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Daily Maverick
6 days ago
- Business
- Daily Maverick
Now is the time for the Western Cape to step up — with urgency and common purpose
In my government, every second, every day and every year matters. There's a saying I often return to: 'Without a sense of urgency, desire loses its value.' For me, that urgency hasn't faded – it's only grown stronger. It's what drives my team and I to deliver every day on the mandate we've been given. But I've always believed that the Western Cape's success is inseparable from the success of South Africa as a whole. As political leaders, we come from different backgrounds, but we share a common responsibility: to serve our residents and shape a future where everyone has the chance to thrive. Partnership and coalition-building are part of my DNA. Progress happens when we work together, with a shared focus on helping businesses grow and create jobs, and equipping people with the skills they need to take up those opportunities. And we must do this work with urgency. While I am confronted by the immense challenges we still face, I'm also proud of the progress we've made in areas that matter most to our residents: jobs, energy, safety, water security and good governance. We've consistently maintained the lowest unemployment rate in the country – currently 19.6%. In the first quarter of 2025, the Western Cape added 121,000 jobs year-on-year, which is four times the number created by Gauteng, which added 30,000 jobs over the same period. Quarter-on-quarter, the Western Cape added 49,000 jobs, while Gauteng added 9,000. These are not just statistics, they mean that more people are able to build a better life for themselves and their families. It was an honour to see our government's Growth for Jobs Strategy recognised by the Cape Chamber of Commerce this month. What makes this especially meaningful is that the recognition came from organised business, the very community we're working to enable to create more jobs. When the businesses we want to help tell us we're on the right track, it's a sign that we're getting something right. But four out of five people employed is not good enough – that is why I have made economic growth and job creation the number-one priority of my government for this term. We know that a growing economy needs a strong infrastructure foundation. Our newly announced Western Cape Infrastructure Framework 2050 is a long-term vision for how we, together with our partners in government and the private sector, will create the right conditions for our economy to grow and for people to thrive. But infrastructure isn't just about concrete and steel, it's about dignity, access and opportunity. I'm especially encouraged by the progress we've made on affordable housing projects like Leeuloop, and many more that will get off the ground this term. To support our vision, the Western Cape government is allocating R9.83-billion to infrastructure in the 2025/26 financial year, as part of a broader R27.9-billion investment over the next three years. This is how we lay the groundwork, not just for growth, but for real, lasting impact in the lives of our residents. We are also making significant strides in healthcare infrastructure development, prioritising modernisation and accessibility for underserved communities. We have invested R86-million in the construction of Eerste River Hospital's Acute Psychiatric Unit (APU), which is part of a bigger initiative to build APUs at health facilities across the province at a cost of R279-million. In May, we officially launched 63 new and replacement mobile clinics, replacing 57 outdated mobile clinics and adding six new units to strengthen the School Health Programme. These mobile clinics serve rural and remote communities across the province, providing essential healthcare services such as preventative care, vaccinations and chronic medication. Safety remains a top priority for me, as anyone who's spent more than five minutes in my company will know, because no economy can grow, and no community can truly thrive, if people don't feel safe. Our LEAP programme, in partnership with the City of Cape Town and part of the Western Cape Safety Plan, is making an impact. We've recorded three consecutive drops in the murder rate, and we continue to push for our fair share of policing resources and powers from the national government to protect every resident, because crime is still devastatingly high. By addressing safety through evidence and data, we adapt our strategies, as we have with our double-up deployment of LEAP resources. This was a very difficult decision – to take resources away from some areas and double-up in the worst-affected areas. But tackling crime is complex, and we must be agile. Since the second half of 2024, LEAP has been deployed in six high-priority areas: Delft, Nyanga, Philippi East, Gugulethu, Khayelitsha and Mitchells Plain. Of these, there were decreases in Gugulethu of 39.7%, Khayelitsha of 9.5%, and Nyanga of 12.5%. Worryingly, there were increases in Delft of 1.5% and Philippi East of 63.9%. This suggests that our approach can make a difference, but we still have so much more to do. In our schools, we are investing heavily in giving pupils the best possible start in life. Our Rapid School Build programme is building more schools faster than ever. So far, we have completed 15 new schools, in communities where demand for school places is highest. Over the next three years we aim to complete 29 new and replacement schools in the Western Cape. Our matric class of 2024 made us very proud, achieving the highest pass rate yet for the province (86.6%), the highest bachelor's pass rate yet for the Western Cape (47.8%) and the top mathematics pass rate in the country – to name just a few accolades. We've also made real progress on energy, a key foundation for a bustling economy. Through our Energy Resilience Programme we've added 1,000MW of non-Eskom energy to the grid, with another 1,000MW in the pipeline. That's nearly R7-billion invested to protect households and businesses from the uncertainty of load shedding. But resilience and securing future economic growth isn't just about electricity: it's about water too. Our Water Resilience Strategy will help us protect this vital resource for generations to come. It's grounded in the same forward-thinking, science-led approach that helped us avoid Day Zero just a few years ago. And underpinning it all is a strong foundation of good governance. For the second year in a row all 14 provincial departments and 11 public entities have received clean audits. That's not just good financial management, it's a signal to investors, partners and residents that their money is being used wisely and transparently, and that we are building a foundation for our residents to live lives that they value. While I am proud of our progress, I'm far from satisfied. There is still so much more to do. And in these tough economic times, we have to do more with less. That means working smarter, acting faster, thinking bigger, and never settling for second-best. We know we can't afford to go backwards. Too many South Africans are still out of work. Too many families still feel unsafe. And too many communities are still waiting for the change they've been promised. That's why I feel that urgency in my bones. It's why I show up every single day determined to keep pushing forward. If there's one thing I've learnt, it's this: the Western Cape succeeds because we step up. We don't wait for permission. We don't make excuses. We get things done. We plan, we partner, we innovate – and above all, we deliver. And in the time I have left in office I will continue to do everything I can to drive success, not only for this province, but for South Africa. DM
Mail & Guardian
25-05-2025
- Business
- Mail & Guardian
Social housing is essential, but should it be rental-only?
