Johannesburg:Public Works and Infrastructure Minister Dean Macpherson has announced the removal of 13 construction companies from the Construction Industry Development Board’s (cidb) National Register of Contractors. The decision follows findings of misrepresentation in their applications to upgrade their registration grades.
According to South African Government News Agency, this action brings the total number of contractors removed and blacklisted to 75 in just 2.5 years, compared to only one between 2002 and 2024. The removals were based on a resolution by the cidb Board on 15 October 2026, taken under sections 19(1) and 19(2) of the Construction Industry Development Board Act, 2000.
The 13 contractors removed include RTZ Construction and Projects, Shumani Development, and Magagamela Trade and Projects, among others. These companies held registration grades ranging from Grade 1 to Grade 9 across various construction categories. The cidb’s grading system evaluates contractors based on financial capability and track record to determine the value and complexity of projects they are eligible for. Misrepresentation in this process undermines the register's integrity and risks awarding public contracts to companies lacking necessary capacity.
As part of reform efforts, the cidb is introducing additional audit and verification measures, including direct verification with banks and other institutions. When fraud or forgery is detected, cases will be referred to law enforcement as necessary. The department is also emphasizing stricter enforcement of public sector obligations to register construction projects with the cidb, aiming to maintain a reliable national database.
Minister Macpherson highlighted the shift towards increased accountability since June 2024, with more than 75 contractors removed from the register for non-compliance. He emphasized the importance of protecting public funds and ensuring that only capable companies are awarded public infrastructure projects. The initiative seeks to foster a fair environment for compliant businesses.
The Department of Public Works and Infrastructure, along with the cidb, will continue collaborating with law enforcement to enhance oversight, compliance, and the integrity of the construction procurement system to support economic growth and job creation.
