Statement by Ald Cilliers Brink – DA Tshwane Mayoral Candidate:
The Democratic Alliance (DA) in Tshwane can reveal that the state of Tshwane’s finances is far from stable, and further, we can confidently reveal that the necessary steps to turn this situation around, are not being taken.
The Auditor-General’s report on the performance of the Tshwane Metro for the 2024/25 financial year confirms that the City has gone backward under the ANC-led coalition of Mayor Nasiphi Moya.
The City’s key financial indicators show a sharp decline – from cash coverage, to trade payables, and revenue collection. It is not clear that the mayor has any plan to get the City’s financial recovery back on track.
Unauthorised, Irregular, and Fruitless and Wasteful (UIFW) expenditure – wasted money – has increased by R5 billion to R23 billion in total, while the City has failed to act on the findings of completed investigative reports.
In December last year National Treasury wrote to the City on two occasions to warn that if fails to act on UIFW that grant funding to the City could one withheld in terms of section 216 of the Constitution.
Revenue collection has dropped from 93% to 85%, which explains why the City’s eagerness to cut services to national and provincial government departments which it claims are not paying their bills.
To understand why this strategy is insufficient to improve the City’s finances, consider that R25 million is owed to the City on a property where ANC deputy mayor and Finance MMC Eugene Modise is contractually obliged to pay the bill. In other words, Tshwane’s credit control policy is not being applied consistently.
The collapse in revenue collection has contributed to a cash deficit of R4 billion, destroying the credibility of claims by Tshwane Mayor Nasiphi Moya in 2025 that the City had a funded budget.
But the AG also raises concern over the salary increases awarded to staff, a decision which the City failed to take on review to the Labour Court despite clearly not being able to afford the R1,5 billion backdated portion of the increase.
Water losses have increased by 4.7% and now totals 39.1% of all water procured from Rand Water and other water boards – or R300 million worth of year on year losses. Electricity losses have increased by 2.3%, now totalling 21.3% or R200 million worth of year on year losses.
This reflects the underinvestment in infrastructure in a year in which water tanker spending increased by 455% . The irony is that water tankers are mostly needed when taps run dry.
Tshwane’s government is on a downward spiral – neither social media videos nor posturing will turn it around. The DA is the only credible alternative, with a plan to lead, and a plan to get Tshwane back on track.
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