stakeholders. There exists a need to ensure that the sector meets the expectations in terms of diversity and procurement. The sector has clear targets and development programmes in place for the advancement of employees, with a specific focus on the improvement in senior management transformation, as measured by employment equity statistics. Ownership is another area that requires improvement within the industry, black female ownership should be prioritised to redress the gender inequalities in the industry.
Philisiwe MthethwaChief Executive Officer
National Empowerment Fund (NEF)
FINANCE
It is my wish to
witness meaningful
transformation
in Infrastructure
development and for
transformed South
African companies
to be among the
global leaders in the
sector.
www.captainsofconstruction.com18
Captains of Construction Leaders Book 2015; Leaders at the Steer of Infrastructure Development in Southern Africa.
INDUSTRY INSIGHT
ON THE GREATEST ACHIEVEMENTS IN INFRASTRUCTURE DEVELOPMENT
The prioritisation and acknowledgement by regional governments that infrastructure development is the heartbeat of sustained economic growth is a major feat. This paradigm shift, which allows for private capital to participate alongside governments in the development of infrastructure, will greatly reshape the economies of Africa over the long term.
The collaborative nature of developing infrastructure through public private partnerships, also supported by regional inter-governmental bodies such as the SADC and COMESA, to mention but a few, has unleashed the much needed momentum required to convert infrastructure plans into a reality. The pipeline of infrastructure projects waiting to be developed is quite impressive and ready to be rolled out.
ON LEAVING A LEGACY
The legacy I would like to leave is a very humble contribution towards the creation of a vision that contributes to the creation of world class infrastructure that allows for easy movement of people and goods regionally and continentally; that allows for children and women to access quality health care services; that allows for access to affordable and speedy broadband among others. This is has been my journey and it has been designed to contribute to the development of a society that is capable of competing and finding its unique value within the global space. Without the requisite infrastructure our ability to compete is seriously limited.
Tshepo Mahloele Chief Executive Officer
Harith Group
FINANCE
The legacy I
would like to leave
is a very humble
contribution
towards the creation
of a vision that
contributes to the
creation of world
class infrastructure
that allows for easy
movement of
people and goods
regionally and
continentally
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Captains of Construction Leaders Book 2015; Leaders at the Steer of Infrastructure Development in Southern Africa.
INDUSTRY INSIGHT
ON THE GREATEST ACHIEVEMENTS IN INFRASTRUCTURE DEVELOPMENT
RMB is proud to have partnered and assisted government and the private sector in many important infrastructure initiatives and projects. Together we have achieved a number of “firsts”. These include the first toll road financing (N1), the first rail Public Private Partnership (PPP) (Gautrain), and the first hospital PPP (Inkosi Albert Luthuli Central Hospital). We advised on the first toll road project in West Africa (Lekki-Epe Expressway) and funded the first IPP project in Lagos (a floating barge solution).
ON CHALLENGES IN PROJECT FINANCING INFRASTRUCTURE
Throughout Africa, both government and the private sector have a critical role to play in developing infrastructure and improving service delivery. Both sectors have different strengths and are doing a lot. I think that the key challenge is to better align these respective efforts in order to deliver more projects.
ON KICKING INFRASTRUCTURE DEVELOPMENT INTO GEAR
More rigorous and open engagement between the public and private sector is key. If government has any concerns about the private sector’s involvement in infrastructure delivery, we should hear what that is and try and address it, and vice versa.
ON LEAVING A LEGACY
Building and financing infrastructure is a team effort. RMB’s Infrastructure Finance team is proud to play a role in improving service delivery across Africa. We act as partners and we take a very long term view. In many years we would hope to look back and see that through innovation, and by acting responsibly, we have played a part in helping to build some world class projects throughout Africa that will stand the test of time.
Werner van OudenhoveHead of Infrastructure Finance
Rand Merchant Bank (RMB)
FINANCE
There are
some great success
stories, for example,
the renewable,
co-generation and
baseload power
programs. Let’s take
those learnings and
apply them to other
sectors – healthcare,
rail and affordable
housing could be
a good place to
start.
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Captains of Construction Leaders Book 2015; Leaders at the Steer of Infrastructure Development in Southern Africa.
INDUSTRY INSIGHT
ON THE GREATEST ACHIEVEMENTS IN INFRASTRUCTURE DEVELOPMENT
Our industry came into its own during the build up to the 2010 FIFA World Cup, especially related to transport infrastructure. We owe a lot to the World Cup in terms of improvements to our major airports and supporting infrastructure. It has left a legacy of a fantastic infrastructure development programme that was delivered on time. The airports that were a part of this programme showcased what our South African developers and contractors can do.
ON PROCUREMENT AND SKILLED LABOUR CHALLENGES
In terms of procurement, engineering is sometimes treated as a commodity. This is a serious mistake. The reality is that our impact on a project lasts as long as 30 years, and our fees for design accounts form a small portion of the life cycle cost of any project. When you use the cheapest provider, you often end up with sub-optimal outcomes. Partnering with a company looking for new methods and cutting edge designs, or thinking in innovative ways, is what project owners should look for. This will ensure a better product and avoid an endless cycle of maintaining a bad design.
As far as the challenges of skilled labour are concerned, we do have the skills in South Africa. As an industry, it is important to encourage more of our bright young stars to study engineering and it would be great to make engineering more attractive to students.
ON LEAVING A LEGACY
I would like to be able to pass the torch to the next generation of engineers and make sure that there has been an adequate skills transfer that enables them to successfully take the reins and continue to create innovative and sustainable buildings and infrastructure, especially in Africa.
Albert GeldenhuysManaging Director, South Africa
Aurecon
CONSULTING
South Africa has
the skills and the
capabilities to build
world-class projects,
but we will lose
that if we do not
pull from our own
resource pool.
www.captainsofconstruction.com23
Captains of Construction Leaders Book 2015; Leaders at the Steer of Infrastructure Development in Southern Africa.
INDUSTRY INSIGHT
ON THE GREATEST ACHIEVEMENTS IN INFRASTRUCTURE DEVELOPMENT
The acceptance of Public-Private Partnerships (PPP’s) as a key enabling tool to unlock the pipeline of required infrastructure projects in South Africa has been very pleasing. This is most evident in the success of the Renewable Energy Independent Power Producer Programme (REIPP), which has established a model for PPP’s in the clean energy sector that is acknowledged as a global blueprint for such programmes.
ON THE GROWTH DRIVERS
My focus is the funding of infrastructure projects, and I look forward to the development of a robust and liquid secondary market for trading equity and debt stakes in infrastructure projects.
ON CRITICAL ISSUESWe need to shorten the planning and procurement life-cycle to get construction companies on-site quicker, this is not easy, as the planning phase is critical to scoping the project correctly, and the modelling, funding and procurement must be done properly to ensure the long-term viability of the project and value for money for the taxpayer.
ON COLLABORATION BETWEEN THE PUBLIC AND PRIVATE SECTOR
Collaboration is vital. Both sectors need each other, and trust needs to be re-established, as both sides are currently inherently suspicious of the other’s motives. This is a large part of the reason that the procurement and contracting process takes so long.
Andre PottasPartner Corporate Finance Infrastructure and Capital Projects Advisory Leader: Africa
Deloitte
CONSULTING
I would like to
see Public-Private
Partnerships as an
inherent cornerstone
of infrastructure
procurement,
with optimal risk
allocation and
sharing between the
public and private
sectors based on
acknowledgement
of the strengths
that each party can
contribute.
www.captainsofconstruction.com
INDUSTRY INSIGHT
ON THE GREATEST ACHIEVEMENTS IN INFRASTRUCTURE DEVELOPMENT
The procurement of the renewable energy independent power producer (REIPP) procurement program, which the government has been leading since 2010 is a tremendous achievement. From an industry perspective, successfully encouraging private sector participation and running a program that is globally assessed to be transparent, fair, and robust is a major milestone.
ON PRIVATE SECTOR PARTICIPATION IN OTHER AREAS OF INFRASTRUCTURE DEVELOPMENT
The power sector lends itself to private participation due to the security of cash flows and the demand for new capacity in the current energy crisis. There are greater challenges around private participation in infrastructure development for water and sanitation, and roads. What can be replicated across the board however, is the robustness of the procurement process, the strong political leadership that the program enjoyed, and the programme leadership by the government team leaders and their respective teams. The collaboration between government entities such as the Development Bank of Southern Africa (DBSA), National Treasury, Industrial Development Corporation (IDC), The Department of Public Enterprises (DPE), and Eskom around the program, and the actual procurement, evaluation and robustness, is sector agnostic.
ON LEAVING A LEGACY
Everyone involved in this space appreciates that progress will only be a result of a team effort. I would like to be part of the multi-disciplinary and multi-jurisdictional teams that grapple with the challenges and which have worked towards relevant, practical, sustainable solutions.
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Captains of Construction Leaders Book 2015; Leaders at the Steer of Infrastructure Development in Southern Africa.
