Municipalities in Kwazulu-Natal Identified as Unviable

Yunis Carrim, deputy minister of the Department of Co-operative Governance and Traditional Affairs. identified some 41 of South Africa`s 278 municipalities as unviable when speaking during the Department`s budget vote in parliament on 31 May. Fourteen are in KwaZulu-Natal, thirteen in the Northern Cape, eight in the Eastern Cape and six in Mpumalanga. These municipalities were not named.

He indicated that some could be helped with "financial and capacity support" while others may have to be absorbed by neighbouring municipalities. He also indicated that a review was underway of how local government is funded by the department in consultation with the national treasury. The purpose of the review was aimed at arriving at a system where the national government helped municipal councils with more funds but also with an ability to spend it.

Local government, despite its huge service delivery responsibilities currently received 8.7 percent as its share of national revenue which is considerably less than what national and provincial governments receive.

This disclosure also focuses attention on the fact that the Minister of the Department of Co-operative Governance and Traditional Affairs has been on sick leave since February 2011.

Pieter Rautenbach