The auditor-general (AG) again gave AbaQulusi Municipality an ‘unqualified with findings’ report for the 2022/23 financial year. The AG wagged his finger at unauthorised, irregular, fruitless and wasteful expenditure that accounted for over R550 million.

One of the most glaring issues was the low spending on repairs and maintenance, with only R39 million allocated – just 6% of the capital budget. The AG also noted that the recommended value for such expenditure is 8%, suggesting that critical infrastructure may not be receiving the attention it requires.
The report also highlighted massive losses in water revenue, with poor infrastructure contributing to a staggering R17 million shortfall – 53% of expected revenue. The National Treasury norm for water revenue loss is between 15% and 30%, underscoring the municipality’s struggles with infrastructure and service delivery.
The lack of skilled personnel in the finance department has also been a major challenge, leading the municipality to hire consultants at a cost of R7.2 million. However, the consultants failed to deliver in key areas such as preparing or reviewing financial statements, asset management, tax services, and other financial reporting tasks.
Additionally, the AG flagged a high vacancy rate of 36% in the municipality, suggesting that staffing shortages could be further impacting upon service delivery.
AbaQulusi found ‘four material irregularities’, though the specific details were not specified in the public report.
Asked to comment on the report, AfriForum Vryheid Branch chairperson André van der Walt said the town’s ageing infrastructure was impacting on water losses.
“The electrical network is also old and if the municipality wants to develop local business and economics, a reliable electrical supply network is key. The Integrated Development Plan shows an ageing electricity network, but no plans to upgrade the current network.”
He also wanted more clarity on the ‘material irregularities’ that could include violations of procedures, fraud or even theft.

In a letter to the municipality, Van Der Walt said ratepayers could not accept poor service delivery in the form of poor road maintenance, questionable storm-water drainage and a lack of attention to cemeteries, sidewalks, recreational areas, etc – all impacting on the quality of life in Abaqulusi.
“There is hardly any funding for road maintenance. The life-span of the road network can be extended simply by repairing potholes. Our streets in town, in the industrial area and in Bhekuzulu are falling apart faster than we can rebuild them. We need a plan to prevent the streets from falling apart completely.”
He was scathing of the AbaQulusi Call Centre, where he alleged that ‘staff do not understand English properly and cannot spell’.
“Ironically, the centre does not operate when the power is off – and that is exactly when staff should be available.”
The notorious landfill site again failed the annual AfriForum audit, which found that the site is not maintained and is unsafe to visit.

Turning to the erratic water supply, Van der Walt said ‘the number of non-compliance and water interruptions are unacceptable and impact hugely on the town’s future’.
“More funds are needed to repair all the pumps that supply water. The network needs urgent attention, as the losses (due to leaks) – as pointed out by the auditor-general – are unconstitutional’.
Another pressing issue highlighted by Van der Walt is the out-of-control sewer leaks plaguing AbaQulusi Municipality. The municipality has been criticised for failing to properly manage its sewerage system, which has led to ongoing and widespread leaks in various areas.
“Effluent is leaking into our streets and into our rivers (especially in Bhekezulu), that in turn flows into the Klipfontein Dam.”

He pointed out that three pump stations at Bhekuzulu have not been working ‘for several years’, causing raw sewage to flow directly into Besterspruit.
“We demand that this receive immediate attention. The Waste Water Treatment Works (WWTW), next to Vryheid town, is not fully working and sewage is polluting the Wit iMfolozi stream, also polluting Klipfontein Dam.”
The Vryheid cemetery is no longer a place of rest, with poor maintenance and lack of fencing of great concern to those who visit the final resting place of their loved ones.
The Vryheid Herald referred the report to AbaQulusi Local Municipality to respond to the AG’s report and to AfriForum’s remarks, but none had been received at the time of going to press.

Footnote:

* Unauthorised expenditure means any spending that was not budgeted for or that is unrelated to the municipal department’s function. An example is using municipal funds to pay for unbudgeted projects. Irregular expenditure is spending that goes against the relevant legislation, municipal policies or by-laws. An example is awarding a contract that did not go through tender procedures. Fruitless and wasteful expenditure concerns spending that was made in vain and would have been avoided had reasonable care been exercised. An example of such expenditure would include paying a deposit for a venue and not using it, resulting in the deposit being forfeited.

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