Brunhilde BarnardAfrica Advisory Infrastructure Leader
EY Africa
CONSULTING
In the short-term
we should address
the capacity
shortage by making
this an attractive
sector for inbound
people with
relevant skills and
experience.
www.captainsofconstruction.com 25
INDUSTRY INSIGHT
ON THE GREATEST ACHIEVEMENTS IN INFRASTRUCTURE DEVELOPMENT
One of the notable landmarks in the history of infrastructure development in Southern Africa over the last decade would be the impact of the 2010 FIFA World Cup . This resulted in the building of world-class stadia as well as upgrades to airport and telecommunications infrastructure. Other notable achievements include construction and upgrades to road and rail infrastructure, which will all benefit generations to come.
ON PRIVATE SECTOR PARTICIPATION ACROSS FURTHER AREAS OF INFRASTRUCTURE DEVELOPMENT
The model will have to be replicated on a macro level knowing that government and private sector have recognised that the pace and upturn in economic growth would be dependent on effective performance and delivery in infrastructure investment. The infrastructure imperative is further highlighted as government’s infrastructure spend will act as a catalyst for growth in a world where developing economies have also felt the effect of the global slowdown and continue to grow at lower levels. As a result the areas of focus will be driven by aging infrastructure (investment imperative), market growth, and increasing urbanisation impacting on energy, water, transport, social demands. In drawing private sector investment government could drive the creation of funding policies that lead private investment to desired locations.
ON LEAVING A LEGACY
Building a better world is what really matters. We are leaving a legacy for our people, our communities, and our own children and therein lies the passion. One can look back with pride and say that I was involved in that particular project or structure and those were my efforts that made a positive difference.
Captains of Construction Leaders Book 2015; Leaders at the Steer of Infrastructure Development in Southern Africa.
Ebrahim DhoratConstruction Sector Leader
EY Africa
CONSULTING
It is important
to reward smart
choices and
keep score so
that progress
can be tracked
and that there is
accountability.
www.captainsofconstruction.com26
Captains of Construction Leaders Book 2015; Leaders at the Steer of Infrastructure Development in Southern Africa.
INDUSTRY INSIGHT
ON THE BIGGEST ACHIEVEMENTS IN INFRASTRUCTURE DEVELOPMENT
Since the World Cup, South Africa and Southern Afric,a the major challenge in this area has been that there is limited to no funding for new projects. Most of the recent success stories have been achieved where government and private sector have worked together and renewable energy is a good example of that. The renewable independent power producer program (REIPP) is one of the greatest successes that have happened over the last five years and Arup has been heavily active in that space.
ON ARUP’S FOCUS MOVING FORWARD
Arup will continue to be active in renewables, but we will also be looking at thermal power. A number of independent power producers are already working with the banks to secure financing, so that will be an area of focus. Opportunity abounds in the energy space with the challenges that Eskom has been facing in terms of supply, allowing independent producers to grow more aggressively.
ON CHALLENGES
Currently the biggest challenge we face is funding. Without projects and funding in the pipeline, it is almost impossible for our business to operate. The funding exists, it is just that the right checks and policies need to be in place to encourage investment. The limitations are not coming from the private sector.
ON LEAVING A LEGACY
It comes down to the question of why we exist on this planet and what do we define as our purpose. For me, the greatest legacy would be to have been able to create opportunity for a number of people, not only at Arup, but also in the industry, to emerge, to become successful in the future.
Damane HlaleleChief Executive Officer
ARUP South Africa
CONSULTING
If we can
transform our
industry in such a
way that there is
a large group of
people with the
right skills and
talents, then we will
truly leave behind
a legacy to be
proud of.
www.captainsofconstruction.com27
Captains of Construction Leaders Book 2015; Leaders at the Steer of Infrastructure Development in Southern Africa.
INDUSTRY INSIGHT
ON THE GREATEST ACHIEVEMENTS IN INFRASTRUCTURE DEVELOPMENT IN SOUTHERN AFRICA
South Africa’s renewable energy program has been very successful to date. It challenged the whole legal industry and we have risen to that challenge. The infrastructure and project financing industry has historically been very small in South Africa, and in the legal field in particular there is only a handful of firms and individuals who know their way around project finance. When the renewables programme hit South Africa, there were many legal professionals claiming to be expert infrastructure project finance lawyers, which was not necessarily the case. It was a very steep learning curve for the country, and certainly for the legal industry.
ON COLLABORATION BETWEEN PUBLIC AND PRIVATE SECTOR
The pipeline of work in South Africa and the rest of Africa is massive and we all know what needs to be done to accommodate the growth of the continent. Africa is the flavour of the month and the rest of the world has taken an interest. We will have to start by fixing the infrastructure that is there and then we will have to expand it. The sky is the limit for the amount of work that is out there.
There are African countries that are hungry for infrastructure development. If we can educate government officials in this area, and avoid is the pitfalls of corruption, projects will start becoming a reality.
Internationally, Norton Rose Fulbright sees a lot of opportunity in Africa’s oil and gas sector, and we are looking very closely at Nigeria. We also remain heavily active in mining throughout the continent and for infrastructure to be developed in Africa we need to tap the export creative energies more than we have in the past.
Gavin NoethDirector
Norton Rose Fulbright
CONSULTING
I would like to
have been involved
in as many major
infrastructure
projects as possible
and to know that
Norton Rose
Fulbright is one of
the first choices
in the field. It has
taken many years
to develop that
reputation and
expertise and we
want to continue to
build on that.
www.captainsofconstruction.com28
Captains of Construction Leaders Book 2015; Leaders at the Steer of Infrastructure Development in Southern Africa.
INDUSTRY INSIGHT
ON YOUR ROLE IN INFRASTRUCTURE DEVELOPMENT
As an advisor, we look at projects from a different view as we come into the process quite early, even before the opportunity is there for a bank or an EPC company. Each player has their niche across the value chain. From an advisory perspective, the most important step is to advise clients on how procurement takes place and on the different nuances of the different markets. With infrastructure projects, the banking sector and the EPC contractors are often battling with the procurement process. Even though there are many opportunities, only a couple of projects are really fundable and pass credit committee assessments.
ON ENCOURAGING THE PRIVATE SECTOR TO TAKE PART
Going from project to project, I always try to find structure that will give from an investment perspective that makes sense. This is normally through finding ways to externalize risk, and finding offtake mechanisms to create enough security around a project. If that can be arranged then you will always find a construction company or an EPC contractor who will come on board. There is no model for every individual country; you need to be clever and think out of the box to make projects happen.
ON LEAVING A LEGACY
There is much excitement around the projects that we are working on, and seeing projects start at a conceptual phase and then seeing them through to financial close is very rewarding. To see projects physically being built and making a difference in a country is the real payoff. It does not change the region instantaneously, but it makes a difference for many people.
Klaus FindtAfrica Market Leader, Infrastructure & Major Projects
KPMG
CONSULTING
To see projects
physically being
built and making
a difference in a
country is the real
payoff. It does not
change the region
instantaneously,
but it does make a
difference for many
people.
www.captainsofconstruction.com29
Captains of Construction Leaders Book 2015; Leaders at the Steer of Infrastructure Development in Southern Africa.
INDUSTRY INSIGHT
ON THE GREATEST ACHIEVEMENTS IN INFRASTRUCTURE DEVELOPMENT
That depends on what you would refer to as a great achievement. People talk about e-tolls, Medupi and Kusile, and the Western and Northern aqueducts down in eThekhwini and Knight Piesold have been involved in many of these projects. In essence they are all big projects, and but the question is; what makes greatness? Many of the infrastructure projects that we see at the moment are being built despite the institutions that are driving them and not because of them. This is a major issue. The country needs Medupi and Kusile desperately and those projects are going to be major milestones once they are achieved, but the implementation has been atrocious.
ON UPCOMING PROJECTS
We are very excited about the Lesotho Highlands project where phase 2 is now finally going ahead. That is an absolutely key piece of infrastructure that we need for the future. There is also a 147 MW hydropower station in Zambia that is on the verge of financial close and that will be a great project when that happens.
ON LEAVING A LEGACY
I want to see integrity coming back into business. We talk about corruption, and we talk about irregular procurement in South Africa, but that exists in other countries as well. We need to look past the negativity and get to a point again where there is a true partnership between government and private industry, in an environment of trust.
Leon FurstenbergManaging Director
Knight Piesold (Pty) Ltd
CONSULTING
There is no
quick fix to building
trust between
government and
private industry and
it is going to take a
movement to make
it happen. I would
be happy to be a
part of that
process.
www.captainsofconstruction.com30
Captains of Construction Leaders Book 2015; Leaders at the Steer of Infrastructure Development in Southern Africa.
INDUSTRY INSIGHT
ON THE BIGGEST ACHIEVEMENTS IN INFRASTRUCTURE DEVELOPMENT
A milestone event that spurred on development was definitely the 2010 FIFA World Cup. The sustainability of that can be seen especially in infrastructure upgrades in Johannesburg. Our roads have also seen a great improvement in terms of toll road infrastructure, and OR Tambo has become a world-class airport. Even though it is not necessarily directly linked, the Gautrain was also a part of that, and a huge achievement.
