Only a competent developmental state, devoid of lip service, can change the trajectory of inequality and poverty
This month is a year since the last local government elections. Those 12 months have been marked by contradictions throughout the 257 municipalities that cover the geographic landscape of our country.
While it is encouraging that several progressive laws have been pushed through in the 365 days of the fifth democratic local government, it is unlikely that the status quo will remain. Vigilance is needed to ensure the series of ground-breaking changes do not cycle us back to a state eerily reminiscent of their beginning.
Mayor Chris Pappas and his team in KwaZulu-Natal announced that the uMngeni Local Municipality was able to pay off a R10.4m loan, making it debt-free. The municipality wiped off all debt it had before the elections. Where there’s a will, there’s a way. The bill prohibits all municipal officials from holding political office and empowers MECs to take appropriate steps, including the application of declaratory orders on the validity of appointments, to enforce compliance.
Many of our municipalities are in deep financial distress and we might be on the brink of a crisis. The National Treasury’s fourth quarter section 71 report indicates that as of June 30 municipalities as a whole are owed R255.4bn, and R89.7bn is still not paid to creditors by our municipalities. This is a clear indication that municipalities are experiencing liquidity and cash flow challenges.
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