Public Works and Infrastructure Minister Dean Macpherson has touted significant progress in cracking down on the “construction mafia”, with hundreds of arrests and convictions helping to stabilise the sector.

The construction mafia refers to criminal groups that demand a share of project contracts or payments, often through intimidation or violence.

Speaking at the 2025 National Construction Summit, in Ekurhuleni, Gauteng, on November 13, the Minister said law enforcement and industry partnerships had begun to turn the tide against the criminal networks that had long disrupted building projects, extorted contractors and delayed public infrastructure delivery.

Government’s response began with the signing of the Durban Declaration, in Durban, KwaZulu-Natal, on November 19, 2024, a joint initiative between the Department of Public Works and Infrastructure (DPWI), the South African Police Service and the National Treasury.

“The declaration was government’s line in the sand, a commitment to restore law and order to construction sites and end the reign of terror that was choking investment, delaying delivery and putting lives at risk.

“Since then, we’ve seen over 770 cases of construction-related extortion and intimidation reported across the country. Of those, 241 arrests have been made and, most importantly, 176 individuals have been convicted,” Macpherson said.

He said KwaZulu-Natal – previously regarded as the hotspot of construction-related crime – had experienced a “massive drop” in site disruptions. Incidents had reportedly declined from more than 60 a month last year to fewer than ten a month currently.

Macpherson attributed this reduction to a coordinated response between the police, business stakeholders and public entities.

As part of the government’s wider law-enforcement effort, dedicated hotlines have been established for communities to report project stoppages as they happen. Macpherson said police and private security agencies were now working together to dismantle the networks behind the intimidation and extortion.

Yet, he cautioned that policing alone would not solve the problem.

“Law enforcement is only one part of the equation and crime flourishes where systems fail,” he said.

He said the DPWI had worked to address structural issues, including unclear regulations, weak community engagement and poor project preparation, that made projects vulnerable.

To strengthen early engagement, Macpherson said government was in the process of finalising the Integrated Social Facilitation Framework, designed to involve local communities before projects begin.

“This means local communities will not only become meaningful participants in our projects but also our first line of defence against those who seek to disrupt them,” he said.

He said this effort to squash the construction mafia came amid renewed government efforts to revive the construction industry, which he described as a key driver of South Africa’s economic recovery.

Macpherson noted that 30 000 new jobs were created in the construction sector in the third quarter of this year, representing more than half of all jobs created during the period.

“This is no coincidence. It’s the direct result of reforms, partnerships and determination that the government is bringing to this industry,” he said.

Macpherson also highlighted reforms to support emerging contractors through a revitalised Construction Industry Development Board National Contractor Development Framework. The initiative includes a R300-million budget allocation to help smaller builders enter the formal system with better compliance and support.

Macpherson acknowledged that, despite the progress made in stabilising the construction industry, further action was required to restore investor confidence and ensure efficient project delivery.

He said one of the biggest challenges had been government’s slow payment processes and project approval delays.

“I also recognise that contractors have borne the brunt of our failure to pay on time and of being stuck in endless approval loops. That’s why, last month, [we] said: no more delays, no more excuses,” he said.

To improve delivery, Macpherson announced the adoption of the South African Construction Action Plan (SACCAP), approved in October. The plan sets out six key interventions aimed at fixing public-sector infrastructure performance. These included greater accountability, stricter budget controls, digitised project tracking, procurement reform through the introduction of Procurement War Rooms, improved audit outcomes and the professionalisation of the built environment.

“The work to implement SACCAP has already started, and we look forward to seeing the first interventions implemented as early as March next year,” Macpherson said.

He added that Procurement War Rooms would be established in all nine provinces and that a national blacklisting database is being developed to prevent repeat offenders from securing contracts. A new electronic resource planning infrastructure tracking system is also being piloted.

“Our hope is that SACCAP will directly address the negative perception of public construction projects and allow us to turn a new leaf towards delivery. With SACCAP, we hope to restore public confidence in the public sector’s ability to deliver, in order to work more closely with the private sector to turn South Africa into a construction site,” Macpherson said.

He acknowledged the need to cut red tape, noting that the current approval processes for large projects – which could take between 18 and 24 months – were incompatible with the country’s urgent infrastructure needs. He said the DPWI would explore targeted exemptions under the National Building Regulations to fast-track catalytic projects at the municipal level, particularly where delays are owing to administrative inefficiency.

He also proposed that all legislation and regulations governing the built environment be consolidated under one authority – the DPWI.

“As the custodian of public infrastructure, the DPWI is best placed to ensure that building regulations are coherent, enforced consistently, updated when necessary, and, where appropriate, flexible enough to enable quicker delivery,” Macpherson said.

He called for even closer collaboration between government and the private sector to sustain the momentum of recent reforms.

“We must build a new era of collaboration: one defined not by consultation without consequence, but by co-ownership, shared urgency and joint delivery,” Macpherson said.