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DA Calls for Dissolution of Joburg Water Board Amid Tender Scandal
The Democratic Alliance (DA) in Johannesburg is intensifying its call for the dissolution of Johannesburg Water’s board following revelations of a tender scandal involving exorbitant costs and governance failures. The scandal has raised questions about the entity’s management and the City’s commitment to providing reliable water services.
In a shocking disclosure during a meeting last year, it was revealed that Johannesburg Water appointed three contractors to supply water tankers to the city during crises. Two of these contractors were awarded contracts totaling R263 million.
Concerning Costs:
- The average cost of a water tanker is approximately R1.5 million.
- For the same amount spent, the City could have purchased 175 tankers outright, ensuring a permanent resource.
- Even a fleet of 80 tankers, along with maintenance and drivers, would have been a more cost-effective, sustainable solution.
What makes the expenditure more troubling is the limited scope of the services provided by the contractors, which include only the vehicle, driver, and fuel. The City remains responsible for filling the tankers, a task already hindered by Johannesburg’s 46% non-revenue water loss.
🚨 [MUST READ] Joburg Water is starting to operate more and more like a captured entity. Its board is filled with political deployees and now dodgy tenders are at the order of the day.
When will the City of Johannesburg act, and dissolve Joburg Water’s board?
Read more here:… pic.twitter.com/4xcRcGsxyO
— Cllr Devon Steenkamp 🇿🇦 (@THEDEVCHEV) January 14, 2025
The DA has flagged serious irregularities in the tender process:
- Contractors Nutinox and Builtpro allegedly failed to meet tender requirements.
- Neither company could demonstrate ownership of water tankers, instead appearing to act as middlemen by hiring tankers from other companies.
The DA has written to the MMC of EIS and MMC Group Corporate Shared Services, urging an investigation into these irregularities.
The ongoing governance challenges reflect broader issues within Johannesburg Water. Despite the approval of a turnaround strategy in mid-2024 aimed at addressing political interference and improving governance, progress has been slow.
The current board, predominantly composed of political appointees, has been criticized for its lack of technical expertise, with only one engineer among its members.
On November 27th, the DA presented a memorandum to the Mayor, demanding accountability and the implementation of the turnaround strategy. However, little action has followed, highlighting the Mayor’s apparent indifference to Johannesburg’s escalating water crisis.
The DA is urging the City of Johannesburg to adopt a pragmatic, transparent approach to water resource management by:
- Dissolving the Joburg Water board and appointing qualified professionals.
- Investing in permanent infrastructure to ensure sustainable water delivery.
- Eliminating political interference in tender allocations and governance.
- Enforcing compliance with the Municipal Finance Management Act and Structures Act.
DA representatives warn that the continued financial mismanagement and governance failures risk further jeopardizing service delivery in Johannesburg.
“Good governance must start in the offices of the Executive, ensuring appointed boards and committees adhere to municipal guidelines and laws,” the DA stated.
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