The party raised concerns about G-Hostel in Thabong, Welkom, and the Dark and Silver City development in Mangaung following an oversight visit by members of the National Council of Provinces last week. It says both projects have consumed substantial public funds while delays, contractor failures and infrastructure problems continue. 

It emerged that 130 completed flats have effectively cost taxpayers an average of about R3.6 million each despite an initial planned cost of approximately R233,000 per unit. The investigation forms part of a much bigger housing crisis involving three Free State projects that have reportedly consumed around R1.2 billion over 12 years, amid failed contractors, delays, vandalism and escalating costs.

The department of human settlements reportedly needs another R401m to complete outstanding work at G-Hostel, while Dark and Silver City requires about R220m in unfunded costs. A Sunday Times investigation reported about R427m had already been spent on the Bochabela development, with only 130 flats ready for occupation.

DA spokesperson on human settlements in the Free State Legislature David McKay said G-Hostel had cost more than R608m and was about 67% complete. He said hundreds of completed units remained vacant because sewer and electricity infrastructure had not yet been provided, despite the project already costing nearly three times its original budget.

The Free State department of cooperative governance, traditional affairs and human settlements says the current administration inherited longstanding problems dating back to 2014. Spokesperson Zimasa Mbewu said MEC Saki Mokoena had introduced a phased approach to completing the projects while strengthening monitoring and contractor accountability.

McKay said repeated contractor appointments and rising costs required closer scrutiny. He alleged underperforming contractors were appointed, they abandoned projects and were later replaced, leaving government to pay again for repairs and unfinished work. The DA also questioned the repeated use of consultants while residents remained on housing waiting lists.

Mbewu said 130 units had been completed at Dark and Silver City, with 19 tenants already occupying homes and 99 applicants awaiting approval. At G-Hostel, 270 units had been completed, but occupation would begin only once bulk infrastructure problems had been resolved. Security has also been deployed to limit further vandalism.

The department says internal investigations are underway and officials are facing disciplinary proceedings over material irregularities identified by the Auditor-General of South Africa. Law-enforcement agencies are also investigating aspects of the projects. Mbewu said monitoring measures would continue to improve accountability and ensure lessons from earlier failures were incorporated.

The DA now wants full disclosure of spending on both projects, including details of contractors and consultants. It is also calling for a forensic investigation into repeated appointments and alleged political connections, efforts to recover wasted public money and the appointment of independently vetted contractors with proven records.

OFM News/Kekeletso Mosebetsi sm

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