ON THE GREATEST CHALLENGES
The infrastructure spend has dropped dramatically. The spend is clearly not driven strongly by government any longer, as larger amounts of funding tend to be geared towards rescuing State Owned Companies (SOC’s) such as Eskom, from the problems caused by inefficiencies and low maintenance over several years. Our national budget reflects a massive infrastructure spend; however, accessing this funding seems to be a challenge. This could be a reflection of the capacity constraints at local government level. We are lagging, as a country. Our infrastructure percentage is very low at this stage, and private development has had to shift its focus to other projects.
We have the skills, we know how to do it, but funding has not gone into our water supply systems in an effective way through government. In the private sector, especially in Golder Associates, we have huge skills in water resource management, sewerage treatment, all the way through to domestic systems, but since funds are not being allocated to this sector, we cannot afford to put the effort into it.
ON LEAVING A LEGACY
The legacy that I would like to leave is quite simple. I would like to have employed all the opportunities I had to make sure that water treatment facilities are being used effectively, and through this alleviate the pressure for clean water that we are faced with. Skills remains one of the continent’s biggest challenges and I would like to have played a role in ensuring a transfer thereof.
Ralph HeathManaging Director, Principal
Golder Associates
CONSULTING
Skills remains
one of the
continent’s biggest
challenges and I
would like to have
played a role in
ensuring a transfer
thereof.
www.captainsofconstruction.com31
Captains of Construction Leaders Book 2015; Leaders at the Steer of Infrastructure Development in Southern Africa.
INDUSTRY INSIGHT
ON THE GREATEST ACHIEVEMENTS IN INFRASTRUCTURE DEVELOPMENT
In 2010, when I joined Bigen Africa as Chief Executive Officer, I recognised that the company should realise its potential as an infrastructure developer rather than remain an engineering company. With its ideal alignment to the industry, it had the capacity to influence the application of infrastructure so that economic benefits impact the social well-being of recipients.
Over the past five years, Bigen Africa has made a significant contribution to improving the quality of life of African people through infrastructure delivery. Active in Southern Africa as well as other parts of the continent to drive socio-economic change through its core capabilities, Bigen Africa prioritises collaboration with partners who have the social and economic growth of the country at heart and satisfy the company’s indigenisation policy. Any resources required on a project, such as materials, labour, and training, must as far as possible be sourced locally.
ON CRITICAL ISSUES
Infrastructure development is critical to achieving socio-economic growth, both in South Africa and on the continent. Bigen Africa is involved in most sectors, including water and sanitation, mining, roads, transport, energy, housing, health and education.
The company recognises the need to assist countries to address their key emerging public policy priorities, which include integrated human settlements, rural development, renewable energy, road and rail freight transport, and the operation and maintenance of infrastructure assets.
ON LEAVING A LEGACY
Bigen Africa wants to keep African development in the hands of Africans to ensure stable ownership for future generations. At a personal level I am also passionate about increasing female representation in business, both at Bigen Africa and in the infrastructure development industry in general.
Dr. Snowy KhozaChief Executive Officer
Bigen Africa
CONSULTING
My hope for
the future of Africa
is to see a
prosperous
continent where
there is fair, shared
growth and
everyone has the
opportunity to work
and contribute
to improving the
quality of life
of all.
www.captainsofconstruction.com32
Captains of Construction Leaders Book 2015; Leaders at the Steer of Infrastructure Development in Southern Africa.
INDUSTRY INSIGHT
ON THE GREATEST ACHIEVEMENTS IN INFRASTRUCTURE DEVELOPMENT
An achievement that I am particularly proud of was being the principal of the professional team responsible for the design and build of the Moses Mabida Stadium. After our plans were pre-qualified we had a design competition for ten weeks. It was probably the most exciting period of my life and when we eventually won the competition, this was probably the highlight of my career.
An almost equal highlight, was the day that we opened the stadium. For many consultants and engineers the whole of the World Cup was very important, but for me personally that time was really dominated and made special by the Moses Mabida Stadium.
ON AECOM IN SOUTHERN AFRICA
It is a very exciting time for Aecom. Our unique capabilities enable us to be a fully integrated company. We are a design, build, finance and operating (DBFO) company and this model is the most effective to employ in Africa.
ON CHALLENGES
The greatest challenge is geopolitical. Political stability in different African regions could be challenging. When you are investing in a country where you are aiming to employ up to 500 people, you need to be able to have some long-term confidence in the stability of that country.
ON LEAVING A LEGACY
The legacy that I would like to leave is very much aligned with that of AECOM. I would like to know that I have played a significant part in the sustainable development of Africa. Through our projects we would like to develop skills and create sustainable employment.
Tim ter HaarManaging Director South Africa, Chief Operating Officer Africa
AECOM
CONSULTING
I would like to
know that I
have played a
significant part in
the sustainable
development of
Africa. Through
our projects we
would like to
develop skills and
create sustainable
employment.
www.captainsofconstruction.com33
Captains of Construction Leaders Book 2015; Leaders at the Steer of Infrastructure Development in Southern Africa.
INDUSTRY INSIGHT
ON THE GREATEST ACHIEVEMENTS IN INFRASTRUCTURE DEVELOPMENT
In the past five years the completion of some of the largest transport and logistics infrastructure projects have added massive value to the economy and would have be noted as great achievements. These include expansions of capacities at the Durban and Cape Town harbours, and the commissioning of the vastly improved Gauteng Freeway System.
ON LEAVING A LEGACY
With entrepreneurship being the most needed attribute in Southern African life, I would say it is possible for an engineer or any professional to pursue a career that will be both fulfilling and value-adding personally, as well as to society.
Trueman GobaChairman
Hatch Goba
CONSULTING
With
entrepreneurship
being the most
needed attribute in
Southern African
life, I would say it
is possible for an
engineer or any
professional to
pursue a career that
will be both fulfilling
and value-adding
personally, as well
to society.
www.captainsofconstruction.com35
Captains of Construction Leaders Book 2015; Leaders at the Steer of Infrastructure Development in Southern Africa.
INDUSTRY INSIGHT
ON THE GREATEST ACHIEVEMENTS IN INFRASTRUCTURE DEVELOPMENT
Firstly, the consolidation of the New Partnership for Africa’s Development (NEPAD) Secretariat and the role it played in promoting infrastructure development, has been a great achievement for the continent. The second great achievement would have to be the ongoing economic growth and democratisation of politics on the continent, leading to increasing investment and a deepening of capital markets.
ON GROWTH DRIVERS
Most importantly there is the need for consistent political support for major transnational projects. We also need to see a diversification of African economies to reduce dependence on oil. This goes hand in hand with the development of capital markets in the continent. We need to hear clear messages from African governments that countries are open for business and committed to create sound environments for investment that ultimately translates into improved living conditions.
ON COLLABORATION BETWEEN PUBLIC AND PRIVATE SECTOR
Collaboration between the public and private sector is critical because African governments cannot and should not, fund infrastructure only through the fiscus. The private sector must find innovative and sustainable mechanisms to finance infrastructure profitably, but must take a long-term perspective. African governments must create the enabling environments for the private sector to participate significantly, but must also ensure governments build the capacity to collaborate equitably.
Cassim Coovadia Managing Director
Banking Association of South Africa (BASA)
Treasurer
African Union for Housing Finance (AUHF)
ASSOCIATIONS
I would like to
see a region that
achieves sustainable
collaboration
between the
public and private
sectors to develop
infrastructure that
makes a sustainable
difference in the
living conditions
of its entire
people.
www.captainsofconstruction.com36
Captains of Construction Leaders Book 2015; Leaders at the Steer of Infrastructure Development in Southern Africa.
INDUSTRY INSIGHT
ON THE GREATEST ACHIEVEMENTS IN INFRASTRUCTURE DEVELOPMENT
Achievements during the past five years were mostly in the expansion and improvement of freeways, low cost housing, the expansion and build of the Gautrain, water reticulation, electronic communication and electrical reticulation.
ON GROWTH DRIVERS
Growth drivers moving forward will stem from the need for housing, transport, water, electricity, communication and waste treatment.
ON COLLABORATION BETWEEN PUBLIC AND PRIVATE SECTOR
Collaboration between the public and private sector is of the utmost importance since infrastructure development has a direct impact on both parties and the future of the economy and the public of the country depends on it. Thorough collaboration can only be achieved with dedicated communication between both parties to determine need and supply.
ON LEAVING A LEGACY
In my current role I would like to enhance awareness with developers to the important role that precast concrete products play in the infrastructure development industry. The possibilities for new development in precast concrete is vast and choices in the industry are ample and should be utilised and expanded.
Frans JC MinnaarExecutive Director
Concrete Manufacturers Association NPC (CMA)
ASSOCIATIONS
The possibilities
for new
development in
precast concrete is
vast and choices
in the industry are
ample and should
be utilised and
expanded.
www.captainsofconstruction.com37
Captains of Construction Leaders Book 2015; Leaders at the Steer of Infrastructure Development in Southern Africa.
INDUSTRY INSIGHT
ON THE GREATEST ACHIEVEMENTS IN INFRASTRUCTURE DEVELOPMENT
I believe that South Africa has much to be proud of when we take all the development that was spurred on by the 2010 FIFA World Cup into account. Our airports, roads, stadiums, and other infrastructure benefitted greatly from it. Fortunately development did not stop there. In the last couple of years, alongside numerous other projects, three notable dam projects have been completed, namely, De Hoop, Spring Gove and Metolong.
