Despite assurances made more than three years ago, the National Lotteries Commission (NLC) has yet to spend R65-million set aside to rescue a series of abandoned lottery-funded infrastructure projects. The NLC confirmed that no construction payments have been made from the allocation. The projects, many of which lost hundreds of millions of rand to corruption, remain tied up in investigations by the Special Investigating Unit (SIU).
Several are also the subject of criminal probes by the police. Some of the original grants were awarded as far back as 2017. In a number of cases, the NLC released additional funds without confirming how earlier payments had been used or whether construction had advanced. Out of 13 projects examined, only one facility is functioning as intended. The Hlayisani Centre of Hope in Kabokweni, Mpumalang, which supports people with disabilities and survivors of gender-based violence is operational after receiving nearly R27.7-million between 2019 and 2021.
Other projects have turned off far from their original purpose. An old-age home in Thaba Nchu, funded with R27.5-million, is now operating as student housing. The NLC said it has taken steps to stop the unlawful commercial use of the property. In northern KwaZulu-Natal, an unfinished old-age home has been turned into storage space by a contractor working on RDP housing. The NLC said it only became aware of the situation after concerns were raised and is now considering legal action.
According to the NLC, progress depends on its Community Infrastructure Reparations Process, which includes appointing a panel of engineers to carry out technical and feasibility studies. The outcomes of these assessments will determine whether projects receive further funding. The commission said it would not authorise any spending until the SIU completes its work, arguing that this approach ensures accountability and prevents further losses.
When the funding allocation was announced in October 2022, then NLC spokesperson Ndivhuho Mafela said the commission would manage the completion of the projects itself, using an internal panel of engineers. He said the SIU had raised no objections at the time. The NLC later shared internal documents outlining the unfinished developments, the amounts already paid out, and projected costs to complete the work.
In 2023, NLC commissioner Jodi Scholtz said engineers from the Industrial Development Corporation had been approached to assess whether abandoned structures could still serve surrounding communities. While administrative processes continue, many of the buildings are falling apart. Unsecured sites have been vandalised and looted, and exposure to weather has accelerated the damage. In Maila village in rural Limpopo, an unfinished old-age home has been stripped to its bare structure.
Fixtures and materials have been stolen, leaving behind a roofless shell. Although the NLC previously indicated the project would be abandoned, it now says it is weighing whether to demolish the structure or seek new applicants to complete it, pending community consultation. An inspection in November 2024 found the building was only 30% complete and in poor condition. In Marapyane, Mpumalanga, another old-age home which received close to R35-million continues to be looted despite attempts by residents to safeguard the site.
The NLC said it cannot legally pay for security and is waiting for an engineering report before making a decision. Other lottery-funded projects that remain incomplete include: An old-age home in North West province, funded with R28-million, an old-age home in Kuruman in the Northern Cape (R28-million), a drug rehabilitation center in Kuruman (R34-million), an old-age home in Nelspruit (R28-million), a boxing arena planned for Storms River in the Eastern Cape (R36-million), a music academy in Soweto that received R25-million in public funding but still needs R28-million to finish, and a sports and entertainment center in Soweto where construction never began, despite R6-million being paid out.
When asked about many of these projects, the NLC provided the same response, describing them as having “high potential” and being in a “reasonable state of completion”. Yet years after the funding was announced, communities are still waiting and many of the buildings continue to decay while decisions remain on hold.
