Government has spelled out details of how the new Property Management Trading Entity (PMTE) will operate, after Cabinet last week approved the establishment of the entity to be located within the Ministry of Public Works.
Public Works Minister Thulas Nxesi told reporters last Tuesday that the new entity would, among others, help the department to better manage the State property portfolio.Unlike other agencies, the PMTE will not have a board and will report directly to the Minister of Public works and the Director-General. An advisory committee may be formed in the future to advise the Minister on technical issues.
It’s a culmination of two years of work and part of the Department of Public Works’ Turnaround Strategy, which aims to tighten the screws on how the department deals with managing its approximately 11 000 properties.
The department has come under fire in recent years over its handling of some of the State leased properties.
But Public Works Minister Thulas Nxesi told reporters last Tuesday that the new entity would, among others, help the department to:
- Better manage the State property portfolio;
- Implement cost savings to client departments;
- Utilise the State’s vacant properties productively and
- Improve the quality of government services and quality of public buildings.
Minister Nxesi said the department’s own audit findings show that approximately 30 000 state buildings were not being used.
“Instead of using our own accommodation, the trend has been towards leasing-in for government accommodation,” he said.
Over 2 700 properties were being leased at the cost of R3.2 billion.
The department has also identified properties which may have been illegally transferred from the State.
“These will be forensically investigated and action taken as part of bringing back campaign,” Minister Nxesi said.
The PMTE is expected to be operational by November.
“Having appointed key strategists and management, we are not going to delay,” Minister Nxesi said. - SAnews.gov.za
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