The Ekurhuleni Metro’s escalating financial mismanagement is clearly evident in the financial report for the third quarter of the 2024/25 financial year.
According to the report, the Metro’s consumer debt overdue by more than 90 days amounts to R30,9 billion.
Households in areas receiving their electricity directly from Eskom have a particularly low collection rate of just 27,15% for services provided by the Metro. This makes up more than a third of the Metro’s total debt.
This is a ticking time bomb. Law-abiding residents who pay their bills are being penalised for the Metro’s failure to ensure accountability where it is most needed.
The Freedom Front Plus (VF Plus) highlighted the following key issues in the report:
- Over R30,9 billion in outstanding consumer debt, with minimal efforts to recover it.
- The Metro receives R10,66 billion in grants but spends only 85,56% of it, so, it is underspending by R1,5 billion while service delivery fails
- During the entire quarter, only 137 jobs were created through Public Works programmes – an absolute disgrace in a region plagued by unemployment.
- The Metro’s debt to creditors currently stands at R6,36 billion, R3 billion of which is owed to Eskom. There is also increasing pressure from Rand Water to settle overdue debts.
- Illegal connections, billing errors and mismanagement continue to hamper Ekurhuleni’s revenue recovery.
The VF Plus demands the following actions to improve the Metro’s financial situation:
- Enforcing proper credit control, particularly in areas receiving electricity directly from Eskom.
- Public accountability for departments failing to spend their budgets.
- Actual job creation programmes, not merely token initiatives.
- Swift action to stabilise the Metro’s financial position and protect paying residents.
The VF Plus believes that Ekurhuleni’s main problem is not a lack of funds, but a lack of political will.
The party remains committed to transparency, fairness and proper service delivery for all Ekurhuleni residents.
