It is commendable that the number of municipalities that achieved a clean audit moved from 34 to 41 in the 2023-24 financial year. The SAHRC is aware that a clean audit outcome is not necessarily an indicator of good service delivery and urges municipalities to translate clean audit outcomes into improved service delivery.

The SAHRC however remains concerned that the report of the Auditor-General indicates that little has changed when regard is had to past performance in the local sphere of government. For instance,  the number of municipalities with unqualified findings dropped from 110 to 99 in the 2023-24 financial year. The report also highlighted that not a single municipality has achieved a clean audit in recent times in the Free State Province. The use of financial consultants persists, costing the local sphere of government R1,4 billion, yet no material change is evident.

The SAHRC is aware of the various challenges afflicting the local sphere of government. From the various engagements with municipalities, the SAHRC has noted several challenges, which include aging infrastructure; high water losses; inability to attract and maintain technical skills; lack of revenue; high levels of indigency; the grading of municipalities; the funding model and its inadequateness for municipalities to effect proper service delivery. Although local government is responsible for some of the malaise it finds itself in, other spheres of government cannot be absolved.

The SAHRC maintains that a concerted effort is required to turn the dire state of affairs in the local sphere of government around. The SAHRC is encouraged by the various processes underway as outlined by President Ramaphosa during his State of the Nation Address. These include the process to review the1998 Local Government White Paper to particularly address the funding model of municipalities. The SAHRC is also encouraged by the decision of various municipal councils to allocate significant funds to address water challenges. For instance, the City of Johannesburg has allocated more than R5 billion towards resolving water supply challenges over the next three years. This is particularly important in the context where the metropolitan municipality has battled with water supply problems. However, the SAHRC cautions that funding alone will not resolve the problem. Funding should be accompanied by a culture shift which embeds ethical and accountable leadership at a local government level.  

The SAHRC calls for the local sphere of government to be made fit for purpose, through instilling consequence management to root out malfeasance. Situated at the coalface of basic service delivery, local government is the difference between living a life with dignity or indignity. Local government is too crucial to be allowed to fail as it is at the centre of the attainment of human rights. The SAHRC commends the Auditor-General for the crucial role it plays in fostering accountability in the financial management of state coffers.

Ends

Issued by the South African Human Rights Commission

Wisani Baloyi – Acting Communications Coordinator Tel: 081 016 8308 This email address is being protected from spambots. You need JavaScript enabled to view it.