I wish to re-iterate that the Department of Human Settlements is no longer undertaking any new rectification projects using funds which form part of budget vote of the Department. The management of the process to remedy structural defects is now the mandate and responsibility of the NHBRC. The NHBRC has been empowered with required legislation and processes to ensure that remedial measures are effected in conjunction with the contractors who built the houses and where necessary, contractors may be sued where contractual terms were not satisfied.
All rectification proposed to be funded by our budget is being phased out while taking cognisance of the contractual obligations in respect of approved projects. The primary focus of our funding remains the provision of new housing opportunities consistent with the Medium Term Strategic Framework.
I have been informed by the NHBRC that it has itself not incurred expenditure on structurally rectifying subsidy houses. The NHBRC has conducted assessments and the findings on poor workmanship have had consequences for the responsible contractors.