Low-income housing in the post-apartheid era: towards a policy framework for the Free State
Marais, Johann Georg Lochner
English: This thesis titled “Low-income housing in a post-apartheid era: towards a policy framework for the Free State” is conducted as one of the first thorough analyses on housing policy in a single province since 1994. Furthermore, it is also conducted against a background where limited regional guidelines exist for investment by provincial government departments. The thesis poses the question as to ‘who should receive what where’ in terms of low-income housing investment in the Free State. The thesis starts off by assessing changing international trends in low-income housing policy and the role of the World Bank. The shift from the provision of formalised housing to site and services is analysed from the individualistic perspective of Turner and the economic model of the World Bank. The approach of the World Bank to housing in the early 1990s suggested that targeted housing subsidies should be provided to the poor – but mainly for infrastructure and not for the housing structures themselves. Furthermore, the emphasis on sustainability since the early 1990s and its impact on housing policy are also discussed. This international perspective is followed by an assessment of various policy documents directly or indirectly linked to housing in South Africa since 1990. South African policy was labelled a victory for width over depth because a smaller product that had to reach as many people as possible was introduced. It has been found that despite various similarities between the South African and the World Bank policies, the main difference lies in the fact that South African policy also proposed a housing structure. So, to some degree, South African housing policy - according to the World Bank - could have had more width (reaching more people) if infrastructure only had been provided. The South African policy is clear on who should become end-beneficiaries and what they should receive. However, regional guidelines for housing investment (where) in South Africa or the provinces are virtually non-existent. Housing policy in the Free State has placed more emphasis on the housing structure itself by emphasising that housing units of 40m2 should be constructed – thereby laying more emphasis on depth. However, this resulted in housing subsidies being allocated to areas where land was cheap, or where planned stands were available. Consequently, housing investment favoured small towns and middle-order towns at the expense of larger urban areas. Though some progress was actually made between 1999 and 2001 to improve on the delivery in larger urban areas in the Free State, this was achieved at the expense of municipal finance, or it required deposits from beneficiaries - which in turn excluded the poor from accessing housing subsidies. The emphasis on the size of housing further resulted in housing finance being focused only on the poor and not distributed proportionally between the income groups that were able to access the housing subsidy. As low-income housing delivery in the Free State focused mainly on the top structure and was aimed at existing stands, the infrastructure levels of housing projects in the Free State are significantly lower than in the rest of the country, and, no informal settlement upgrading has thus taken place. Against this background, the thesis proposes that the pro-poor and targeting nature of the low-income housing subsidy should be maintained; obstacles in policy that prevent private sector finance from supporting the subsidy should be minimised; the rationale for low-income housing subsidies in the Free State should be reconsidered; housing subsidies should be available incrementally; final decision-making on how to spend the subsidy should be done at the local level; low-income housing should accommodate urban growth; the emphasis on 40m2 should be reconsidered; further, there should be emphasis on width and not depth; and, a regional framework for the allocation of investment of low-income housing, based on housing need, demographic trends and economic potential, should be implemented.
