New regulations for housing co-ops

Municipal Reporter
Government will set up an inter-ministerial technical committee to monitor the operations of housing co-operatives to ensure sound corporate governance following cases of abuse of funds by some co-operative leaders . Local Government, Public Works and National Housing Minister Dr Ignatius Chombo said yesterday it would be ideal for housing co-operatives to conduct their development through banks.

“Land developers who shall be allocated land as part and parcel of the housing delivery programme shall work with a bank which shall relate with the beneficiaries in terms of both stand allocation and payments,” he said.

“All payments to contractors for works undertaken will be scrutinised by management committees of the housing co-operatives/pay schemes under close supervision by an inter-ministerial technical committee to be established for that purpose.”

Dr Chombo said the infrastructure service provider in any housing development would develop the off-site and on-site infrastructure inclusive of tarred roads, water and sewer reticulation, storm water drains, street lighting, optic fibre cabling for smart metering, crèches, schools and clinics as approved in the lay out plans.

Dr Chombo said to realise the full potential of the housing delivery model, an implementation guide had been developed outlining the scope, conditions, procedures and roles of all involved.

“I want to recognise the significant contribution made by housing co-operatives, especially in the last decade in delivering low cost houses at a time both Government and local authorities were finding it difficult to do so,” he said.

“This was chiefly due to the devastating effects of illegal sanctions visited upon the polity and instigation of our erstwhile detractors, the West, as a result of our successful land reform programme.”

Housing co-operatives have been rocked by abuse of funds by their leaders who sometimes disappear without allocating stands to beneficiaries.
While launching the National Housing Delivery Strategy last week, Dr Chombo said Government was committed to providing decent affordable housing for its people, adding that a major housing delivery programme required concerted efforts from all stakeholders.