Stakeholders in Limpopo have expressed mixed reactions to the provincial infrastructure budget, with construction companies and small businesses calling for increased funding and faster project implementation while the provincial government emphasizes contractor accountability.
Calls for More Infrastructure Funding
The 2025 Medium-Term Expenditure Framework includes a R21 billion infrastructure budget, but some construction companies argue that projects are progressing too slowly. Contractors are urging the government to allocate more funds to bulk water projects and road construction, citing job creation as a key benefit.
“As a contractor, I would like the minister to focus on infrastructure strategy, roads, and water,” one contractor said. “If the budget is increased, there will be more job creation, and small businesses will benefit when contractors are working on these projects.”
SMMEs Struggle with Late Payments
Small, medium, and micro enterprises (SMMEs) say delayed payments and underspending on conditional grants—amounting to R122 million in the past financial year—are major obstacles. Youth-owned businesses, in particular, are pushing for more support in job creation and startup incubation.
“We struggle with jobs, paying employees, suppliers, rent, and transportation costs,” a young entrepreneur said. “It’s a challenge to employ more people when payments are delayed.”
The Forum of Limpopo Entrepreneurs, which relies heavily on government tenders, highlighted late payments and alleged corruption as major hurdles. The group is also advocating for a dedicated budget for large-scale projects to prevent unfinished work.
Government Demands Accountability
Limpopo Premier Dr. Phophi Ramathuba acknowledged the concerns but stressed that contractors must also be held responsible for incomplete or substandard projects. She announced plans for stricter screening during procurement and a provincial infrastructure summit to address construction sector challenges.
“Before blaming politicians, we must look at the professionals in the built environment,” Ramathuba said, referencing recent infrastructure failures like collapsing bridges. “We need regulatory bodies to ensure quality work.”
Moving Forward
As the debate continues, businesses hope for faster payments and more funding, while the government seeks better oversight. The upcoming infrastructure summit may provide a platform for resolving these long-standing issues.