Afrikaans: Hierdie studie getiteld: “Lae-inkomste behuising in ‘n post-apartheid era: op weg na ‘n beleidsraamwerk vir die Vrystaat” is een van die eerste volledige analises sedert 1994 ten opsigte van die behuisingsbeleid binne ‘n enkele provinsie. Dit word gedoen teen die agtergrond van beperkte riglyne vir provinsies aangaande investering deur departemente van provinsiale regerings. In hierdie tesis word die volgende vrae gestel ten opsigte van investering vir lae-inkomstebehuising in die Vrystaat: “wie” moet “wat” kry en “waar” moet dit voorsien word? Die tesis begin met ‘n assessering van die veranderende internasionale tendense in lae-inkomstebehuising, asook die rol van die Wêreldbank. Die individualistiese perspektief van Turner en die ekonomiese model van die Wêreldbank word in die proses gebruik om die verskuiwing van formele behuisingsvoorsiening na erf-en-diensskemas te analiseer. Die Wêreldbank se benadering tot behuising in die vroeë 1990s het behels dat doelgerigte behuisingsubsidies aan armes verskaf moes word. Dit is hoofsaaklik vir infrastruktuur gebruik en nie vir die behuising self nie. Die klem, sedert die vroeë 1990s, op volhoubaarheid en die impak daarvan op behuising word ook bespreek. Bogenoemde internasionale perspektief word gevolg deur ‘n oorsig oor verskeie beleidsdokumente wat direk of indirek van toepassing is op behuising in Suid-Afrika. Die Suid-Afrikaanse beleid is gesien as ‘n oorwinning vir wydte oor diepte aangesien dit ‘n keuse gemaak het vir ‘n kleiner produk (huis), wat soveel as moontlik mense moes bereik. Ten spyte van verskeie ooreenkomste tussen die beleidsrigtings van Suid-Afrika en die Wêreldbank, is bevind dat die groot verskil tussen die twee daarin geleë is dat die Suid-Afrikaanse beleid ook ‘n behuisingstruktuur daar stel. Volgens die Wêreldbank kon die Suid-Afrikaanse beleid meer wydte gehad het (meer mense bereik het) as dit slegs die infrastruktuur vir behuising verskaf het. Die Suid-Afrikaanse beleid is duidelik oor wie die begunstigdes van die beleid is, asook oor die produk wat hulle moet ontvang. Ten spyte van bogenoemde raamwerk bestaan daar feitlik geen regionale riglyne (waar) vir investering in behuising in Suid-Afrika, as geheel, of enige van die provinsies nie. Die behuisingsbeleid in die Vrystaat het die hoofklem op die struktuur van die huis self geplaas deur te vereis dat huise minstens 40m2 moet beslaan. Deur hierdie besluit word die klem dus op diepte geplaas. Ongelukkig het dit daartoe gelei dat behuisingsubsidies toegeken is in areas waar grond goedkoop was of in areas wat reeds vir ontwikkeling geoormerk was. Die gevolg is dat behuisingbeleggings die klein dorpies en medium-grootte dorpe bevoordeel het ten koste van groter stedelike gebiede. Alhoewel vordering beslis tussen 1999 en 2001 in die lewering van behuising in die groter stedelike gebiede van die Vrystaat gemaak is, moes munisipaliteite medeverantwoordelikheid dra vir die behuisingsfinansiering of is daar depositos van begunstigdes gevra. Laasgenoemde het per implikasie die armstes van die armes van behuisingsubsidies uitgesluit. ‘n Verdere implikasie was dat die klem op grootte daartoe gelei het dat behuisingsfinansiering slegs op die armstes gefokus het en nie ewekansig tussen laer inkomstegroepe versprei is nie. Omdat die voorsiening van behuising in die Vrystaat hoofsaaklik op die gebou self gefokus het en op bestaande erwe gemik was, is die infrastruktuur van behuisingsprojekte in die Vrystaat aansienlik laer as in die res van die land. Geen opgradering van informele woonbuurte het ook nog plaasgevind nie. Teen hierdie agtergrond word die volgende voorstelle in hierdie tesis gemaak: Die voorrang wat armes geniet in die toekenning van behuisingsubsidies, asook die doelgerigte aard van subsidies, moet gehandhaaf word. Indien daar beleidsaspekte is wat die privaatsektor verhinder om die subsidie te ondersteun, moet dit verwyder of geminimaliseer word. Die rasionaal agter subsidies vir lae-inkomstebehuising in die Vrystaat moet hersien word. Behuisingsubsidies moet op ‘n glyskaal beskikbaar wees vir ‘n hele reeks van inkomstegroepe. Die finale besluitneming oor hoe subsidies spandeer moet word, behoort op plaaslike vlak te geskied. Lae-inkomstebehuising behoort stedelike groei te verreken. Die klem op ‘n huis van minstens 40m2 behoort heroorweeg te word. Die klem in die behuisingsbeleid moet beslis op wydte wees en nie op diepte nie. Daar behoort ‘n toekenningsraamwerk vir belegging in lae-inkomstebehuising vir die streek opgestel te word. Hierdie raamwerk moet gebasseer word op behuisingsnood, demografiese tendense en ekonomiese potensiaal.