The City of Tshwane says it has made compelling submissions to National Treasury to secure grant funding.
Treasury had given Tshwane until the end of Friday to motivate why grant funding should not be revoked after underperformance and non-compliance.
The municipality used less than 40% of its grant funding meant for capital projects like infrastructure development that could resolve the water and poor road challenges in communities, especially townships.
If Treasury rejects Tshwane’s motivation, the municipality could forfeit over R600 million but Tshwane says it remains optimistic that the funds will not be halted.
Tshwane has come under fire for its failure to use its grand funding optimally while communities are crippled by serious service delivery challenges.
The Economic Freedom Fighters (EFF) says the underspending is due to poor planning and maladministration. The party wants heads to roll for the looming funding crisis that could further compromise service delivery in the capital.
Residents were shocked and disappointed at the underperformance and non-compliance.
If the grants are revoked, Tshwane could face a significant shortfall in urban development funding and much-needed infrastructure development to improve human settlements.
As the needs are glaring on the ground, the EFF has accused the Tshwane DA-led multi-coalition of undermining the plight of people in townships. Tshwane has over 200 informal settlements. The grants could help to develop these informal settlements.
As Tshwane struggles to turn its finances around and restore service delivery, Mayor Cilliers Brink could soon face a motion of no confidence for maladministration.
