Civilution Congress 2014 CESA: A CODESA of Infrastructure

Procurement

Panel DiscussionInfrastructure Procurement Civilution : Outcomes and Benefits to Society

Sustainability: Social, Economic and Environmental

Rodney MilfordRodney.Milford@cidb.org.za

• How can engineering services deliver value to participants in the process of delivery of engineering and infrastructure projects?

• job creation, transformation, skills development, contractor development, etc.

• The Three Trillion Question – What do we need to do differently?• a comparative assessment

Consulting Engineers of South AfricaProblem Statement

Infrastructure Procurement Civilution – A CODESA of Infrastructure Procurement

• How to effectively optimise the use of procurement of infrastructure to support, facilitate and achieve government’s socio-economic objectives with special reference to development and empowerment

• Development and empowerment are not an option but rather an imperative in a developmental state such as South Africa:• must be a cost / value threshold

Consulting Engineers of South Africacidb Practice Note; Balancing Delivery Development and Empowerment (draft)

Infrastructure Procurement Civilution – A CODESA of Infrastructure Procurement

• The Gauteng Schools example

• Key is to identify the most appropriate and affordable balance between competing objectives: • time, cost, quality• developmental outcomes

Consulting Engineers of South AfricaCompeting Objectives

Infrastructure Procurement Civilution – A CODESA of Infrastructure Procurement

• Labour intensive construction• Local Economic Development• Business opportunities for targeted sectors• Enterprise support and development programmes• Skills development opportunities to targeted labour• Primary health care programmes for construction

workers• etc.

Consulting Engineers of South AfricaContract Participation Goals

Infrastructure Procurement Civilution – A CODESA of Infrastructure Procurement

• Identify and decide on developmental objectives:• ideally this should be done in a participatory process

involving relevant stakeholders

• Set clear measurable targets

• Undertake a comparative assessment of developmental potential of various procurement strategies

Consulting Engineers of South AfricaIdentify and Commit to Objectives

Infrastructure Procurement Civilution – A CODESA of Infrastructure Procurement

• Final decision must remain with the client:• transparent

• Marginal or no cost increase?

Consulting Engineers of South AfricaConcluding Comments

Infrastructure Procurement Civilution – A CODESA of Infrastructure Procurement

THANK YOU Rodney MilfordRodney.Milford@cidb.org.za