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Bani Kgosana

Logistics
Other

President’s R940-billion infrastructure push hinges on maintenance and asset management to succeed

10 Feb 2025 - by Bani Kgosana
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President Cyril Ramaphosa's commitment to invest R940 billion in infrastructure over the next three years is a decisive step toward economic growth.

However, the success of this investment hinges on effective maintenance and asset management—areas where South Africa already has proven solutions.

Ramaphosa's commitment to infrastructure investment creates an opportunity to build a more functional and efficient public infrastructure network.

But, as we've learned from our work across 46 countries, successful infrastructure development isn't just about building new assets – it's about maintaining them effectively.

The President's State of the Nation address (Sona) highlighted that many municipalities lack technical skills and aren't reinvesting revenue into infrastructure upkeep. This is precisely where South African innovation and expertise can make a difference.

 We've seen first-hand how proper asset management can transform service delivery. When a large metro's electrical support services implemented our solutions, they achieved a 2 500% increase in operational output. This isn't just about maintaining infrastructure – it's about maximising the return on every rand invested in public assets.

The Sona’s emphasis on establishing professionally managed utilities for water and electricity services aligns with the successful models engineering firm Pragma has already implemented. In the healthcare sector, for instance, Pragma's partnership with Tsebo at Albert Luthuli Hospital in KZN demonstrates how public facilities can achieve excellence through proper asset management.

The President spoke about the positive impact of scheduled maintenance at Eskom, which has led to more than six months without load-shedding. This approach can transform water management, healthcare facilities and other utility services.

Pragma has provided solutions for several municipalities. These include financial management, fleet, water and waste asset management solutions that resulted in massive savings, lower environmental risks and significant efficiency gains.

In his speech, President Ramaphosa said: “As we work to reform the public service and build the capability of the state, we will harness technology to transform the way that government works.”

Pragma agrees that technology is transformative. Its experience shows that successful infrastructure management requires three key elements:

  • Smart technology deployment through solutions like Pragma’s ‘On Key’ enterprise asset management software
  • A network of skilled local contractors who can respond quickly to maintenance needs
  • Rigorous tracking and reporting systems that ensure accountability.

The company's approach has already delivered significant savings for public institutions. In one metro's refuse management department, something as simple as proper tyre management saved R10 million annually, while the solid waste department reduced overdue vehicle services by 90%.

We're calling on municipalities and government institutions to embrace proven South African solutions. Let's ensure this historic infrastructure investment delivers lasting value for all South Africans. 

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