Author | Bani Kgosana
Across the globe, ageing infrastructure threatens economic stability. In the US, the American Society of Civil Engineers consistently rates much of the country’s infrastructure as subpar, citing the need for trillions in rehabilitation costs. In Europe, concerns about decaying rail networks, bridges and public buildings are pushing policymakers to reconsider maintenance strategies. In many developing nations, new infrastructure projects often fail because of a lack of ongoing asset management.
Governments struggle with deteriorating public assets, skill shortages in technical fields, and financial constraints. The key lesson is clear: smart infrastructure investment is about more than just building – it’s about maintaining and optimising the value of what we already have, during the entire life cycle of each asset.
In February 2025, President Cyril Ramaphosa gave his annual State of the Nation (SONA) address, announcing an R940 billion infrastructure investment over the next three years. It’s a decisive move toward economic growth in South Africa. However, the success of an investment like this, not only in South Africa but anywhere in the world, hinges not just on construction but on long-term maintenance and asset management. Without these, even the most ambitious infrastructure plans risk becoming costly burdens rather than economic catalysts.
As we’ve learned at Pragma from our work across 46 countries, successful infrastructure development isn’t just about adding new assets – it’s about ensuring they are effectively maintained. Many municipalities in South Africa – and in numerous other countries – lack technical skills and reinvestment strategies for infrastructure upkeep, creating costly repair projects down the line and compromising the safety of citizens. This is precisely where smart asset management can bridge the gap.
Globally, the most successful infrastructure management models incorporate several key elements:
- Smart technology deployment through solutions like Pragma’s On Key enterprise asset management software.
- A network of skilled local contractors who can respond quickly to maintenance needs.
- Rigorous tracking and reporting systems to ensure accountability and prevent financial waste.
- Long Term Asset Planning and strategic asset management.
- ISO 55000.
Similar strategies have yielded significant savings worldwide. In the UK, predictive maintenance strategies in rail infrastructure have saved billions in potential failures. In Singapore, data-driven asset management has extended the life of public utilities while reducing maintenance costs. In South Africa, when the electrical support services of a large metro implemented structured asset management solutions, they saw a 2,500% increase in operational output. Another metro’s refuse management department saved R10 million annually by implementing structured tyre management. The solid waste department reduced overdue vehicle services by 90%.
The President’s SONA also emphasised the establishment of professionally managed utilities for water and electricity – an approach that has already proven effective in cities prioritising maintenance. Scheduled maintenance at Eskom has improved the load-shedding situation, but there is more that could be done. If proper maintenance was extended to water management, healthcare facilities, and other utility services, this approach could transform public service delivery and economic growth.
Similar challenges with ageing infrastructure have prompted strategic interventions across Europe. In the Netherlands, Pragma’s Dynamic Long Term Asset Management Planning solution has helped public institutions formalise asset management strategies, ensuring safer, more efficient infrastructure. In the Province of Overijssel, our approach improved the understanding of strategic asset management to mitigate and manage the risks with ageing bridges and roads, enabling better decisions within budget constraints while reducing reliance on retiring experts.
At Rijkswaterstaat Zee & Delta, digital information management has transformed maintenance. The contract team gains real-time insights into outsourced work, asset managers optimise costly replacements, and contractors ensure accountability. This structured approach enhances control over maintenance quality while keeping key stakeholders informed and empowered.
In an era where economic pressures demand efficiency, governments must prioritise infrastructure maintenance as much as new development. Most countries have the tools and expertise to ensure that infrastructure investments generate long-term returns. The challenge now is for policymakers to integrate these lessons into their strategies and ensure that every rand, dollar, or euro invested in infrastructure truly delivers lasting value.
The opportunity is clear: smart maintenance and asset management can turn infrastructure investments into economic powerhouses. Will governments seize it?
