Agreement paves the way for emerging road contractors
Published: 17 July 2018
Richards Bay, 11 July 2018: A joint undertaking by SANRAL and construction machinery supplier, Bell Equipment, will accelerate the transformation of the construction industry and open doors for black-owned and managed CIDB graded contractors.
The national roads agency and Bell Equipment Sales South Africa Limited have signed a Memorandum of Understanding that will give CIDB graded contractors access to earthmoving machinery which will enable them to participate more meaningfully in major construction projects.
“Our primary objectives are to grow the construction and engineering sectors and attract new entrants, especially black contractors who can build businesses and create jobs,” says Skhumbuzo Macozoma, the Chief Executive Officer of SANRAL.
Access to various types of construction equipment used in construction has been identified as one of the biggest hurdles facing black-owned and managed CIDB graded construction companies. They often do not have the capital to purchase major machinery used for construction works, earthmoving and the grading of roads.
The cooperation between SANRAL and Bell Equipment will help to promote fair competition in the construction and engineering sectors. Black-owned CIDB graded contractors will now get access to finance, leasing and rental options, training and maintenance services.
Bell Equipment is a proudly South African company with a global footprint and more than six decades of experience in the manufacturing of equipment used in the construction industry. “They bring a vast understanding of the local construction and engineering sectors and share our commitment to the transformation of the industries,” says Macozoma.
Bell Equipment sees this as an opportunity to position itself as a road construction equipment supplier of choice. “This partnership with SANRAL will enable us to grow our customer base and contribute greatly to the empowerment of emerging contractors in the industry,” says Bell Chairman Gary Bell.
CIDB graded contractors will now be able to purchase, rent or lease road construction equipment that will enable them to participate in major public sector construction where high standards of quality are required. Bell will also leverage its existing partnerships with the financial sector to give black-owned and managed CIDB graded contractors access to financing.
Macozoma says the cooperation with Bell Equipment is a “trailblazing step for the South African construction industry.” It demonstrates SANRAL’s resolve to use its contracting and procurements processes to facilitate the growth of emerging contractors.
Both Bell and SANRAL confirmed that they will host an information sharing session with black-owned and small businesses in construction to unpack how their collaboration will benefit them.
Seen from left are Leon Goosen, CEO Bell Equipment; Dumisani Nkabinde, SANRAL Eastern Region Regional Manager; Simphiwe Mxhosa, SANRAL Stakeholder Manager; Duncan Mashika, MD Bell Equipment Africa Sales & Distribution; Gary Bell, Bell Equipment Chairman; Skhumbuzo Macozoma, SANRAL CEO; Ismail Essa, SANRAL Transformation Manager and Bruce Ndlela, Bell Equipment Director: Public Sector.
Celebrating the MOU are Skhumbuzo Macozoma (SANRAL CEO) and Duncan Mashika (Bell Equipment Sales SA MD).