Infrastructure maintenance backlog to result in more tenders

17th February 2012

There is a significant maintenance backlog in the water and wastewater sectors, with much of the infrastructure requiring recapitalisation, which should result in a lot more tenders going out to the market, says specialist maintenance service company Bosch Munitech MD Steve McCarley.

He says government has begun addressing the backlog, but notes that leadership at municipal level needs to be strengthened and more atten- tion must be paid to operations and maintenance to ensure recapitalisation gains are maximised.

“Resources, both human and financial, need to be directed towards an inte- grated solution that includes skills development, rehabilitation, refurbishment and operations and maintenance of infrastructure, which is crucial to guarantee that the recapitalisation’s value is fully realised, as well as that the life of infrastructure is prolonged,” he states.

Meanwhile, infrastructure engineering company Bosch Stemele, a subsidiary of Bosch Holdings, says it is witnessing increased activity in roads rehabilitation opportunities at both national and local levels.

“We are currently busy with and in the running for a number of large projects in the roads sector where the company is focusing on increasing its footprint,” says Bosch Stemele MD Max Stemele.

He adds that the subsidiary’s water, wastewater and hous- ing divisions also have good order books, even though private-sector development work is currently lagging.

“Private-sector development is currently slow but there are signs that things are picking up, and we are hopeful that work from major infrastructure parastatal clients like Eskom and Transnet will result in work flow to the industry over the next period.”

Stemele says promulgation of the new Preferential Pro- curement Policy Framework Act regulations is a positive development for the industry and will result in standardi- sation of criteria with efficiency benefits resulting from improved consistency.

“Bosch Stemele is recog- nised as a Level 2 broad-based black economic-empower- ment contributor in terms of the construction charter, which is a clear indication of our commitment to trans- formation,” he adds.

Sector Challenges
It is well known that local and district municipalities, and even some metropolitan municipalities, are struggling with capacity, which can compromise the delivery of infrastructural services to communities, says Stemele.

He says this, to a large extent, together with local and global economic con- ditions, accounts for the decrease in infrastructural spend that is negatively impacting on the industry.

“The result is that the sig- nificant capacity developed over the period leading up to the 2010 World Cup is now underused, which is ironic considering the desperate need for the provision of basic engineering services in South Africa,” he explains.

Bosch Stemele says main- tenance of infrastructure is critical and, while it is pleasing to see the South African National Roads Agency, as well as some metropolitan municipalities, spending money in this area, it believes there are a number of areas in dire need of investment, including housing and muni- cipal services.

“It is recognised that rehabilitation of municipal infrastructure that has fallen into disrepair costs much more than ongoing maintenance does. “Spending to reduce back- logs will facilitate economic growth opportunities, create jobs and simultaneously resuscitate the industry,” states Stemele.

Skills Development
Through its Bosch Ulwazi in-house training academy, Bosch Holdings provides enterprise development, socioeconomic develop- ment and skills development services.

Further, the company awards bursaries every year, mainly to previously disadvantaged students, which, together with a structured performance appraisal and mentoring system, underpins Bosch’s development programme.

“Bosch Holdings recognises that people are a company’s most important resource and that training and skills development are vital if employees are to reach their full potential,” concludes McCarley.