Close Menu
TechCentralTechCentral

    Subscribe to the newsletter

    Get the best South African technology news and analysis delivered to your e-mail inbox every morning.

    Facebook X (Twitter) YouTube LinkedIn
    WhatsApp Facebook X (Twitter) LinkedIn YouTube
    TechCentralTechCentral
    • News
      The smartphone market is in big trouble

      The smartphone market is in big trouble

      1 June 2026
      Nvidia storms the Windows PC market with RTX Spark - Jensen Huang

      Nvidia storms the Windows PC market with RTX Spark

      1 June 2026
      Dell guns for MacBook Neo with low-cost laptop

      Dell guns for MacBook Neo with low-cost laptop

      1 June 2026
      Telkom reports this Tuesday: the real story will be in the detail - Serame Taukobong

      Telkom reports this Tuesday: the real story will be in the detail

      31 May 2026
      SA telecoms industry veteran appointed to top Eskom job - Junaid Munshi

      SA telecoms industry veteran appointed to top Eskom job

      29 May 2026
    • World
      Nvidia's first CPUs to debut in Windows laptops this week

      Nvidia CPUs to debut in Windows laptops this week

      31 May 2026
      Watch: Bezos rocket erupts in fireball during ground test

      Watch: Bezos rocket erupts in fireball during ground test

      29 May 2026
      AI boom hands Samsung chip workers life-changing bonuses

      AI boom hands Samsung chip workers life-changing bonuses

      27 May 2026
      Luce lit: Ferrari unveils its first electric car

      Luce lit: Ferrari unveils its first electric car

      26 May 2026
      Huawei claims chip design breakthrough

      Huawei claims chip design breakthrough

      25 May 2026
    • In-depth
      Alfa's electric rebel - Alfa Romeo Junior Elettrica Veloce

      Alfa’s electric rebel

      29 April 2026
      Africa switches on as Europe dims the lights

      Africa switches on as Europe dims the lights

      9 April 2026
      The biggest untapped EV market on Earth is hiding in plain sight

      The biggest untapped EV market on Earth is hiding in plain sight

      1 April 2026
      AI, cybersecurity power standout year for Datatec - Jens Montanana

      The R16-billion tech giant hiding in plain sight

      26 March 2026
      The last generation of coders

      The last generation of coders

      18 February 2026
    • TCS
      TCS+ | The Up&Up Group on the hidden cost of AI - Jason Harrison

      TCS+ | The Up&Up Group on the hidden cost of AI

      13 May 2026
      Michael Rossouw

      TCS+ | The retirement decision most South Africans get wrong

      6 May 2026
      TCS | The Cape Town start-up listening for TB with AI - Braden van Breda

      TCS | The Cape Town start-up listening for TB with AI

      4 May 2026

      TCS+ | ‘The ISP for ISPs’: Vox’s shift to wholesale aggregator

      20 April 2026
      TCS | Werner Lindemann on how AI is rewriting the infosec rulebook

      TCS | Werner Lindemann on how AI is rewriting the infosec rulebook

      15 April 2026
    • Opinion
      Treasury's crypto crackdown is a betrayal of Mandela's promise - Duncan McLeod

      Treasury’s crypto crackdown is a betrayal of Mandela’s promise

      22 May 2026
      South Africa is sleepwalking into another AI policy failure - Celeste Labuschagne

      South Africa is sleepwalking into another AI policy failure

      20 May 2026
      AI won't fix your culture - it will expose it - Jackie Kennedy

      AI won’t fix your culture – it will expose it

      19 May 2026
      Treasury's crypto crackdown is a betrayal of Mandela's promise - Duncan McLeod

      Free calls, dead voice and Shameel Joosub’s Spanish ghost

      22 April 2026
      The conflict of interest at the heart of PayShap's slow adoption - Cheslyn Jacobs

      The conflict of interest at the heart of PayShap’s slow adoption

      26 March 2026
    • Company Hubs
      • 1Stream
      • Africa Data Centres
      • AfriGIS
      • Altron Digital Business
      • Altron Document Solutions
      • Altron Group
      • Arctic Wolf
      • Ascent Technology
      • AvertITD
      • BBD
      • Braintree
      • CallMiner
      • CambriLearn
      • CM Telecom
      • Contactable
      • CYBER1 Solutions
      • Digicloud Africa
      • Digimune
      • Domains.co.za
      • ESET
      • Euphoria Telecom
      • HOSTAFRICA
      • Incredible Business
      • iONLINE
      • IQbusiness
      • Iris Network Systems
      • Kaspersky
      • LSD Open
      • Mitel
      • NEC XON
      • Netstar
      • Network Platforms
      • Next DLP
      • Ovations
      • Paracon
      • Paratus
      • Q-KON
      • SevenC
      • SkyWire
      • Solid8 Technologies
      • Telit Cinterion
      • Telviva
      • Tenable
      • Vertiv
      • Videri Digital
      • Vodacom Business
      • Wipro
      • Workday
      • XLink
    • Sections
      • AI and machine learning
      • Banking
      • Broadcasting and Media
      • Cloud services
      • Contact centres and CX
      • Cryptocurrencies
      • Education and skills
      • Electronics and hardware
      • Energy and sustainability
      • Enterprise software
      • Financial services
      • HealthTech
      • Information security
      • Internet and connectivity
      • Internet of Things
      • Investment
      • IT services
      • Lifestyle
      • Motoring
      • Policy and regulation
      • Public sector
      • Retail and e-commerce
      • Satellite communications
      • Science
      • SMEs and start-ups
      • Social media
      • Talent and leadership
      • Telecoms
    • Events
    • Advertise
    TechCentralTechCentral
    Home » Sections » Public sector » R12.1-billion wasted as government IT projects collapse

