Private-public partnerships: Plan to fix local government

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Private-public partnerships: Plan to fix local government
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Deputy President Mashatile advocates for public-private partnerships to revitalize dysfunctional municipalities, fostering collaboration.

With the state of many municipalities in the country classified as dysfunctional, Deputy President Paul Mashatile believes strengthening government partnerships with the private sector will assist to fix them. Mashatile, with the department of cooperative governance and traditional affairs, in partnership with the National Business Initiative, convened a ‘Thought Leadership Dialogue to reinforce local government as a convergence point of service delivery.

The strategic dialogue centred around the theme of “cocreating a functional and effective society: public and private sectors collaborating to strengthen local government”.Leaders across the three spheres of government, business leaders, nongovernmental organisations, state institutions and international organisations discussed a best practice forum to guide the public-private partnership model to successfully run local government.

According to Mashatile, the private sector and government were committed to a collaboration and it was important to strengthen those collaborations between all role players.“For us to succeed, we really need to ensure this works. We also agree that partnerships are the way to go to achieve our objectives between these two sectors. There are a lot of resources in the private sector and in government. If we pool these resources together, we can do much more,” he said.

“When you give these jobs to the private sector, they also employ other people. There are certain responsibilities municipalities cannot perform and they will need the private sector. That is where partnership comes in.”“In the metro, citizens pay rates but in district councils that are predominantly rural, citizens do not pay rates. Others would only pay for water if it is available and, in some instances, buy electricity directly from Eskom. So that municipality will not generate revenue.

“There were municipalities in a disadvantaged position because of their inability to collect revenue. You have municipalities in predominantly rural areas and their revenue generation is very poor. Some municipalities are found in semiurbanised areas where there is a capacity challenge or misuse of resources. So, we cannot blindly say all municipalities are in the same state. Some are dysfunctional because of their environments.”“Some of our municipalities don’t have any revenue base.

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