Subject: Proposal for 30,000 modular social-housing units per province annually through public–private partnerships

South Africa’s housing backlog remains above 2 million units, with conventional methods too costly and slow to address the challenge. I propose that government, in partnership with the private sector, deliver 30,000 modular housing units in each province annually (270,000 units nationwide), structured as a public–private partnership inspired by Finland’s social housing model.

Why modular + PPP approach
Speed & cost efficiency – Modular homes are 20–30% cheaper and can be completed in 6–8 weeks, versus 12–18 months for conventional builds.

Durability & maintenance – By adopting Finland’s policy of PPP-based social housing, private contractors are made responsible not only for construction, but also for long-term maintenance and quality assurance. This ensures housing stock remains safe, durable, and prevents dilapidation.

Affordability & dignity – Social housing rents/purchase costs can be capped at affordable levels, with the state subsidising where necessary, ensuring every South African has access to decent shelter.

Local economic growth – Each provincial modular housing factory creates thousands of jobs, while PPP structures attract investment and spread risk between the state and private partners.

High-level cost & structure (illustrative)
Unit cost: R120,000–R180,000 depending on design.
Annual provincial investment: ~R4.5 billion for 30,000 units.
National programme: ~R40.5 billion for 270,000 units.

PPP structure:
Government provides subsidies and land.
Private contractors/manufacturers build, install, and commit to 15–20 years of maintenance.
Tenants benefit from capped, affordable rents or purchase prices.
State retains regulatory oversight, ensuring housing remains affordable and well maintained.

More to be discussed