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Ekurhuleni adjustment budget: Misguided priorities and financial management

Ekurhuleni residents will once again bear the brunt of the Metro’s 2024/25 adjustment budget that was tabled yesterday. It is evident from the budget that financial management and misguided priorities are still at the order of the day.

Instead of addressing service delivery problems, the adjustment budget makes reckless re-allocations while failing to prioritise residents’ needs.

The capital budget was reduced by R11,46 million, despite the Metro’s urgent need for infrastructure development and maintenance. This is unacceptable given the terrible condition of roads, water and power infrastructure, and refuse removal.

Funds are channelled away from critical infrastructure projects while residents have to put up with frequent water and power outages, roads riddled with potholes and broken traffic lights.

The re-allocation of R50 million from the Public Transport Network to operational costs is a serious cause for concern.

The Metro ought to invest in sustainable infrastructure and improving public transport instead of using grant funds for short-term operational needs – a sign of poor financial planning.

Operational revenue was adjusted upward with R838,8 million because the Metro does not generate enough revenue to run properly.

Ekurhuleni only has enough funds to cover its expenses for between eleven and fourteen days. The prescribed target is 25 days.

While residents face tax and tariff hikes, the Metro is failing to eradicate needless expenses and corruption.

The increase of more than R1 billion for contracted services is worrying, as outsourcing is often characterised by inefficiency and inflated costs.

The budget shows very little expenditure on essential services, such as water, sanitation and refuse removal, despite residents’ constant complaints about poor service delivery.

The Department of Transport Planning and Provision had, for instance, spent only 3,2% of its budget by December 2024 which points to a serious failure to execute projects.

The Freedom Front Plus (VF Plus) is standing its ground against the mismanagement of Ekurhuleni’s finances. The Metro’s residents deserve a government that prioritises service delivery, infrastructure investment and financial discipline.

The Freedom Front Plus will continue to hold the Metro’s administration accountable to ensure that taxpayers’ money is spent responsibly.

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