Human Settlements Committee demands urgent action on stalled housing projects

Parliament’s Portfolio Committee on Human Settlements has expressed concern over delays by the Social Housing Regulatory Authority (SHRA) in producing a plan to unblock stalled housing projects across the country.

The committee met on Friday with the Minister of Human Settlements, senior departmental executives and entities reporting to the department, where frustrations over the lack of progress came to the fore.

Committee chairperson Nocks Seabi said the delay was unacceptable, particularly given the scale of the housing backlog and the impact of stalled developments on vulnerable communities.

“The committee has placed the unblocking of blocked projects as a major strategic output of this term and the delay in producing a plan is unacceptable, to say the least,” Seabi said.

“The entity and its board have a responsibility, not only to the department and Parliament, but to the people of South Africa directly affected by delays brought about by blocked projects.”

As a result of the delay, the committee resolved that it would not consider any SHRA report that has not first been presented to the Minister of Human Settlements and received concurrence from National Treasury.

Seabi said the committee had already given the Minister time to engage the authority.

“We have given the Minister space and time to engage SHRA to emphasise the importance of this plan and the urgency needed to produce and implement it,” he said.

The SHRA is expected to submit a comprehensive report detailing a full list of blocked projects, the impact of the stalled developments, funding sources and financial instruments to be used to unblock them. The authority will be invited to formally table the report at a future meeting.

The committee also turned its attention to governance issues at the National Housing Finance Corporation (NHFC), where it welcomed signs of improvement under a new board.

Members noted progress under a turnaround blueprint titled “Reposition and Recalibrate the NHFC for Optimal Performance”, aimed at strengthening operations, rebuilding institutional capacity, restoring public confidence and improving staff morale.

However, the committee raised alarm over critical executive vacancies, including the absence of a chief information officer, chief people officer, chief risk officer, chief financial officer, chief operations officer and corporate finance executive.

The board was urged to urgently fill these positions to ensure the effective implementation of the turnaround strategy.

The committee further welcomed the precautionary suspension of the NHFC chief executive officer and company secretary pending an investigation into allegations of financial misconduct, including possible contraventions of the Public Finance Management Act (PFMA), governance irregularities and interference in human resources processes.

Members urged the board to conclude the investigation swiftly to avoid prolonged suspensions and supported the implementation of lifestyle audits for senior executives and supply chain officials in collaboration with the Special Investigating Unit, saying the move would strengthen governance and accountability.

On property acquisitions by the Housing Development Agency (HDA), the committee welcomed the strategic purchase of buildings located near economic centres, noting their potential to reverse apartheid-era spatial planning patterns that continue to marginalise low-income communities.

However, members cautioned that acquisitions must be matched by clear development and occupation timelines. Delays, they warned, could result in illegal occupation and undermine the intended objectives of the projects.

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