    R12.1-billion wasted as government IT projects collapse

    A damning Auditor-General report has laid bare structural rot in South Africa's public sector IT systems.
    By Nkosinathi Ndlovu1 April 2026
    Twitter LinkedIn Facebook WhatsApp Email Telegram Copy Link
    News Alerts
    WhatsApp

    R12.1-billion wasted as government IT projects collapse - Sita

    The Auditor-General of South Africa has flagged the State IT Agency (Sita) as a “systemic risk” to government IT, citing R12.1-billion in failed public technology projects as evidence.

    According to the Auditor-General’s consolidated general report on national and provincial audit outcomes for 2024/2025, South Africa’s public ICT governance ecosystem is in structural decline, with the central IT agency hollowed out by leadership instability and procurement dysfunction, departments haemorrhaging billions on systems that never go live, and a digital transformation agenda that exists largely on paper.

    “Sita did not effectively deliver on its intended mandate,” said the report. “Sita procurement processes were inefficient and misaligned with current ICT requirements, resulting in delays and negatively impacting departmental effectiveness and service delivery.”

    Sita procurement processes were inefficient and misaligned with current ICT requirements

    The Auditor-General (AG) evaluated the IT control environments of 191 government entities during the 2025 fiscal year and found there was an overall decline: more auditees regressed in this area than improved. Of the 191 established CIO positions across national and provincial government, 27 – or 14% – were vacant, with 18 of those vacancies extending beyond six months. A further 156 IT positions went unfilled across departments and public entities over the same period.

    Seventy-two ICT implementation projects across 44 departments were also assessed. At 23 of these – representing 52% of those assessed, 15 of which were classified as high impact – 41 projects with a combined value of R12.1-billion failed to meet key objectives related to timelines, budgets, quality and business outcomes.

    Centre of the turmoil

    Sita’s governance woes sit at the centre of this turmoil. The agency has operated without a permanent CIO for more than three years. Its executive vacancy rate stood at 54% during the audit period. Until recently, there had been no permanent board and no permanent MD – a combination the AG described as having “disrupted strategic continuity and decision-making” and weakened accountability across the institution.

    The gaps in leadership have translated to operational deficiencies. Sita failed to meet service-level agreements for virtual private networks with various state entities. In North West, unmet targets peaked at 50.5% in December 2024 and remained consistently above 25% across several months of the audit period. High bandwidth usage across provinces and significant monitoring gaps further strained network capacity, said the AG.

    Read: The key technology takeaways from Ramaphosa’s 2026 Sona

    Modernisation initiatives – including data centre upgrades and critical infrastructure for the Integrated Justice System – have experienced delays that the AG linked directly to Sita’s leadership instability, ineffective financial management and governance failures.

    “These issues have contributed to incoherent strategies and inadequate institutional capabilities, undermining Sita’s ability to fulfil its mandate and deliver reliable services to government clients,” the AG said. (TechCentral has reached out to Sita with questions regarding the AG’s findings and will update this article if and when feedback is received.)

    Sita State IT Agency

    But even outside of Sita, poor ICT project implementation practices plague many public entities. The AG found evidence poor project management practices at 39% of those audited. More than a quarter (26%) were missing or had unapproved project charters and business cases, while 48% showed evidence of missed timelines and milestones. Internal audit involvement in ICT projects was largely absent, and scope changes were approved informally or not at all.

    Three case studies in the report illustrate how those institutional failures translate into real harm: one at the department of international relations & cooperation (Dirco), another at the department of health and a third at the Unemployment Insurance Fund.

    In the Dirco example, a five-year global wide-area network refresh project was launched in 2021. The project was meant to modernise network infrastructure at South African embassies, consulates and missions worldwide. The budget was R1.1-billion, with completion expected in 2026.

