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The Democratic Alliance (DA) in Gauteng is pleased that Premier Panyaza Lesufi has finally accepted that his government has run out of money and does not have the expertise to build infrastructure. Cooperation with the private sector is the only option that the government has to circumvent a failed state.

In a recent portfolio meeting of the oversight committee on the Premier's Office and the Legislature (OCPOL), Premier Lesufi indicated that his administration wants to purchase hospitals from the private sector as opposed to building them. He further indicated that there were private hospital groups that would consider selling their hospitals to the government.

Premier Lesufi was responding to input from the DA, which warned him that he should have realistic expectations in terms of resolving infrastructure issues before the election in 2024. This input indicated that Gauteng was not able to implement new infrastructure or maintain existing infrastructure because of a lack of skill and expertise, poor management, and the use of unskilled contractors.

In response to the DA's input, the Premier accepted that infrastructure development was a weakness. He indicated that instead of building new hospitals, it may be more cost-efficient to purchase existing hospitals from the private sector. It is hoped that the government does not use the NHI proposal as a perverse incentive to force the private health sector to sell some of its assets.

This approach by Gauteng opens the door for new models of infrastructure development to be introduced, whereby the private sector builds and maintains infrastructure while it is operated either by the government or the private sector. This is a model that the DA favours and would apply once it takes over government.

Issued by Alan Fuchs MPL - DA Gauteng Shadow MEC for Infrastructure Development