Housing: Leeuloop Precinct Development in Cape Town, along with two other proposed mixed-use projects, will provide much needed affordable rental accommodation in the innter city. Photo: Supplied Protesting for social housing across South Africa has been a long-standing, contentious issue. I recently wrote about the first inner-city affordable housing development announced by the Western Cape government in Cape Town's city centre. The Leeuloop Precinct Development will have about 840 residential units and consist of two towers on a 3 000m2 erf owned by the city. The towers will have 18 to 20 storeys with retail on the ground floor. Tower One will consist of 490 open market units, while Tower Two will have about 350 social housing units. Funding for this project is a mix between private and public. Completion of this project is expected to be in 2027-28. As far as sustainability goes, the plan is to have a four star green building, and level one (construction waste) net zero carbon certification from the Green Building Council of South Africa. Leeuloop is one of three mixed-use developments that will tackle the issue of affordable housing in Cape Town. The other two are Founders Garden and Prestwich Precinct. With more than 7 000 apartments and 3 300 businesses in the inner city, these developments, with an almost 50/50 split of social housing units, should make quite an impact. This got me thinking about a thought-provoking question I was recently asked: 'What's your opinion on the fact that social housing is rental only?' It's a simple question on the surface, but the answer digs deep into issues of policy, economics, empowerment and our country's painful history of inequality. It brings into sharp focus the delicate balance between accessibility and opportunity, between preservation and progression. First things first: social housing in South Africa is intentionally rental-based. It's part of the policy framework designed to address a huge and ongoing housing shortage for low- to middle-income households. People who qualify for social housing subsidies live in households that earn R3 000 to R22 000 a month. They are too 'rich' to qualify for RDP housing but are not earning enough to qualify for bonds in the traditional property market. This group has long been squeezed out of ownership opportunities and quality rentals. Social housing aims to fill that gap, providing safe, dignified, well-located accommodation at below-market rentals. And here's the key: if these units were made available for purchase, they'd probably be flipped. Imagine someone buys a unit at a subsidised rate, holds it for a short period and then sells it at market value. This is great for the seller, but it's not so for the next buyer, who now has to fork out more for what was meant to be an affordable unit. Especially in areas such as Cape Town's inner city, where property prices offer potential capital growth and promising yields that will soar far beyond the stipulated social housing rates. This is what's known as the 'honeymoon period problem'. Ownership might be the dream, but without strong controls in place, it opens the door to speculation and profit-making. Before long, what was meant to serve the working class becomes unaffordable again. We have also observed that when people receive their RDP houses, many choose not to move in. Instead, they live in more affordable accommodations and rent out the property. I don't have an issue with this entrepreneurial approach to creating an income stream — the money is still circulating in the South African economy — but I do have concerns about this flaw in the RDP housing system. So, yes, when it comes to social housing, rental-only keeps the asset in the social housing ecosystem. It ensures long-term affordability. It allows the units to cycle through tenants who need them, instead of disappearing into private hands. But here's the catch. Ownership equals empowerment. As much as I understand the logic behind rental-only housing, I can't ignore what ownership represents, especially in South Africa. It is still one of the most powerful tools for wealth creation. It allows people to build equity, borrow against their assets, and leave something behind for the next generation. It's also psychological. Owning property gives people a sense of stability, control and dignity that renting doesn't always offer. And, more importantly, it helps people move out of the social housing system. If we want social housing to be transitional and not permanent, we need to give people a pathway to progress. That path usually includes ownership. So now we've got a problem: on one hand, we need to protect affordable stock. On the other, we need to create a system that doesn't just house people, but also uplifts them. Is there a middle ground? Yes, this doesn't have to be an 'either-or' debate, but it's tricky. What we need is a tiered model — a more nuanced approach that accommodates both access and advancement. Over the years, I have familiarised myself with a few ideas that have been floated in policy circles, and that I believe deserve more airtime. Rent-to-buy schemes allow tenants to rent a unit for a fixed number of years, with the option to buy after that period, often at a discounted rate. This gives them time to build financial stability while creating a clear pathway to ownership. Then there is the shared equity ownership model. This is when a housing institution retains part ownership of the property, while the resident buys a share. This limits resale profits and keeps the unit partially in the public domain, while still allowing residents to build some equity. We could also look at the concept of capping resale prices. This solution is slightly more controversial, but worth exploring. Some developments internationally allow owners to sell — but only at a capped return (linked to inflation or a fixed formula). That way, people benefit from ownership, but can't exploit the system. Last, maybe the core of social housing stock stays rental-only, but adjacent units or pilot schemes within a development are made available for sale under stricter rules. Essentially, this would be ownership of non-core units. This creates a dual system that caters to both short-term needs and long-term growth. The goal with social housing should always be to give people the tools to move forward, not to keep them stuck in a system that only meets their basic needs. We have to think long-term when it comes to social housing. We have to find ways to protect affordability and create opportunity, to keep the public good intact, and to support private growth. It's not easy, but it's not impossible either. I understand why social housing is rental-only. It makes sense. But we also need to keep asking the tough questions: are we just housing people, or are we helping them build a future? If it's the latter, then ownership — even if limited, delayed or carefully managed — has to be part of the conversation. Because real transformation isn't just about where people live, it's about what they can build from there. Ask Ash examines South Africa's property, architecture and living spaces. Continue the conversation with her on email (
