Households in Gauteng owe municipalities almost R100bn, says Maile
As of July, municipalities in Gauteng were owed more than R132 billion by households, government entities, and commercial companies.
Gauteng Finance MEC Lebogang Maile. Picture: @GautengProvince/X
JOHANNESBURG - Households in Gauteng owe municipalities almost R100 billion.
This is according to provincial Finance MEC Lebogang Maile, who provided an update during a local government summit in Muldersdrift on the West Rand on Wednesday morning.
He said municipalities were facing severe challenges in collecting revenue for services.
As of July, municipalities in Gauteng were owed more than R132 billion by households, government entities, and commercial companies.
Households account for R99 billion of this debt, while private companies owe R27 billion and state organs just over R3 billion.
Maile said municipalities themselves owe entities like Eskom and Rand Water R27 billion.
"This demonstrates not only poor financial control in government, but it also poses a very serious threat to economic and social development within our communities."
Representatives from all three spheres of government are holding a local government summit to explore solutions for the financial, administrative, and service delivery issues facing Gauteng municipalities.