Limpopo municipality to sell assets to service debts

The cash-strapped Modimolle-Mookgophong local municipality in Limpopo will on Friday sell 25 vacant stands belonging to the municipality in an auction to raise money for service delivery and to pay off debts.

The municipality says the council decided to dispose of 89 stands that are not needed for service delivery or municipal developments.

The municipality owes Eskom more than R200 million .

“The municipality is going to have auction this week Friday to sell 25 pieces of land that are currently vacant in Modomolle and Phagameng. These stands are institutional business, they are also industrial and also residential stands for middle and higher income.  We really hopeful  that we can stimulate the economy in such a way that we are going to use the income that we receive to service some of our debts and also to invest money into service delivery in the municipality,” says Mayor Marlene Van Staden.

South African National Civic Organization (Sanco) representative in the Modimolle-Mookgophong sub-region, Elvis Ramogale says the selling of stands will enable residents to have access to land.

“We have pushed to achieve this one because we  really wanted people to have access  to buying their stands because as you can see most of the families they are scattered.  They are about ten in one household so it will give them access to have place to stay and also to revive our industrial area so that companies can buy stand in our municipalities and also create employment and grow the economy in our municipality.”