ON LEAVING A LEGACY
My role is, and has been for the past 30 years, supportive to these activities in South Africa, specifically through information supply and exchange, and through many training initiatives. I believe that the golden thread throughout the industry should be innovation and sustainability. Without innovative processes in cement manufacturing, concrete technology and construction methods, we cannot stay ahead in the game. I am also passionate about sustainability, not only in terms of our engineering and material resources, but also our human resources. Our expertise base should be made more sustainable through mentorship programmes and skills transfer wherever possible. My dream is to inspire many who are not necessarily “captains of the industry” to be committed and passionate about what they do and to remember that in some small way we all shape our built environment. If done in an innovative, sustainable and responsible way we will ensure a proud legacy for our children.
Hanlie TurnerVice President
Concrete Society of Southern Africa (CSSA)
Specialist Technical Information Services
PPC
ASSOCIATIONS
Without innovative
processes in cement
manufacturing,
concrete technology,
and construction
methods, we cannot
stay ahead in the
game.
www.captainsofconstruction.com38
Captains of Construction Leaders Book 2015; Leaders at the Steer of Infrastructure Development in Southern Africa.
INDUSTRY INSIGHT
ON THE GREATEST ACHIEVEMENTS IN INFRASTRUCTURE DEVELOPMENT
South Africa has a proud heritage of significant achievements in in infrastructure delivery over many years. Over the past 5 years or so, South Africa has seen an unprecedented growth in infrastructure development led by the 2010 FIFA World Cup infrastructure build, the Gauteng Freeway Improvement programme, the Gautrain, Eskom’s build programme, the Aiports Company South Africa’s (ACSA) revitalisation of airports, to name a few. In addition, we have also seen increased delivery of social infrastructure including housing, schools, and clinics.
ON GROWTH DRIVERS
The main drivers for infrastructure development in South Africa will continue to be economic infrastructure led by government, together with private sector investment in mining, manufacturing, and commercial sectors. Government infrastructure spend will continue to be aligned to the National Development Programme and the 18 Strategic Infrastructure Projects (SIPs). Amongst others, transport, energy and municipal infrastructure will continue to be a priority. Looking further afield into Southern Africa, key drivers of infrastructure are in fact similar to those in South Africa, including energy and power, transport, mining, real estate, and water sectors. There is a significant demand for infrastructure in Southern Africa, which the South African industry is well placed to contribute to.
ON LEAVING A LEGACY
The legacy that I would like to leave is for the CIDB to continue to grow from strength to strength, and to fulfil its leadership role in the development of the construction industry in South Africa. I want the CIDB to leave a legacy where infrastructure delivery continues to grow its contribution to the social and economic development of South Africa, a truly transformed industry that delivers value for money to clients and to the people of South Africa.
Inba Thumbiran Programme Manager, Procurement and Delivery
Construction Industry Development Board (CIDB)
ASSOCIATIONS
I want the CIDB
to leave a legacy
where infrastructure
delivery continues
to grow its
contribution to the
social and economic
development of
South Africa, a
truly transformed
industry that
delivers value for
money to clients
and to the people of
South Africa.
www.captainsofconstruction.com39
Captains of Construction Leaders Book 2015; Leaders at the Steer of Infrastructure Development in Southern Africa.
INDUSTRY INSIGHT
ON CRITICAL ISSUES
The most critical issue to be addressed is to ensure quality in construction and materials. It is imperative that quality becomes the mantra of construction and material supply. Quality materials and workmanship has to be specified. If you do not compromise on quality, your customers will not haggle on price. Why is there never enough money to do things right the first time, but always enough money to do it again? The more we do concrete right the first time, the more money we will have available to build more infrastructure.
ON LEAVING A LEGACY
I want to leave a legacy of quality readymix concrete. We can all work together in achieving it, from specification and supply to workmanship. If each person does their small part right, as a whole it will result in being a high quality product. Let us take the lead and do concrete right ourselves first, before we blame someone else for the mistakes. I believe that this is the sort of lead that will change the future of infrastructure in South Africa.
Johan van WykGeneral Manager
Southern Africa Readymix Association (SARMA)
ASSOCIATIONS
The more we
do concrete right
the first time, the
more money we
will have available
to build more
infrastructure.
www.captainsofconstruction.com40
Captains of Construction Leaders Book 2015; Leaders at the Steer of Infrastructure Development in Southern Africa.
INDUSTRY INSIGHT
ON CRITICAL ISSUES
Highest on the list must be avoiding inappropriate technology lock-in: urbanisation, population growth and overcoming backlogs will increasingly exert pressure on infrastructure delivery and the country runs the risk of being locked-in to conventional infrastructure development paradigms. These are proving to be unsustainable in many parts of the world and unable to accommodate projected climate change impacts. If infrastructure is not designed to be resilient, future generations of South Africa are going to face an insurmountable challenge.
Alongside this, is the diminishing patience demonstrated by communities who have waited for decades for infrastructure improvements. This pressure alone should cause a review of infrastructure development paradigms toward innovative models that are better positioned to meet these expectations outside of conventional thinking.
ON TECHNOLOGICAL ADVANCEMENT
Innovation is known to be the game-changer: there are ground breaking infrastructure projects that have all shifted conventional thinking with great success. This impetus must be retained, and accelerated. However, at the same time there must be the assurance that the technology innovations are the most appropriate for our conditions.
ON LEAVING A LEGACY
It is time for a paradigm shift: for decades a cadre of sustainability thinkers have argued for a new development paradigm, and now that call for action seems to be bearing fruit. There is no doubt climate change and its impacts on Southern Africa will place further pressure on the development of new solutions. I would hope that my work has lent credence to that call for action, created public awareness especially at political level, and demonstrated the viability of new sustainable and resilient thinking.
Llewellyn van WykPrincipal Researcher
Built Environment Unit (Building Science and Technology)
Council for Scientific and Industrial Research (CSIR)
ASSOCIATIONS
I would hope
that my work has
lent credence to
that call for action,
created public
awareness especially
at political level, and
demonstrated the
viability of
new sustainable
and resilient
thinking.
www.captainsofconstruction.com41
Captains of Construction Leaders Book 2015; Leaders at the Steer of Infrastructure Development in Southern Africa.
INDUSTRY INSIGHT
ON THE GREATEST ACHIEVEMENTS IN INFRASTRUCTURE DEVELOPMENT
My focus is a roads perspective. Roads are the bloodline of any economy. They connect people, goods and services, which fuels socio-economic growth and prosperity. Prior to the 2010 FIFA World Cup in South Africa, we experienced extreme congestion on some of the major freeways, which had a negative impact on economic growth and development in our urban areas.
Congestion is a phenomenon of thriving global cities, but this growth comes at a price. It increases vehicle running costs and pollutes our fragile environment through excessive emissions. Unless this situation is actively addressed, congestion will increase.
In my mind, the Gauteng Freeway Improvement Project has brought relief to millions of people living and working in Gauteng. It certainly is one of the greatest achievements in infrastructure development over the last five years and has improved the quality of life to all in Gauteng since 2010.
ON GROWTH DRIVERS
Increased urbanisation and population growth calls for the rapid expansion of infrastructure in our urban areas. Coupled with that, is the increasing need for sustainable job creation. In 2013, the South African government adopted the National Development Plan (NDP) for accelerating GDP growth in order to reduce unemployment, poverty and inequality. In my opinion, transport and transport infrastructure are major drivers in facilitating the stimulation of growth.
The most critical issues in infrastructure development are low levels of institutional capacity and skills shortages which impact on service delivery. The issue of skills shortages especially in government at all levels is a major stumbling block which needs to be addressed in the short term.
Louw Du PlessisResearch Group Leader: Accelerated Pavement
Council for Scientific and Industrial Research (CSIR)
ASSOCIATIONS
In my mind, The
Gauteng Freeway
Improvement
Project is one
of the greatest
achievements
in infrastructure
development over
the last five years
and has improved
the quality of life to
all in Gauteng since
2010.
www.captainsofconstruction.com42
Captains of Construction Leaders Book 2015; Leaders at the Steer of Infrastructure Development in Southern Africa.
INDUSTRY INSIGHT
ON GROWTH DRIVERS
Economic growth, a capacitated public service, effective project roll-out, the implementation of the National Development Plan (NDP), corruption reduction/eradication and political will and new leadership in government will ensure sustainable infrastructure development.
ON CRITICAL ISSUES
There is a need for maintenance effort for road and other infrastructure, for a stabilised power supply (ESKOM), for the roll-out of projects, for capacitating the public sector with suitably qualified, experienced engineers, for cooperation in SADC regarding adequate provision of electricity, water, for implementing water demand management strategies and for developing effective water and road infrastructure.
