Ekurhuleni fails to pass budget for fourth time

The City of Ekurhuleni has for the fourth time failed to pass its budget, intensifying concerns over governance, service delivery, and political instability in the city.

During the latest extraordinary council sitting held last Thursday, only 95 councillors voted in favour of adopting the budget, while 105 voted against it.

This once again prevents the council from securing the majority needed to pass the financial plan, underscoring the ongoing impasse.

The continued impasse highlights deep divisions within the council, with major opposition parties, including ActionSA, the EFF, and the DA, continuing to refuse to support the budget.

The opposition stands its ground
In a statement released following the vote, ActionSA mayoral candidate Xolani Khumalo criticised the ANC-led coalition for failing to present what he described as a people-centred budget.

“The ANC-led coalition in Ekurhuleni has failed to present a budget that prioritises the interests of residents. As a result, ActionSA has, for the fourth time, rejected the proposed budget,” said Khumalo.

He said ActionSA’s position remains unchanged, citing two key conditions for its support.
One is the implementation of insourcing for municipal workers, and the second is the absence of additional tariff increases beyond regulated adjustments, such as the NERSA-approved 9.01% electricity hike.

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He said the failure to allocate funds for insourcing would delay long-standing council resolutions aimed at improving job security and dignity for municipal workers.

Smaller parties express frustration
Meanwhile, several smaller and independent parties have voiced support for the budget, describing it as one of the most balanced financial plans the city has seen in years.

These parties have criticised the ongoing deadlock, accusing larger political players of prioritising party interests over residents’ needs.

David Berg from IRASA (Independent Ratepayers Association of South Africa) called on opposition parties to “stop playing politics” and prioritise service delivery, warning that continued delays could have severe consequences for communities relying on municipal services.

He said the council is influenced by political dynamics in other metros, where coalitions hang in the balance.
He said parties are compromised by political bargaining rather than guided by residents’ needs.

“It’s typical that political parties are playing politics instead of putting the residents of Ekurhuleni first. If the budget is not approved, there will be no funding available for service delivery after July 1.
“My view is that the metro should be placed under administration, the current council dissolved, and an administrator appointed to run the City of Ekurhuleni until the next elections,” he said.

“The fact that we cannot get a budget approved that is the best budget in the last 25 years is a concern for me, and it’s also proof to me that the councillors and the political parties in this metro are playing political games,” said Berg.

City remains hopeful
Against this backdrop, the repeated failure to pass the budget raises serious concerns about the city’s ability to effectively deliver essential services, maintain infrastructure, and implement developmental projects in the upcoming financial year.

With each failed attempt, uncertainty grows for residents and businesses alike, many of whom depend on the municipality for basic services such as water, electricity and waste management.

This ongoing stalemate also places additional pressure on the ANC-led coalition to negotiate and find common ground with opposition parties ahead of the next council sitting.

MMC of Finance and Strategy, Jongiziwe Dlabathi, has called on political parties to show political maturity. He has urged political parties to set aside their differences and work collaboratively to ensure the municipality’s budget is approved before the end-of-June deadline.

He said engagement with political parties will continue to reach consensus and avoid further delays that could impact service delivery across the metro.

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“We will continue to engage political parties because it is the role of the executive and the ANC-led municipality to try and reach out to political parties, hoping that they will come on board,” said Dlabathi.
With the June 30 deadline, the municipality warned that failure to adopt the budget could create administrative and operational challenges.

“There is a deadline, and the budget must be approved by June 30. Through continuous engagement, we hope to reach common ground. We are calling for maturity and for political parties to put aside their interests and prioritise the communities they represent,” he said.

He said several concessions had already been made in response to concerns raised by opposition parties, including the presentation of a revised budget at the previous council sitting.

“We have made concessions in response to inputs from other political parties. That is why, at the last council meeting, we presented a revised item as a way of demonstrating that we are listening,” he added.
Despite opposition, Dlabathi maintained that the budget is sound and complies with national requirements.

“There’s nothing wrong with the budget. We have constructed a budget that is compliant, funded as per the national treasury assessment and responsive to the basic issues council must attend to,” said Dlabathi.

He said they remain hopeful that ongoing negotiations will yield a breakthrough at the next council sitting scheduled for this week, which could determine the next steps if the impasse continues.

“We remain optimistic that ultimately we will find each other. Let’s give it a chance and see what happens at the next council meeting,” said the MMC.

The council is expected to reconvene for yet another attempt to pass the budget, though it remains unclear whether any breakthrough will be achieved.

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