Despite multiple service delivery issues, Emfuleni Municipality has failed to spend an outstanding R636 million on its Municipal Infrastructure Grant (MIG).  

Municipalities receive MIGs to address infrastructure issues, but Emfuleni has had to return R636 million of the grant because it failed to spend it to improve infrastructure and service delivery in Vereeniging, Vanderbijlpark, Sharpeville, and Sebokeng, among others.

Emfuleni was granted more than R900 million in the past five financial years, but Gauteng Cooperative Governance and Traditional Affairs MEC Jacob Mamabolo wrote in reply to a DA question in the Gauteng legislature it had spent a mere R278 million.

‘The funds may have been used to fix potholed roads’

Political parties have expressed their disappointment over Emfuleni’s failure to spend the money to improve infrastructure in the Vaal Triangle. “This represents a missed opportunity to tackle the significant infrastructural challenges facing this municipality,” said Emfuleni DA MPL Kingsol Chabalala.

“The funds may have been used to fix potholed roads, upgrade sewer systems, and finish incomplete projects. Unfortunately, it has been returned, causing troubles for the people of Emfuleni.”

“There were times when we were not spending because we owed Eskom and Rand Water, which has now been resolved thanks to the intervention of the provincial and national government,” admitted Emfuleni spokesperson Makhosonke Sangweni.

“We are … busy with a recruitment process because we have not had proper engineers and people who will administer our payment department so that we will be able to roll out infrastructure and therefore spend the grant and development.”

He said they’re committed to providing services to residents and the Vaal in general. “This shouldn’t be treated as if it was done deliberately but there are some challenges that required the municipality to relook at them and now we have turned a corner and things are looking better.”

OFM News reported in October last year an agreement had been reached with Eskom after the power utility seized all four of the municipality’s bank accounts to recover the R8 billion debt owed by the municipality.

Eskom announced in a statement the sheriff had successfully attached the municipality’s bank accounts to ensure the money it collected for electricity would be paid directly to Eskom.

The move restricted Emfuleni’s financial operations, leaving thousands of employees and councillors without pay and halting essential service delivery.

In July, a sheriff seized numerous municipal vehicles after a years-long labour dispute. “Over the past three to four years, the municipality has transitioned from a grade C to a grade B municipality,” said Emfuleni municipality FF Plus councillor Gerda Senekal.

“In total, more than R130 million remains outstanding for these employees, while the additional R7 million further complicates the municipality’s financial situation. The vehicles were returned after an agreement was reached.”

OFM News/Zenande Mpame mvh