ON PUBLIC AND PRIVATE SECTOR COLLABORATION
For infrastructure development and maintenance the public sector has to use private infrastructure companies and engineers as it lacks capacity in the infrastructure departments to successfully conclude projects and deliver services such as water, sanitation, roads and housing. These areas can only be addressed adequately when engineers are involved. As South Africa still lacks sufficient numbers of black and coloured engineers, it is inevitable that the existing experienced, well-qualified “pale males” should be employed to boost development and service delivery.
ON LEAVING A LEGACY
As a result of the Civilution Congress-effort in 2014, all the sister organisations of SAICE formed the Civilution Forum, through which assistance could be rendered to all tiers of government as an ‘honest broker’. The roll-out of the NDP will benefit all – from the engineer involved in the projects to the communities in deep rural areas. Crucial in this process will be to enhance the through-put of engineering students at universities and universities of technology and to mentor young graduates to eventually replace the experienced engineers. At the heart of this is the teaching of adequate mathematics and physical science, especially at high school level.
Manglin Pillay Chief Executive Officer
The South African Institute for Civil Engineering (SAICE)
ASSOCIATIONS
For infrastructure
development and
maintenance the
public sector has
to use private
infrastructure
companies and
engineers…
www.captainsofconstruction.com43
Captains of Construction Leaders Book 2015; Leaders at the Steer of Infrastructure Development in Southern Africa.
INDUSTRY INSIGHT
ON THE GREATEST ACHIEVEMENTS IN INFRASTRUCTURE DEVELOPMENTWe have accomplished two remarkable feats in infrastructure development over the the few years. Firstly the hosting of the 2010 FIFA World Cup tournament by South Africa afforded the country an opportunity to develop the not only the country’s sporting facilities, but infrastructure as well. The upgrades our transportation infrastructure, such as airports and roads, have put us on a level comparable with the best in the world. In a way this shielded South Africa from the world economic downturn. Secondly the formalisation of Strategic Infrastructure Projects (SIPs) will ensure that infrastructure development in the country is focussed on addressing social and economic challenges.
ON GROWTH DRIVERSThere are four areas that will contribute to further development of infrastructure in South Africa. The first will be the need to develop public transport infrastructure in urban areas (BRT’s). Secondly, we require the maintenance and upgrading of water infrastructure and electricity generation infrastructure. Thirdly, redeveloping and redefining our decaying cities will gain momentum. Finally, the continued focus on the identified Strategic Infrastructure Projects (SIPs) will continue to drive development.
ON CRITICAL ISSUESThere is a definite lack of technical capacity and capability in the public sector resulting in poor projects planning, the inability to procure and adjudicate tenders properly, and a lack of monitoring of contracts. Inappropriate procurement of consulting engineering services, which is predominantly price driven, reduces the profession to a commodity.
Mphikeleli Abe ThelaPresident
Consulting Engineers South Africa (CESA)
ASSOCIATIONS
I would like
to be a part of the
movement that
contributes to
the creation of a
conducive legislative
environment for
CESA members
to practice and
grow their
businesses.
www.captainsofconstruction.com44
Captains of Construction Leaders Book 2015; Leaders at the Steer of Infrastructure Development in Southern Africa.
INDUSTRY INSIGHT
ON THE GREATEST ACHIEVEMENTS IN INFRASTRUCTURE DEVELOPMENT
The 2010 FIFA Soccer World Cup hosted by South Africa has to be the greatest infrastructure achievement of, not only South Africa, but the region and continent. The 2010 FIFA world cup was preceded by massive infrastructure investment that saw state of the art facilities such as stadiums, conference facilities, roads, bridges and hospitality facilities being constructed.
The success of these massive projects within the deadlines hinged on the successful collaboration between the public and private sector.
ON CRITICAL ISSUES IN INFRASTRUCTURE DEVELOPMENT
The most critical and pressing issue in South Africa and Southern Africa, affecting everyone presently is energy in the form of electricity. Huge strides have been made including the new power stations and notably the Renewable Energy Independent Power Producers Procurement (REIPPP) programme. The REIPPP programme is well underway and several of these renewable energy projects (solar and wind) have been completed and are supplying power to the national grid.
ON LEAVING A LEGACY
I would like to see the creation of a platform and link for the transfer of skills and mentorship from seasoned experienced professionals to young professionals. Nothing beats training, training and more training.
Retselisitsoe (Tseli) MalieheMScEng – Civil Engineering – Leeds University
United Kingdom
National President
Concrete Society of Southern Africa (CSSA)
ASSOCIATIONS
I would like to
see the creation
of a platform
and link for the
transfer of skills
and mentorship
from seasoned
experienced
professionals to
young professionals.
www.captainsofconstruction.com45
Captains of Construction Leaders Book 2015; Leaders at the Steer of Infrastructure Development in Southern Africa.
INDUSTRY INSIGHT
ON THE GREATEST ACHIEVEMENTS IN INFRASTRUCTURE DEVELOPMENT
There have been many but perhaps the most highly recognised has been the Gautrain, which remains world class and still provides a sense of pride to many South Africans.
ON GROWTH DRIVERS
Urbanisation and densification will drive ongoing world class development in the cities while the need for housing and basic needs will continue to drive the infrastructure development throughout the country.
ON COLLABORATION BETWEEN PUBLIC AND PRIVATE SECTOR
Collaboration is critical and government needs to follow through on commitments and tenders to show the private sector that there are tangible opportunities for development and investment.
ON LEAVING A LEGACY
Without a doubt the social upliftment legacy is the most important. In my current role, I aim to develop and grow a team of professionals that continue to add value and in turn grow and develop our country for many years to come.
Tim White Managing Director
The Association of Construction Project Managers (ACPM)
Managing Director
Profica
ASSOCIATIONS
One of the most
critical issues that
is required to aid
infrastructure
development, is
quick decision-
making by
government
combined with
further public private
partnerships.
www.captainsofconstruction.com47
Captains of Construction Leaders Book 2015; Leaders at the Steer of Infrastructure Development in Southern Africa.
INDUSTRY INSIGHT
ON THE GROWTH DRIVERS
Vehicle traffic in South Africa is one of the country’s greatest challenges and in the process of alleviating this issue, it will become a driver for growth. New roads and better traffic control design in urban areas is essential. Not only with the process to create better infrastructure in this space drive growth, but the end result will further facilitate economic development. As we are all too aware, power also remains a critical issue for the country and needs to be addressed urgently for further development to take place.
ON COLLABORATION BETWEEN PUBLIC AND PRIVATE SECTOR
Collaboration between the public and private sector is essential. It is the only way to achieve infrastructure goals in Southern Africa. There is a need for greater privatisation in areas where there is a lack of government capacity. This will open up regulated industries for competition and innovation.
ON LEAVING A LEGACY
While I have only been in South Africa for a short period of time, I see much space to create value. As a legacy I would like to know that I have contributed to integrating Fluor’s proven execution expertise in the infrastructure field.
Brad NelsonRegional Director
Construction & Fabrication, sub-Saharan Africa
Fluor South Africa (Pty) Ltd.
CONSTRUCTION
While I have only
been in South
Africa for a short
period of time, I
see much space
to create value. As
a legacy I would
like to know that I
have contributed to
integrating Fluor’s
proven execution
expertise in the
infrastructure
field.
www.captainsofconstruction.com48
Captains of Construction Leaders Book 2015; Leaders at the Steer of Infrastructure Development in Southern Africa.
INDUSTRY INSIGHT
ON SKILLS DEVELOPMENT
One of South Africa’s critical issues and one of Moladi’s key advantages is skills development. The application of the Moladi technology is not dependent on skilled labour or artisans in its construction method and utilises local unskilled and unemployed labourers to build Moladi housing units, thereby enabling unskilled and unemployed community involvement in the construction of Moladi homes. The Moladi construction method has been designed with the objective to allow for an unskilled team of people to follow Moladi’s optimized, repetitive and sequential processes not risking any probability of errors occurring that are crucial to the outcome of the structural quality or integrity of a Moladi housing unit. The system allows for job creation and skills development, having a large scale socio economic impact on many people and their communities.
ON LEAVING A LEGACY
I founded Moladi in 1986, growing the company over 29 years through the design, development and manufacture of modular plastic formwork components that are uniquely created for contractors to build homes that meet high standards of social and statutory criteria.
With the objective of developing a building technology that challenges the home building industry, I have devised a system that simultaneously improves on the current shortcomings and drawbacks of conventional and current alternative building methods whilst encompassing quality and benefits of these construction methods.
MCS is currently focusing on the large scale implementation of the Moladi system through the establishment of the Moladi Development Corporation (MDC) which would provide turnkey solutions to clients throughout Africa which involves assistance with housing finance and full project lifecycle management through a network of esteemed specialists. The MDC team are experts in their respective fields and recognise Moladi as a method to apply their knowledge with the collective objective to develop sustainable and zero rated ‘green’ homes in the development of new town and cities for the future.
Hennie Botes Chief Executive Officer
Moladi Construction
CONSTRUCTION
The MDC team
are experts in their
respective fields and
recognise Moladi as
a method to apply
their knowledge
with the collective
objective to develop
sustainable and zero
rated ‘green’ homes
in the development
of new town and
cities for the
future.
www.captainsofconstruction.com49
Captains of Construction Leaders Book 2015; Leaders at the Steer of Infrastructure Development in Southern Africa.
