IDT and Agrément South Africa 2026/27 Annual Performance Plans; with Ministry

Annual Performance Plan (APP) of Government Departments & Entities 2026/27 The Portfolio Committee received briefings from the Independent Development Trust (IDT) and Agrément South Africa (ASA) on their 2026/27 Annual Performance Plans and strategic priorities. The IDT reported improvements in infrastructure delivery, with completed projects increasing to 248 in 2024/25, and a target of 164 projects for 2026/27. Performance on projects completed within budget improved to 90%, while on-time delivery improved from 22% to 47%, with a target of 60%. However, job creation declined significantly, with construction work opportunities dropping from a peak of 40 228 in 2025/26 to 3 914 in 2026/27, and Expanded Public Works Programme (EPWP) opportunities declining from 109 871 in 2022/23 to a projected 34 946. Transformation indicators also reflected regression, with expenditure on designated groups decreasing from 90% to 55%. Financially, IDT projected programme expenditure of R4.65 billion for 2026/27 and aimed to improve its management fee collection ratio from 64% to 90%, while maintaining a vacancy rate of 10% and achieving full compliance in paying invoices within 30 days. ASA reported that it would increase the number of certificates issued from 15 to 18 in 2026/27. The entity operates with a budget of approximately R39.2 million and a staff complement of 33 approved positions. It highlighted key constraints, including the absence of a testing laboratory, reliance on external technical expertise, and the voluntary nature of certification, which limits enforcement. ASA indicated that it is pursuing amendments to its enabling legislation to make certification mandatory and is working to improve revenue generation and stakeholder partnerships. The entity also acknowledged limited public awareness and challenges in tracking the uptake and impact of innovative construction technologies. Key achievements noted included IDT’s improvement in project delivery efficiency and ASA’s ongoing efforts to strengthen certification processes and partnerships. However, both entities highlighted significant constraints, including limited funding, capacity challenges, and external dependencies affecting performance. During the discussion, Members raised concerns about the sharp decline in EPWP work opportunities and the broader impact on unemployment, questioning the alignment between increased infrastructure spending and reduced job creation. Members also raised concerns about high litigation costs at IDT, estimated at approximately R16–17 million, and requested a breakdown between internal disciplinary matters and client-related disputes, as well as a plan to reduce these costs. Questions were also raised about IDT’s contracting model, particularly the shifting of risk to client departments, and the slow progress in filling critical posts. Regarding ASA, Members had questions on reputational risks arising from certified products that failed in practice, citing oversight findings in areas such as the Eastern Cape. They questioned the adequacy of certification processes, the lack of post-certification monitoring, and the absence of technical capacity within the organisation. Members highlighted the lack of a testing facility as a major limitation and a missed opportunity for revenue generation, and suggested that government property could be used to address this gap. Concerns were also raised about ASA’s reliance on government funding, limited public visibility, and its ability to demonstrate value and impact in the sector. Members further raised issues relating to weak enforcement mechanisms, low uptake of innovative technologies, and the need for stronger coordination across government entities. Questions were also posed on whether ASA is appropriately located within the current departmental structure, given its role in innovation and certification. The Deputy Minister acknowledged the concerns raised, particularly regarding the limited visibility of ASA and the need for improved coordination within the Department of Public Works and Infrastructure (DPWI). He indicated that the Department would consider proposals relating to the use of government land for testing facilities and would engage internally on funding and programme priorities. The Committee noted that both IDT and ASA are institutions in transition, with evidence of improvement but ongoing structural challenges. Members emphasised the need for strengthened capacity, improved accountability, and a greater focus on measurable socio-economic impact, particularly in job creation and infrastructure delivery. The Committee resolved that outstanding responses be submitted in writing and that both entities continue to engage with the Committee on progress made.