Page 184 - Provincial Treasury Estimates.pdf

Department: +HDOWK
7.6 Departmental Public-Private Partnership (PPP) projects

Table 10: Summary of departmental Public-Private Partnership (PPP) projects

Annual cost of project Main Adjusted Revised estimate Medium-term estimates % change from
Outcome appropriation appropriation
R thousand 2019/20 2020/21 2021/22 2022/23 2023/24 2024/25 2025/26 2022/23
Projects signed in terms of Treasury Regulation 16 61 380 64 589 64 836 7 883 6 275 6 275 10 870 11 358 11 867 73.2
PPP unitary charge 1 60 000 60 000 63 300 6 275 6 275 6 275 9 191 9 604 10 034 46.5
of which:
for the capital portion (principal plus interest) – – – – – – – – –
for services provided by the operator – – – – – – – – –
Advisory fees 2 – – – – – – – – –
Project monitoring cost 3 1 380 4 589 1 536 1 608 – – 1 679 1 754 1 833
Revenue generated (if applicable) 4 – – – – – – – – –
Contingent liabilities (information) 5 – – – – – – – – –
Projects in preparation, registered in terms of 67 583 69 196 73 001 5 069 5 069 5 069 5 292 5 530 5 778 4.4
Treasury Regulation 16*
Advisory fees 4 350 4 589 4 841 5 069 5 069 5 069 5 292 5 530 5 778 4.4
Project team cost 63 233 64 607 68 160 – – – – – –
Site acquisition – – – – – – – – –
Capital payment (where applicable)6 – – – – – – – – –
Other project costs – – – – – – – – –
Total 128 963 133 785 137 837 12 952 11 344 11 344 16 162 16 888 17 645 42.5
Table 10 above shows the summary of expenditure on PPP projects. PPP spending decreased from

R128.963 million in 2019/20 to R11.344 million in 2022/23 on the three on-going Port Alfred, Settlers
Hospital and Humansdorp Hospital PPP projects. The budget shows a positive growth of 42.5 per cent

from R11.344 million to R16.162 million when compared to the 2023/24 revised estimate.

The private party has given notice to the department of the termination of the colocation PPP within the
Port Alfred and Settlers Districts Hospitals. Legal processes are continuing.

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