INDUSTRY INSIGHT
ON GROWTH DRIVERS
The huge opportunity in the next five years is the massive backlog of service infrastructure, especially in roads, rail, harbours, water infrastructure, power and reticulation, and sanitation.
ON CRITICAL ISSUES
In South Africa we have a real national need for infrastructure, especially related to service delivery, money available for this, and a construction sector that is desperate for work. The problem is the lack of trust and relationship between the formal construction sector and the government. This will only change when we transform the sector in a mutually agreed way. This transformation must consist of at least three parts: The increase of equity ownership to accepted levels, the emergence of a major black owned construction company, and the race and gender transformation of management and technical roles.
ON COLLABORATION BETWEEN THE PUBLIC AND PRIVATE SECTOR
Various sources suggest that the infrastructure backlog is around R600bn, which is 50 times our order book. Work of this magnitude is impossible without a relationship of trust and understanding between the government and the construction sector. We need to understand the differences between collaboration, which is good and necessary, and collusion, which is dishonest.
ON LEAVING A LEGACY
I have the hope that we will end up with infrastructure built to world class standards, by a South African construction sector that rewards investors well, and we have crossed the transformation bridge to a future South Africa where there is a better life for all.
Neville NicolauChief Executive Officer and Executive Director
Basil Read
CONSTRUCTION
The challenge
we have is the
lack of trust and
relationship
between the formal
construction sector
and the government.
This will only
change when we
transform the sector
in a mutually agreed
way.
www.captainsofconstruction.com50
Captains of Construction Leaders Book 2015; Leaders at the Steer of Infrastructure Development in Southern Africa.
INDUSTRY INSIGHT
ON THE GREATEST ACHIEVEMENTS IN INFRASTRUCTURE DEVELOPMENT
Most certainly the infrastructure related to the FIFA World Cup including the roads and bus rapid transit systems have been one of our greatest achievements.
ON GROWTH DRIVERS
The current and expected demand for housing, electricity, water and transport locally, will be the greatest drivers for infrastructure development in the short-term. In addition, for the Southern African region, there is a need and a high demand for integrated transportation routes within and across the countries to access the various ports.
ON PUBLIC AND PRIVATE SECTOR COLLABORATION
The current state of the existing infrastructure and the maintenance and upgrade thereof, both locally and regionally, is critical. It cannot be done without public and private sector collaboration. The private sector has the capacity, the knowledge, and the appetite for innovation as well as the will to ensure the successful implementation of world class infrastructure.
ON LEAVING A LEGACY
I would like to know that the infrastructure we implement is sustainable, environmentally friendly and of the highest quality.
Paul OlivierPr Eng, Pr CPM
Managing Director
Jeffares & Green
CONSTRUCTION
I would like to
know that the
infrastructure
we implement
is sustainable,
environmentally
friendly, and of
the highest
quality.
www.captainsofconstruction.com51
Captains of Construction Leaders Book 2015; Leaders at the Steer of Infrastructure Development in Southern Africa.
INDUSTRY INSIGHT
ON THE SUCCESSES MOTHEO HAS SEEN OVER THE PAST FIVE YEARS
Motheo has seen many achievements over the past five years; our business has almost doubled in turnover in the last two years and as Chief Executive Officer, I have won the Business Woman of the Year Award in 2013 in the entrepreneurs category; a big win for our Motheo team.
In 2014 we moved from CIDB 8 GB PE and 8 CE PE to CIDB 9GB PE and 9CE PE. We are very proud of this. We believe we are the largest black female owned construction, civils and housing company in South Africa. Motheo is a truly empowered company.
ON LEAVING A LEGACY
Internally we have established a staff trust, which allocates a percentage of Motheo’s shares, debt free. The dividend income from these shares, and more, is dedicated and focused on the task of development of the trust’s beneficiaries.
Our role within Infrastructure development in South Africa is significant. As a company we will continue to see the development of women within the business from brick layer, to project manager, to director.
Motheo, to date, have delivered around 75 000 housing units. Assuming an average household size of five to six people, that in turn means that approximately 400 000 South Africans today live in housing units developed and/or built by Motheo and that we are very proud of.
Thandi NdlovuChief Executive Officer
Motheo Construction Group
CONSTRUCTION
At Motheo we
believe in embracing
all people of our
nation – working
together to bring
true change. We put
roofs over heads,
but we also put
work boots on feet.
We believe in giving
real opportunity
to young South
Africans, with
genuine authority
and responsibility.
www.captainsofconstruction.com53
Captains of Construction Leaders Book 2015; Leaders at the Steer of Infrastructure Development in Southern Africa.
INDUSTRY INSIGHT
ON THE GREATEST ACHIEVEMENTS IN INFRASTRUCTURE DEVELOPMENT
Infrastructure spending in South Africa was reduced to smaller projects over the past five years, following the bigger projects that characterized the pre-2010 era. Sharp increases were seen on road maintenance project expenditure, although the average size of the projects shrunk dramatically, taking work away from bigger construction companies towards small players. For Afrimat as a supplier of materials it proved the strategy of rural positioning as the correct one.
ON LEAVING A LEGACY
I would like to enhance our role as a supplier of excellent quality materials and exceptional service and build it throughout the continent.
Andries van HeerdenChief Executive Officer
Afrimat
CEMENT AND CONCRETE
I would like to
enhance our
[Afrimat’s] role as a
supplier of excellent
quality materials
and exceptional
service and build it
out on the
continent.
www.captainsofconstruction.com
INDUSTRY INSIGHT
ON THE GREATEST ACHIEVEMENTS IN INFRASTRUCTURE DEVELOPMENT Undoubtedly the infrastructure delivered for the 2010 FIFA World Cup. This includes the stadia, the airport upgrades, the Gauteng Freeway Improvement Project (GFIP) road upgrades and the Gautrain construction.
ON GROWTH DRIVERSThe implementation of the National Development Plan, is a blueprint for infrastructure development put together by sound technical and financial minds. Government must invest the billions of Rands that is available for this purpose. Service delivery at local government must be a high priority.
ON CRITICAL ISSUES
The most critical issues are in the field of service delivery in the form of water and sewage treatment plants, electricity supply and upgrading and maintenance of our road infrastructure.
ON COLLABORATION BETWEEN THE PUBLIC AND PRIVATE SECTOR
Collaboration between public and private sector is essential for enhanced infrastructure development, but there appears to be a deficit of trust between public and private sector with government appearing to want to control all development. Development is not feasible without the private sector.
ON LEAVING A LEGACY
I would like to ensure that concrete plays a meaningful role in infrastructural development in South/Southern Africa by providing assistance in the form of training and advice in the correct use of the materials.
54
Captains of Construction Leaders Book; 100 People at the Steer of Infrastructure Development in Southern Africa.
Bryan PerrieManaging Director
The Concrete Institute of South Africa
CEMENT AND CONCRETE
Collaboration
between public
and private
sector is essential
for enhanced
infrastructure
development but
there appears
to be a deficit of
trust between
government and
private sector.
www.captainsofconstruction.com55
Captains of Construction Leaders Book 2015; Leaders at the Steer of Infrastructure Development in Southern Africa.
INDUSTRY INSIGHT
ON GROWTH DRIVERS
South Africa’s acceleration towards urbanisation is the initiator of most economic development and infrastructural priorities. The explosion of peripheral informal settlements and the simultaneous densification of our cities will strain resources and with it the quality of life of its inhabitants. Architects and other producers of our urban environments have an increasingly important role to play in designing enabling, yet resource efficient and sustainable human habitats.
ON TECHNOLOGICAL ADVANCEMENT
Technological advancement depends strongly on creative enquiry. Design innovation holds a key, not only to our future infrastructural development and renewal, but also to foster the necessary entrepreneurship. To support our development therefore requires much more educational and training with a focus on developing creative solution skills in our various infrastructural disciplines. A bias towards design innovation is necessary for our future technological advancement. Our pressing needs require more than ever the diversity of ideas and solutions.
ON LEAVING A LEGACY
I champion an ambitious platform called the PPC Imaginarium to support, mentor and promote emerging designers and innovators in South Africa. Portland cement is a vital and strategic material. Experimentation will encourage modifications, resource efficiency, recycling and new applications for this material. The potential of new concrete products and manufacturing processes are unlimited. It is exciting to facilitate product development and thereby contribute to the development of our country.
Daniel van der MerweArchitect, Technical Marketing and Innovation
PPC
CEMENT AND CONCRETE
The potential of
new concrete
products and
manufacturing
processes are
unlimited. It
is exciting to
facilitate product
development and
thereby contribute
to the development
of our country.
www.captainsofconstruction.com56
Captains of Construction Leaders Book 2015; Leaders at the Steer of Infrastructure Development in Southern Africa.
INDUSTRY INSIGHT
ON THE GREATEST ACHIEVEMENTS IN INFRASTRUCTURE DEVELOPMENT
The 2010 FIFA World Cup was undoubtedly one of the greatest infrastructural achievements of the last five years. It showed the world that we could conceptualise and execute world-class infrastructure of various kinds. It took years of meticulous planning, commitment, and the use of appropriate delivery models to build what was needed.
