The Department of Defence and Military Veterans is shifting toward practical public-private partnerships (PPPs) to modernise its vast infrastructure and leverage strategic State assets.
However, Defence and Military Veterans Deputy Minister Bantu Holomisa wants an immediate transition from abstract policy discussions to a concrete "PPP Action Plan".
Speaking at the Defence Industry Lekgotla, this week, Holomisa said this roadmap must clearly define specific projects, funding models, risk allocations, private partners, and strict execution timelines.
South Africa maintains a comprehensive PPP framework governed by the National Treasury, which acknowledges the private sector's ability to inject capital, operational efficiency, and innovation into public infrastructure.
Holomisa highlighted that the defence portfolio held a massive advantage in this space: ownership of vast, strategic real estate.
The South African National Defence Force (SANDF) controls roughly 500 000 hectares of State-owned land.
Holomisa emphasised that these assets must be used more cost-effectively and rationally. Carefully structured partnerships would allow the State to retain ultimate ownership and control, while private partners contributed essential capital, technological innovation, and operational capacity.
Subject to rigorous feasibility studies and all relevant legal and security protocols, the proposed PPPs could unlock development across multiple areas, such as military housing; health and hospital infrastructure; logistics and maintenance facilities; training and support infrastructure; modernisation of selected military bases and other essential infrastructure supporting the SANDF.
Holomisa stressed that South Africa's existing PPP framework, outlined by National Treasury, served as an ideal mechanism to leverage private sector efficiencies in an era of constrained public budgets.
He firmly reiterated that the SANDF was “not going anywhere”, stating that a sovereign South Africa would always require a capable defence force.
Holomisa wants the department to develop a clear outline of the requirements, aligned with the National Treasury framework, and present it to the defence industry so that potential investors can identify areas for contribution.
The objective was to move from broad discussions to specific, structured and implementable opportunities, he said.
He highlighted that the Defence Minister had made it clear that the department must urgently ensure that this Lekgotla did not become another talk shop.
“Following this engagement, the defence leadership must convene a focused roundtable to finalise priority areas so that, when industry approaches us, we are ready to direct them towards clear and well-defined opportunities,” he said.
He urged the department to develop a practical partnership roadmap, which would identify the major infrastructure and capability backlogs that required urgent attention and which of these areas were suitable for PPP or other partnership models.
He wants the roadmap to identify what role should be played by the Department of Defence, the Department of Public Works and Infrastructure, Armscor, Denel, the defence industry, institutional investors, research institutions and other stakeholders.
It must also identify what regulatory and policy interventions may be required, how the department protects national security and sovereign capabilities and how it ensures local industrial participation, skills development, youth opportunities and technology transfer.
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