Parliament, Wednesday, 4 March 2026– The Portfolio Committee on Water and Sanitation has expressed serious scepticism about the commitment of both the political and administrative leadership of the Matjhabeng Local Municipality to honour any payment arrangement for its ballooning debt to the Vaal Central Water Board. The committee met with the Department of Water and Sanitation, Magalies Water and Vaal Central Water Board to consider their 2024/25 annual performance.
Matjhabeng Local Municipality currently owes Vaal Central Water Board just under R9 billion. Despite assurances given during the committee’s oversight visit in January and the assurance given by the DWS that the municipality is cooperating, there is no tangible proof that the municipality is willing or capable of honouring any payment agreement.
“This is unacceptable and represents the worst recalcitrant behaviour that not only affects the viability of the water board but the livelihoods and possible economic growth within the municipality,” said Leon Basson, Chairperson of the committee.
The committee resolved that the municipality must be invited to appear before it to account for the unfulfilled undertaking. While municipalities fall under a different sphere of government, the committee emphasised that municipal dysfunction has far-reaching socio-economic consequences and directly threatens the sustainability of water boards and access to water across the Free State.
The Portfolio Committee on Water and Sanitation has also requested a firm undertaking from the Department of Water and Sanitation that it will not hand over the recently refurbished waste water treatment works that were upgraded following a ministerial intervention.
The committee expressed concern that transferring the refurbished plants back to the municipality without adequate safeguards could render the intervention meaningless, particularly if the underlying governance and operational dysfunction within the Matjhabeng Local Municipality remains unresolved.
Capex Underspending Raises Alarm
The committee also raised concern over the inability of water boards to effectively spend their allocated capital expenditure budgets for the 2024/25 financial year. Members warned that continued underspending places the entire water value chain at risk.
Although the committee welcomed improvements in the achievement of planned targets by most water boards, it cautioned that underspending on infrastructure investment is unacceptable amid persistent complaints of ageing and dilapidated infrastructure that contribute to significant water losses.
The committee urged water boards to strengthen project management systems and implement effective monitoring mechanisms to track service providers’ performance.
“Effective project management will be a key driver in ensuring that projects are delivered on time, within budget and at the required quality. If all spheres of government and water boards don’t enhance project management then financial losses will continue,” Mr Basson emphasised.
Debt Reduction Initiatives Ignored
The committee further expressed concern that several municipalities have not taken advantage of available debt reduction initiatives aimed at assisting them to repay outstanding amounts and maintain current accounts. It described this trend as short-sighted, especially given that municipalities collectively owe water boards approximately R25 billion.
Additionally, members highlighted the rising cost of water treatment due to increasing volumes of untreated effluent flowing into dams.
“It must be clear that the continued polluting of our streams creates not only a health hazard but also puts incremental financial stress on the water boards to treat the water to acceptable standards,” Mr Basson stressed.
The committee will, in the coming weeks, receive presentations from all water boards to assess their overall performance and sustainability.
ISSUED BY THE PARLIAMENTARY COMMUNICATION SERVICES ON BEHALF OF THE CHAIRPERSON OF THE PORTFOLIO COMMITTEE ON WATER AND SANITATION, MR LEON BASSON.
For media enquiries or interviews with the Chairperson, please contact the committee’s Media Officer:
Name: Malatswa Molepo (Mr)
Parliamentary Communication Services
Tel: 021 403 8438
Cell: 081 512 7920
E-mail: mmolepo@parliament.gov.za
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