Mayor Mzwandile Masina addressed council on January 30 at the council chambers in Germiston and provided a detailed assessment of the Ekurhuleni metro’s performance in terms of good governance and sound fiscal management.
The metro’s highlights from the audit are:
• Ekurhuleni achieved an unqualified audit for the financial year 2018/2019.
• The metro received a clean audit on financial statements.
• The metro incurred zero unauthorised, fruitless and wasteful expenditure (for the second consecutive year).
• Irregular expenditure has decreased from R215-million in the previous financial year to R5-m in the 2018/2019 annual review.
• The collection rate stood at 91 per cent for the financial year in review.
• The metro has complied with 30-days payment of all invoices.
• Capex expenditure for the year stood at 94.31 per cent.
• Overall Grant Funding spending for the year is 94 per cent.
• Cash on hand for the year R3.5-billion.
• The metro has performed very well on cost containment worth R138.6-m for year under review.
• Management of both water and electricity losses are both below national standards.
• The metro achieved a 70 per cent reduction in the number of non-compliance paragraphs recorded in the audit report.
• The metro continues to shoulder the cost of a social package of R4-b per annum.
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Masina said: “We achieved this great result through various critical mechanisms.
“For one thing, most instances of irregular, fruitless and wasteful expenditure that were reported in previous years were subjected to an investigation to ensure that consequence management is instituted by the metro against transgressors.”
The metro remains the leader in the area of good governance and financial management among the three metros in the Gauteng Province.
“It is only in so doing that we can all hold our heads up high and proudly proclaim ourselves as public servants who served with pride and distinction,” said Masina.
He concluded by saying to do less than we committed would be to betray not just our promises, but the people of Ekurhuleni and we dare not commit such an atrocious act.
