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.
This follows findings of misrepresentation in their applications to upgrade their registration grades.
This brings the total to 75 contractors removed and blacklisted in just 2.5 years in comparison to just one between 2002 and 2024.
The removals follow a resolution by the cidb Board on 15 October 2026, taken in terms of sections 19(1) and 19(2) of the Construction Industry Development Board Act, 2000.
These provisions empower the Board to remove contractors who breach registration conditions or obtain grading designations in error because of misrepresentation.
The CIBD is an agency of the Department of Public Works and Infrastructure created to lead industry stakeholders in construction development, with its role being to facilitate and promote the construction industry's improved contribution to South Africa’s economy and society.
The 13 contractors removed from the register are: RTZ Construction and Projects, Shumani Development, Magagamela Trade and Projects, Exxeding Grace, Yem Yem Projects and Plant Hire, BBM Khanye Holdings, Lethabo Africa Engineering, TMR Industrial Solutions, Moriel Infrastructure Group (Pty) Ltd, Salinkata Trading (Pty) Ltd, King Tar Construction, Batho Vanhu Construction and Ithembalenkosi (Pty) Ltd.
Scrutiny of Moriel Infrastructure Group gained significant public attention after its director was filmed allegedly threatening a group of women at a restaurant in Johannesburg during September 2026.
READ | Minister asks CIBD to probe Moriel Infrastructure Group gradings
These companies held registration grades across various construction categories, ranging from Grade 1 to Grade 9.
The cidb’s grading system assesses contractors based on their financial capability and track record, helping to determine the value and complexity of projects they are qualified to undertake.
Misrepresentation in the grading process undermines the integrity of the register, disadvantages legitimate businesses and risks public infrastructure contracts being awarded to companies that lack the necessary capacity to deliver.
As part of its broader reform agenda, the cidb is introducing an additional audit and verification layer to strengthen scrutiny of higher-risk applications and applications for higher grading designations.
This includes verifying information directly with banks, public sector clients and other relevant institutions, rather than relying solely on documentation submitted by applicants.
Where fraud or forgery is established, matters will be referred to law enforcement authorities where appropriate, alongside administrative action.
The department is also pushing for stricter enforcement of public sector clients’ obligations to register construction projects with the cidb.
In addition, the Minister said poor compliance limits the Board’s ability to maintain a reliable record of projects and independently verify contractors' claims.
Also, improving compliance will support the development of a verified national database of construction projects and awards, allowing information submitted by contractors to be cross-checked against independently recorded project data.
Accountability
Macpherson said the latest removals reflect a decisive shift in the government’s approach to accountability in the built environment.
“Since taking office in June 2024, we have made it clear that the days of allowing contractors to misrepresent their capabilities and do business with the state without facing consequences must come to an end.
“Between 2002 and June 2024, only one contractor was blacklisted from doing business with the state. Since June 2024, more than 75 contractors have been removed from the cidb’s register for breaching registration requirements. This represents a significant shift in how accountability is enforced in our construction industry. We will continue this drive, including a full audit of all graded construction companies that is currently underway.”
“These actions are about more than removing contractors from a register. They are about protecting public money, ensuring that companies entrusted with public infrastructure have the capabilities they claim to possess, and creating a fair environment in which honest businesses that comply with the rules and deliver quality work can compete,” said Minister Macpherson on Tuesday.
He said the department’s message to the cibd is simple.
“Our message as the cidb is simple: access to public procurement opportunities must be earned through genuine capability and compliance with the rules. It cannot be obtained through fraud, forgery or misrepresentation.
“When false information is submitted to secure grading levels that have not been legitimately earned, the integrity of the Register is undermined. This creates risks for infrastructure clients, disadvantages honest contractors and weakens confidence in the procurement system. That is why the cidb acts decisively when wrongdoing is identified,” said cidb Board Chairperson Khulile Nzo.
The Department of Public Works and Infrastructure will continue working with the cidb and relevant law enforcement authorities to strengthen oversight, improve compliance and protect the integrity of the state’s construction procurement system, ensuring that public infrastructure investment supports service delivery, economic growth and job creation. – SAnews.gov.za
