DPWI and PMTE Audit Action Plan; DPWI and PMTE Annual Performance Plans 2026/27; with Deputy Minister

Video Annual Performance Plan (APP) of Government Departments & Entities 2026/27 The Committee received a briefing from the Department of Public Works and Infrastructure (DPWI) and the Property Management and Training Entity (PMTE) on their 2026/27 annual performance plan (APP) and audit action plan (AAP). The DPWI reported on the audit outcomes for the main account, and said it had received a qualified audit opinion on the Expanded Public Works Programme (EPWP) and the Real Estate programme due to inadequate evidence, including alleged falsification of documents. The PMTE had received a qualified audit opinion with qualification matters increasing from four to six, including issues with leases and payables. Material irregularities reported included the underutilisation of Telkom Towers, with a potential financial impact of R592 million, lease overpayments of R4.4 million, which had been referred to the Special Investigating Unit, and maintenance failures at the Shepstone police station. The Department reported that it had administered 47 000 EPWP work opportunities, of which 3 000 had been verified, and that assessments of irregular expenditure were 62% complete. The Department’s APP outlined a strategic shift towards leveraging technology and digitising systems, aligned with government priorities of inclusive growth, poverty reduction, and a capable state. It reported targets including one million EPWP work opportunities over the medium term, 5162 work opportunities under construction project management, and the "Operation Bring Back" programme to recover illegally occupied properties. The Department also reported a total medium-term budget of R24.5 billion for the main vote and R56.7 billion for the PMTE, and confirmed that National Treasury had rejected its requests for a 20% increase in accommodation charges, the reinstatement of Department of Correctional Services and Department of Defence baselines, and a 50% debt settlement agreement. The Committee asked for further details on the Telkom Towers forensic report, which the Minister had reportedly declined to release, and for clarity on whether the matter would be referred to the Special Investigating Unit. Members expressed concern about the condonation of R511 million in irregular expenditure, and asked what consequence management had been applied. They questioned whether the Department was structured correctly to respond to its mandate, given the recurring qualification challenges. They questioned how much of the R6 billion EPWP allocation actually reached workers, and how much was lost to non-governmental entities along the way. Concerns were raised about the slow pace of Operation Bring Back in recovering illegally occupied properties, with Members asking for a breakdown of the 1 900 reported properties across all nine provinces and for an assessment of the programme's return on investment. They questioned why only one building had been identified for solar panels out of 88 000 properties, and why the APP did not reflect achievements from the previous financial year, making it difficult to assess whether targets were feasible. The Committee expressed concern about the financial sustainability of the PMTE, noting that projected revenue had decreased while compensation costs had increased, and asked for the Department's revised financial recovery plan following National Treasury's rejections. Members also raised concerns about the lack of a fully verified, digitised asset register, the number of delayed infrastructure projects, and the dilapidated condition of the Department's own head office.