    ICT is critical for modernising public services, but it is still treated as a support function

    The project was plagued by delays from the outset. A security proposal, which had to be approved before any deployment could begin, was first submitted by the service provider in October 2023. After multiple revisions, the department only approved it in April 2025 – an 18-month delay that also meant IT equipment procured in prior years could not be deployed and sat idle.

    The governance failures go further. The AG found indications that the appointed service provider may have made misrepresentations on its bid submission, including “potentially fraudulent documentation”. Despite not meeting mandatory bid criteria, the contract was awarded to the service provider.

    Misaligned

    Contract variations of R292.8-million relating to the security solution were subsequently approved by the director-general without a competitive bidding process and without the legal or national treasury consultation that internal audit had recommended. The AG attributed the project’s underperformance to “inadequate project governance, a lack of accountability and consequences by the accounting officer and inadequate oversight by the minister”.

    Read: Promise of stability at Sita as agency gets full-time MD

    With strategic plans frequently misaligned with organisational objectives, the AG flagged the repositioning of the IT function in public entities as one of its key recommendations.

    “ICT is critical for modernising public services, but it is still treated as a support function,” said the AG.  – © 2026 NewsCentral Media

    Get breaking news from TechCentral on WhatsApp. Sign up here.

    Follow TechCentral on Google News Add TechCentral as your preferred source on Google


    AGSA Auditor-General South Africa Sita State IT Agency
    WhatsApp YouTube
    Share. Facebook Twitter LinkedIn WhatsApp Telegram Email Copy Link
    Previous ArticleR99 DStv deal to keep Showmax subscribers from bolting
    Next Article Sars to give every taxpayer a digital identity in sweeping tech overhaul

    Related Posts

    Sita, Sars rubbish reports they were hacked

    Sita, Sars rubbish reports they were hacked

    25 May 2026
    Cabinet approves new permanent Sita board, ending years of turmoil - State IT Agency

    Cabinet approves new permanent Sita board, ending years of turmoil

    8 May 2026
    South Africa planning big overhaul of public sector IT - State IT Agency Sita

    South Africa planning big overhaul of public sector IT

    23 April 2026
    Company News
    What happens when your onboarding AI gets it wrong? - SprintHive

    What happens when your onboarding AI gets it wrong?

    1 June 2026
    The new 'Big Three' every business needs to survive - Vox

    The new ‘Big Three’ every business needs to survive

    1 June 2026
    Zila Tech rewires Kenyan schools with Google - Digicloud Africa Google

    Zila Tech rewires Kenyan schools with Google

    1 June 2026
    Opinion
    Treasury's crypto crackdown is a betrayal of Mandela's promise - Duncan McLeod

    Treasury’s crypto crackdown is a betrayal of Mandela’s promise

    22 May 2026
    South Africa is sleepwalking into another AI policy failure - Celeste Labuschagne

    South Africa is sleepwalking into another AI policy failure

    20 May 2026
    AI won't fix your culture - it will expose it - Jackie Kennedy

    AI won’t fix your culture – it will expose it

    19 May 2026

    Subscribe to Updates

    Get the best South African technology news and analysis delivered to your e-mail inbox every morning.

    Latest Posts
    What happens when your onboarding AI gets it wrong? - SprintHive

    What happens when your onboarding AI gets it wrong?

    1 June 2026
    The smartphone market is in big trouble

    The smartphone market is in big trouble

    1 June 2026
    The new 'Big Three' every business needs to survive - Vox

    The new ‘Big Three’ every business needs to survive

    1 June 2026
    Zila Tech rewires Kenyan schools with Google - Digicloud Africa Google

    Zila Tech rewires Kenyan schools with Google

    1 June 2026
    © 2009 - 2026 NewsCentral Media
    • Cookie policy (ZA)
    • TechCentral – privacy and Popia

    Type above and press Enter to search. Press Esc to cancel.

    Manage consent

    TechCentral uses cookies to enhance its offerings. Consenting to these technologies allows us to serve you better. Not consenting or withdrawing consent may adversely affect certain features and functions of the website.

    Functional Always active
    The technical storage or access is strictly necessary for the legitimate purpose of enabling the use of a specific service explicitly requested by the subscriber or user, or for the sole purpose of carrying out the transmission of a communication over an electronic communications network.
    Preferences
    The technical storage or access is necessary for the legitimate purpose of storing preferences that are not requested by the subscriber or user.
    Statistics
    The technical storage or access that is used exclusively for statistical purposes. The technical storage or access that is used exclusively for anonymous statistical purposes. Without a subpoena, voluntary compliance on the part of your Internet Service Provider, or additional records from a third party, information stored or retrieved for this purpose alone cannot usually be used to identify you.
    Marketing
    The technical storage or access is required to create user profiles to send advertising, or to track the user on a website or across several websites for similar marketing purposes.
    • Manage options
    • Manage services
    • Manage {vendor_count} vendors
    • Read more about these purposes
    View preferences
    • {title}
    • {title}
    • {title}