PPC is proud to have been involved in the construction of the stadia, the Gautrain, and the Gauteng Freeway Improvement Project (GFIP).
ON GROWTH DRIVERS
Government remains the prime mover when it comes to large-scale infrastructure projects. The industry is awaiting further detail as to when the estimated R800 billion plus infrastructure programme will be fully unlocked.
As an industry, we are excited by government’s invitation to work alongside in the planning and implementation of these projects.
ON CRITICAL ISSUES
The construction industry is cyclical by nature and closely aligned to the movement of the economy. After the high of the 2010 FIFA World Cup, there has been a substantial decline in activity. The government’s infrastructure development programme seems to offer an attractive pipeline of new business opportunities, but we need clarity on timelines to help develop meaningful projections and plan properly.
ON LEAVING A LEGACY
For me it is about building a better and more sustainable future. PPC is very conscious of the fact that infrastructure is the foundation for a society that provides opportunity for its citizens and so we are proud to be a part of that effort.
Darryll Castle Chief Executive Officer
PPC
CEMENT AND CONCRETE
A strong local
capacity to
manufacture the
products needed
for infrastructure
projects is a national
asset. PPC together
with other players
in the market
have approached
government to
ensure that the
dumping of cheap
product in South
Africa is
prevented.
www.captainsofconstruction.com57
Captains of Construction Leaders Book 2015; Leaders at the Steer of Infrastructure Development in Southern Africa.
INDUSTRY INSIGHT
ON CRITICAL ISSUES
One of the most obvious issues is that of the efficient and reliable production and distribution of electricity. This will be linked to the construction of new power stations and distribution systems. However, something very important that seems to be continuously set further back on the list of priorities is the housing crisis. When I arrived in South Africa in 1999, there was talk of a housing backlog of 2 million. Now, 16 years later, the latest estimate is 2.5 million. This does not only concern housing, but everything that comes with human settlements, i.e. water management, basic services, transportation, as well as social, commercial and educational infrastructure. The construction industry needs to develop suitable housing systems that speak to the needs of the people and that are affordable.
The housing challenge aside, I feel that we should look into other long-term issues that our industry is facing and the one that I am most concerned about professionally is that of the lack of durability of our infrastructure. In this respect the industry needs to implement design and construction measures to create more durable structures.
ON LEAVING A LEGACY
At UCT we have recently developed and implemented a postgraduate programme on Civil Infrastructure Management and Maintenance (CIMM). The programme is the only one of its kind on the continent and we are aiming to provide the industry with the understanding, knowledge, and skills required to design and maintain a more durable infrastructure in Southern Africa.
Hans BeushausenAssociate Professor
University of Cape Town (UCT)
CEMENT AND CONCRETE
The legacy that
I want to leave is a
strong contribution
to the relevant
education of our
civil engineering
industry focussing
on design for
durability, service life
modelling, condition
assessment of
structures, structural
safety, repair,
strengthening and
rehabilitation of
structures.
www.captainsofconstruction.com58
Captains of Construction Leaders Book 2015; Leaders at the Steer of Infrastructure Development in Southern Africa.
INDUSTRY INSIGHT
ON THE GREATEST ACHIEVEMENTS IN INFRASTRUCTURE DEVELOPMENT
The greatest progress in infrastructure development is the provision of services such as electricity and water. In terms of housing, the progress has been relatively slow, not surprisingly. In my opinion, it is better to invest in employment creation than to provide free or subsidised houses to the unemployed.
ON CRITICAL ISSUES
Education is key. South Africa is becoming more dependent on migrant labour, in spite of an increased number of graduates that we deliver every year. There is a shortage of especially skilled persons to enable growth at the level of some other African nations. They are needed to mentor the younger graduates.
ON TECHNOLOGICAL ADVANCEMENT
There is urgent need for growth and a great scope for development in Africa. South Africa is well positioned and expected to play a leading role in driving technological advancement in Africa. Political leadership is important in driving such growth. It is important to eliminate corruption from the political system in order to pave the way for socio-economic development.
ON LEAVING A LEGACY
As a professor of structural engineering, I have a particular interest in the technology of prestressed concrete which is considered the biggest development in concrete technology since the 2nd world war. The increasing shift away from brick and mortar construction towards precast/prestressed concrete is seen as a measure of advancement in building technology. I continue to play a role in the continuing professional development in structural engineering education including earthquake engineering, concrete technology and design. I would like to ensure that the next generation of South African engineers are well prepared for the task ahead. I have assessed and reported on seismic events in the country over the last two decades. I continue to mentor young engineers in these fields.
Prof Herbert C. Uzoegbo PrEng, FSAICE, FIMS
School of Civil and Environmental Engineering
University of the Witwatersrand
CEMENT AND CONCRETE
South Africa is
well positioned
and expected to
play a leading
role in driving
technological
advancement in
Africa
www.captainsofconstruction.com59
Captains of Construction Leaders Book 2015; Leaders at the Steer of Infrastructure Development in Southern Africa.
INDUSTRY INSIGHT
ON THE GREATEST ACHIEVEMENTS IN INFRASTRUCTURE DEVELOPMENT
The construction of the stadiums for the 2010 FIFA World Cup, hosted by South Africa, provided a tremendous boost for the South African construction industry and left a legacy of multi-purpose infrastructural facilities for generations to come.
With mobility being the key to future economic growth in the Gauteng area, the construction of the Gautrain rapid rail system, the first of its kind in Africa, provided a significant boost for the area. The construction of the De Hoop Dam, a gravity dam on the Steelpoort River near Burgersfort, Limpopo, has enabled the extraction of rich mineral deposits in the eastern Limpopo province, as well as the supply of water to towns, industries, and communities in the area.
Improved infrastructure with regards to power generation, as well as the development of alternative and sustainable energy sources has seen BASF being involved in two significant projects. The Ingula hydro-electric water scheme in the KZN midlands is an underground powerhouse complex which will house four 333 MW pump turbines with a total capacity of 1 332 MW. The global focus on creating sustainable and renewable energy has resulted in significant investment into the associated industries, ranging from the construction of wind turbine farms, through to the development of energy saving and alternative energy innovations.
With South Africa being awarded the main role in the construction and hosting of the Square Kilometer Array Project, the nation has been positioned on a global platform within both the technical and scientific communities.
Joan-Maria Garcia-GironaManaging Director
BASF South Africa
CEMENT AND CONCRETE
As the current
leader of the
BASF business in
South Africa and
sub-Sahara, it is
key for me to see
that our strategy
and corporate
purpose: “We create
chemistry for a
sustainable future”
is lived out by every
employee in the
region.
www.captainsofconstruction.com60
Captains of Construction Leaders Book 2015; Leaders at the Steer of Infrastructure Development in Southern Africa.
INDUSTRY INSIGHT
ON THE GREATEST ACHIEVEMENTS IN INFRASTRUCTURE DEVELOPMENT
One of the most significant infrastructure developments completed in the last five years is Transnet’s R14bn Port of Ngqura, at Coega near Port Elizabeth. Another impressive major water project opened by President Zuma in 2014, was the massive De Hoop Dam, which provides the foundation for a better quality of life for the communities around Sekhukhune in Limpopo, the expansion of agriculture in the area, and increased development in platinum mining.
Lafarge South Africa was pleased to be a supply partner in the above major infrastructure projects through being instrumental in providing an integrated service for quality cement, ready-mixed concrete, aggregates and fly ash.
ON GROWTH DRIVERS
A burgeoning growth in population combined with an enormous trend to urbanisation is apparent throughout the world, nowhere more so than in South Africa, is the driver of commerce and economic growth, and will be the main catalyst for infrastructure development. Cities are central to the challenges facing our country, and facing our planet.
Reflecting this reality, the Lafarge Group as a world leader in building materials, repositioned its global master brand with a new brand baseline of ‘building better cities’. It pledges the group’s commitment to use its unparalleled technical resources and global operating experience to help create cities that are desirable and sustainable environments for all people.
ON CRITICAL ISSUES
We must have the right vision for infrastructure development and clear short-term priorities. In a climate of almost overwhelming social demands on the country’s financial resources, identifying the type of infrastructure priority, whether it be transport, power, or water, is not easy, but you cannot build everything at once. The short-term priorities need to align with the long-term vision.
Ken Maclean Country Chief Executive Officer
Lafarge South Africa
CEMENT AND CONCRETE
South Africa’s
construction,
consulting and
building materials
sectors have world-
class expertise but
cannot operate
effectively without
solutions being
provided for the
social and financial
challenges.
www.captainsofconstruction.com61
Captains of Construction Leaders Book 2015; Leaders at the Steer of Infrastructure Development in Southern Africa.
INDUSTRY INSIGHT
ON THE GREATEST ACHIEVEMENTS IN INFRASTRUCTURE DEVELOPMENT
The greatest achievements in infrastructure development have been spread over a wide area, including transport infrastructure, water infrastructure, energy infrastructure, and urban infrastructure. My vote would go to the excellent new and rehabilitation construction of our national roads undertaken by the South African National Road Agency Limited (SANRAL).
