The South African National Roads Agency Limited (SANRAL) has shown a strong interest in including small, medium and micro enterprises (SMMEs) businesses in major road projects. The Federation for Radical Economic Transformation (FFRET) expressed their delight at the inclusion of SMMEs in the multi-billion-rand road project for the expansion of the N2 and N3.
The project will see the N2 being upgraded from the KwaMashu interchange to the uMdloti interchange; as well as the N3 being upgraded from Cato Ridge to Dardanelles through to the Lynnfield interchange.
Skhumbuzo Ngcobo, spokesperson for the FFRET said they have been in conversation with SANRAL regarding the inclusion of SMMEs in the road construction project. He said, “It’s therefore imperative for big companies in all sectors to understand that local people understand local economic, political, and environmental dynamics so it’s for the benefit of all include them in local projects”.
The road reconstruction is expected to take up to eight years, as the phases of the project will be put to tender. Successful bids for tenders must be companies that have a B-BBEE-level 1 to 4 and subcontract a minimum of 30% of the value of the contract to SMMEs that are more than 51% black-owned.
Regional manager of SANRAL’s Eastern Region said, “Investment in road infrastructure upgrades provide an opportunity for generating economic growth, alleviating poverty, and reducing inequality”. Eight percent of each of the contacts will be mandated to be used on labour opportunities from local areas.
By Linda Buthelezi
