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29 May 2020

27 Western Cape municipalities awarded unqualified & clean audit outcomes

Statement by Minister of Local Government, Environmental Affairs and Development Planning, Anton Bredell

The Western Cape government is pleased to note that 27 out of thirty municipalities in the province, has received unqualified audits for their 2018/19 financial year from the Auditor General of South Africa (AGSA).

The AG tabled its latest MFMA report in parliament earlier this week to the Standing Committee on the Auditor-General.

The Western Cape has one metropolitan municipality, five district municipalities and 24 local municipalities that get audited under the Municipal Finance Management Act (MFMA).

Anton Bredell, Minister of Local Government, Environmental Affairs and Development Planning says in addition thirteen councils received clean audits. The AGSA only awarded 20 out of 257 councils audited in the country with a clean audit for the year under review.

“We’ve seen an improvement year on year in the Western Cape with regards to clean audits and I want to congratulate and thank our councils for the hard work and efforts they undergo to provide communities with the reassurance that their money is being spent as it should.”

Bredell says efficiently run municipalities remain key to delivering the services needed to make the province a better place for all who live in it.

“Given the legacies we inherited, there will always be some areas where improvements are needed. However, it is reassuring that the evidence shows that Western Cape municipalities continue to provide their communities with the best services possible within the budgets they receive. When it comes to providing free basic services to the poorest of the poor, services that include sanitation, water and electricity, Western Cape municipalities stand out nationally. To do so within the constraints of existing budgets is all the more remarkable.”

According to the report, 72% of all Western Cape municipalities are in good financial health.

Bredell says good financial governance translates into better service delivery.

“We are investing all our energy into making this goal a reality. Over the past years, we have worked tirelessly to instill a zero-tolerance approach toward those who transgress the financial laws governing this province. We have also rolled out various further training initiatives to ensure that staff are skilled.”

Graham Paulse, head of the department of Local Government in the province, says municipalities in the province are keeping up with payments to large creditors like Eskom.

“Only three municipalities are in arrears but there are settlement agreements in place that are being adhered to.”

The municipalities that received clean audits are:

Bergrivier, Cederberg, Saldanha Bay, Drakenstein, Langeberg, Witzenberg, Cape Agulhas, Overstrand, Theewaterskloof, Cape Winelands District Municipality, West Coast District Municipality, Hessequa and Prince Albert.

ENDS.

Media Enquiries: 
James-Brent Styan
Spokesperson to Anton Bredell
Telephone: 021 483 2820
Mobile: 084 583 1670
E-mail: James-Brent.Styan@westerncape.gov.za

Last published 29 May 2020