THE Ekurhuleni Municipality could face financial crises.
This was revealed by ANC Chief Whip Jongizizwe Dlabathi on Wednesday, 27 September, at Exco Room OR Tambo Government Precinct, in Germiston, Ekurhuleni.
He said the state of the city’s finances is an area that needs monitoring, especially given the 3rd and 4th quarter reports, which depicted a troubling state of finances.
Dlabathi said the negative variances between the revenue and expenditure possess a high risk of financial liquidity.
“We are in a hand-to-mouth situation.
“We have consistently called for a more effective revenue enhancement approach in order to prevent the City from bankruptcy, a stage that we are heading towards,” he said.
Dlabathi said the non-payment from the residents and other business operators is among the issues that should be addressed.
He said the municipality must have a ground campaign to promote and foster a sustained culture of payment, including awareness about the impact of non-payment on service offerings.
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“We must have improved payment incentives for those businesses and households who consistently service their accounts.
“The dedicated in-house accounts management for early payment reminder must be implemented,” he said.
The ANC chief whip condemned the lies perpetuated by some politically orchestrated voice notes insinuating that water cuts were intentional and sought to benefit some ANC-aligned businesspeople, as alleged.
“We dismiss such a sinister narrative as misleading and untrue.
“We also dismiss the accusation alleging that the ANC is behind the vandalism of an electricity substation in Dawnpark.
“It makes no logical sense that a party responsible for 70% of the wards will sabotage itself by cutting water and vandalising sub-stations,” Dlabathi added.
