Maile: GP municipalities lost more than R8.6m in revenue collection in 4 months

MEC Lebogang Maile has led a briefing on the state of municipalities in the province amid calls for public office bearers to come clean about how government money is being spent.

Cooperative Governance MEC Lebogang Maile. Picture: @GDCoGTA/Twitter

JOHANNESBURG - Gauteng’s Department of Cooperative Governance and Traditional Affairs (Cogta) said municipalities in the province have lost more than R8.6 million in revenue collection over the past four months.

MEC Lebogang Maile has led a briefing on the state of municipalities in the province amid calls for public office bearers to come clean about how government money is being spent.

He said the department was working to develop strategies aimed at enabling financial sustainability.

Maile wasted no time in admitting that while there were already financial issues in Gauteng’s municipalities, these have been exacerbated by the COVID-19 pandemic.

“Some of these problems are caused by lawlessness, which requires law enforcement to step up to the party.”

The grim picture painted was largely expected given the extent of the economic fallout of COVID-19.

Maile said revenue reductions have also been noted in basic services including water and electricity.

“And these revenue reductions have had a negative impact on the flow of our municipalities and affected their ability to meet their obligations.”

The MEC said a multi-disciplinary team of revenue experts will be dispatched to improve debt management across the province’s municipalities.

Download the EWN app to your iOS or Android device.