ON GROWTH DRIVERS
I cannot see government developing the capacity to become more efficient in infrastructure provision over this period, although certainly significant sums of money will come from government. We need to develop robust Public Private Partnership (PPP) arrangements to facilitate infrastructure delivery.
ON CRITICAL ISSUES
Government inefficiency, corruption and ineptitude, referring to public infrastructure broadly are critical issues that need to be addressed. In addition there is a critical skills shortage and inability of critical organs of infrastructure development to provide opportunity for the skills that exist.
ON LEAVING A LEGACY
I would like to contribute in the areas of education and training of engineers, primarily through research as a tool for high level skills development.
Prof Mark Alexander Pr Eng FSAICE FSAAE MICT MASSAf
Professor of Civil Engineering
University of Cape Town (UCT)
CEMENT AND CONCRETE
My vote on
the greatest
achievement in
infrastructure
development
would go to the
excellent new
and rehabilitation
construction of
our national roads
undertaken by
SANRAL.
www.captainsofconstruction.com62
Captains of Construction Leaders Book 2015; Leaders at the Steer of Infrastructure Development in Southern Africa.
INDUSTRY INSIGHT
ON COLLABORATION BETWEEN PUBLIC AND PRIVATE SECTOR
Collaboration between public and private sector is vital and urgent. One consideration is that private sector in the construction industry still has access to the (aging and diminishing) expertise-base of experienced engineers, whereas many of these skills have been lost to the public sector. Collaboration is thus vital to tap into these skills to address the infrastructure development needs of the region.
The ‘Captains of Construction’ forum is an excellent platform for communication and exchange of ideas. It is critical that this momentum is retained and formalised into e.g. the formation of a Public-Private Infrastructure Development Task Team appointed to draft a mandate with measurable outcomes to prioritise and address the issues raised.
ON CRITICAL ISSUES
Outdated concrete construction standards, such as the structural concrete design and materials codes, SANS 10100-1 and 2 and standard test methods for concrete is a critical issue. A 2014 CSIR study has shown that based on building cost, concrete is the most used construction material in South Africa at 35 %, of which 50 % is cement. The South
African cement industry produces 17.5 million tonnes of cement per annum, 0.6 % of the current annual global production, so in global perspective, not insignificant.
Yet only minor revised versions of the original structural concrete design and materials standards which was based on the old British Standards, have to date been published.
ON LEAVING A LEGACY
I would like to help create a shift in the concrete construction industry, from once-off custom designs and in-situ constructions, to modular standardised precast concrete manufacture and on-site assembly of replicated designs across as many applications as possible.
Santie Gouws Specialist Consultant – Concrete Materials Engineering
Concrete Growth (Pty) Ltd
CEMENT AND CONCRETE
I would like to
help create a shift
in the concrete
construction
industry from
once off custom
designs and in-
situ constructions
to modular
standardized
precast concrete
manufacture and
on-site assembly of
replicated designs
across as many
applications as
possible.
www.captainsofconstruction.com63
Captains of Construction Leaders Book 2015; Leaders at the Steer of Infrastructure Development in Southern Africa.
INDUSTRY INSIGHT
ON THE GREATEST ACHIEVEMENTS IN INFRASTRUCTURE DEVELOPMENT
The greatest achievement in infrastructure development in Southern Africa stretches beyond the magnificent structures that have been constructed over the last five years. For me, it is about the possibilities that these schools, roads, bridges, hospitals and airports have created. It has united people behind their favourite sports teams, provided them with an education, healed the sick and have connected people across continents. I am proud that AfriSam could play a role in creating these concrete possibilities.
ON LEAVING A LEGACY
An important part of AfriSam’s mission is to ‘shape Africa and building a better society’ and this is achieved through the collective effort of all AfriSam employees. The legacy I want to leave, being a small part of this formidable construction materials group, is knowing that AfriSam has, over its 80 years of existence, played a fundamental role in building our great continent, and made a meaningful contribution towards the economic development of Africa and its people.
Dr Stephan OlivierChief Executive Officer
AfriSam
CEMENT AND CONCRETE
The legacy I
want to leave,
being a small part
of this formidable
construction
materials group,
is knowing that
AfriSam has, over
its 80 years of
existence, played a
fundamental role in
building our great
continent...
www.captainsofconstruction.com64
Captains of Construction Leaders Book 2015; Leaders at the Steer of Infrastructure Development in Southern Africa.
INDUSTRY INSIGHT
WHAT HAVE BEEN THE GREATEST ACHIEVEMENTS IN INFRASTRUCTURE DEVELOPMENT
I believe some of our greatest infrastructure development achievements in Southern Africa has been the construction of the Gautrain, together with the world-class airport infrastructure at our major cities including OR Tambo International Airport in Johannesburg, Cape Town International Airport in Cape Town and King Shaka International Airport in Durban. South Africa has also developed a world-class freeway infrastructure.
ON LEAVING A LEGACY In my role as CEO of one of Africa’s oldest and largest furnace and industrial service providers to the mining, metals smelting, mineral processing, power generation and petrochemical refining industries, I would like to leave a legacy of our company providing world-class services to the major manufacturing industries in sub-Saharan Africa.
Trevor DickinsonChief Executive Officer
Dickinson Group
CEMENT AND CONCRETE
I would like to
leave a legacy
of our company
providing world-
class services to the
major manufacturing
industries in
sub-Saharan
Africa.
www.captainsofconstruction.com65
Captains of Construction Leaders Book 2015; Leaders at the Steer of Infrastructure Development in Southern Africa.
INDUSTRY INSIGHT
ON THE GREATEST ACHIEVEMENTS IN INFRASTRUCTURE DEVELOPMENT
As a materials researcher, one of the great achievements of Africa over the last couple of years, is a steady increase of innovation potential. In Europe for example, we can observe that many technological potentials cannot be developed to a successful end due to narrow regulations and conservative traditions. These limitations are much less pronounced in most African countries, including, but not limited to Southern African countries. It is fascinating to see how open-minded new ideas are discussed in many African countries, which would never be discussed in other parts of the world in the same unbiased way. People involved in construction and infrastructure here in Africa are much more pragmatic and less regulative than anywhere in the world, which is the ideal fundament for future-oriented, innovative, and sustainable construction technologies.
ON LEAVING A LEGACY
I am a researcher and I am also lecturing. Most of my links to Africa are of academic nature with linkages to technology application. Whenever I travel to Africa, I try to use the chance to lecture to students and we also organise student courses where young researchers come together from the entire continent. What I always observe as a very special item on this continent is an incredible enthusiasm of the students.
The African continent has an outstanding potential lying in their young students; the next generation of engineers and decision makers. These young people are open-minded and capable of developing new, innovative, inimitably African ways of technologies. The latter is particularly important, since the construction markets and the respective infrastructures always have their own local peculiarities, and the optimum solution cannot be adopted from elsewhere but has to be found locally.
According to my experiences, research and educational policies in Southern Africa do not always ideally tickle out the last piece of research and innovation capacity. Politically the role of academic potential is also often quite underestimated.
Dr Wolfram SchmidtDr. Dipl.-Ing.Senior ResearcherBAM Federal Institute for Materials Research and Testing, Dept. 7. “Safety of Structures”, Co-chair International Conference on Advances in Cementand Concrete Technology in Africa
CEMENT AND CONCRETE
I would be happy,
if my activities
would contribute
in a slight way to
motivate young
students and
researchers to
engage in research
and innovation in
construction and
infrastructure to
think out of the box
and to develop new
ideas.
www.captainsofconstruction.com66
Captains of Construction Leaders Book 2015; Leaders at the Steer of Infrastructure Development in Southern Africa.
INDUSTRY INSIGHT
ON THE GREATEST ACHIEVEMENTS IN INFRASTRUCTURE DEVELOPMENT
Unfortunately there is nothing significant that stands out for me, particularly in my areas of interest being Mining, Power and Industrial manufacturing and related infrastructure ie logistics, however, Transnet’s MDS programme to build infrastructure ahead of demand is encouraging.
ON CRITICAL ISSUES
The lack of specialised skills in all areas of infrastructure contracting- mechanical, civil, electrical and processing engineering. This results in a few major companies dominating this space and charging excessive pricing for their services. This makes it difficult for government or the end user to develop a viable sustainable business due to high capex costs which ultimately result in the costs being passed onto the consumer.
ON THE IMPORTANCE OF COLLABORATION BETWEEN PUBLIC AND PRIVATE SECTOR
Collaboration is crucial; government realises that as much as they want to develop local companies they need to ensure that the company has the relevant skills to execute the job timeously and within a reasonable cost. Government also needs to ensure there is sufficient competition between companies so as to lower the cost base. Relying on a few specialised companies will limit the growth.
ON LEAVING A LEGACY
I would like to leave a legacy that we have managed to develop infrastructure projects through innovation, utilising international expertise, developing local skills and lowering costs to develop long term sustainable projects.
Zaheer Surka Executive Director
Osho
CEMENT AND CONCRETE
I would like to
leave a legacy
that we have
managed to develop
infrastructure
projects through
innovation, utilising
international
expertise,
developing
local skills and
lowering costs to
develop long term
sustainable
projects.