The City of Cape Town was allocated R111 Million in March 2023, with the intention to relocate 16 informal settlements that are currently on unsafe land that is prone to flood disasters and those that are residing on the PRASA line in Khayelitsha.
- A stakeholder meeting between the National Department of Human Settlements: Informal Settlements & Emergency Housing branch (NDHS); Western Cape Department of Human Settlements (WCDHS), Housing Development Agency (HDA) and the City of Cape Town on the 22nd of May 2023 to deliberate on the progress of this relocation process and the challenges thereof. It was then reported to the meeting that the HDA has proactively procured two land parcels that at a cost of R72 Million, with the intention of fast-tracking the relocation process. However, the challenge is that the City of Cape Town doesn’t have a funding agreement with HDA that will enable the municipality to transfer funds to HDA for the land parcels and to be the implementing agent for the provision of basic services. Therefore, it was then resolved from this meeting that an urgent meeting between NDHS, National Treasury (NT) and City of Cape Town (CCT) to conclude on the most legally viable approach to resolving this matter, which might warrant a possible rollover of funds considering the 30th of June 2023 end of the financial year.
- During the 2023 Budget vote the Minister pronounced that the HDA has been appointed as the implementing agent for upgrading all informal settlements in City of Cape Town, as a strategy to improve the pace.
- A follow-up meeting between NDHS, NT, WCDHS and CoCT will be convened before the end of July, to conclude the financial and non-financial implementation plan for this project and a final report will be submitted to the Minister of Human Settlements for consideration and approval.