Transcript: 38th Ordinary Council Meeting, Day 1

Opening of the 38th Ordinary Council Meeting

00:01:42Thank you, you may be seated.

00:01:55Good morning everyone. It is hereby notified that the 38th Ordinary Meeting of the City of Johannesburg Municipality will be held on Wednesday and Thursday the 24th and the 25th of June 2026 at 10:00 a.m. at the Constance Connie Bapela Council Chamber in Metropolitan Centre in Braamfontein and the first item on the agenda is opening.

00:02:16Good morning colleagues. Once again everybody those in the gallery to the Executive Mayor of the City of Johannesburg Councillor Sello Morero. Deputy Executive Mayor Councillor Loyiso Masuku, Whip of Council Councillorukaza Mula Chauke, Chair of Chairs Councillor Vhuani Marema, all political party leaders and Whips.

00:02:42Members of the Mayoral Committee, Chairpersons of Section 79 Committees, Fellow Councillors, City Manager, Dr. Floyd Brink, Secretary to Council Mr. Andile Gobinca, Officials of the City of Johannesburg, Residents of the City of Johannesburg, Members of the media present, ladies and gentlemen, I welcome you all to the 38th Ordinary Council meeting of the City of Johannesburg Municipality.

00:03:13Councillors, I'm not sure who's screaming at the back. Councillors, please note that I have received request to submit and include in the agenda one additional item from the legislature and two additional items as urgency reports from the executive, and I've acceded to the requests. The said reports has been added in the Google link

00:03:43as item 87, item 90 and item 91. Colleagues, we are still walking in when I'm speaking. And it is the usual suspects. Please note that I've also received a request for a debate on a matter of urgent public importance

Quorum count and attendance register

00:04:13from Councillor Tyrell Meyers, and the and the and this such complies with rule 898(1) of the Standing Rules and Orders of Council. As a result, I have acceded to the request. At this point, I will allow 10 minutes for the number of councillors present in the chamber to be counted and verification of the number

00:04:43of councillors who have signed the register, so as to confirm a quorum. So, if you have signed the register and you are seated, remain seated. Let those that have not signed come in because we will be counted. I thank you.

00:05:33I ask that we are seated, those of us that are in the chamber, because we are counting you. If you move out, you are not part of of those of us that are being counted.

00:11:54Colleagues, the movement is so much we are struggling to count you. We keep on going back from five to four, four to three.

00:14:00Can we be seated? I do have the figures. And if you are not a councillor, please. Colleagues, those of us that do not belong in council, can we move out? And can we be seated, colleagues? Councillor Meyers, Councillor um these two councillors, I I forgot their names.

00:14:33If you have so many children, you forget their names. You call them ABC. Councillors. Okay, on the register, 131 of us have signed. Councillor at the back. 131 of us have signed.

00:15:03When we count you, there's only 106. Am I right, legal? Okay. On the register now, there's 146. So some of us are still dwelling outside. According to the register, we are quorating.

00:15:28And the rest is ghost.

00:15:31Thank you, colleagues. So we will continue according to the register. Okay. I'm I'm advised that we must be 136 warm bodies sitting inside. So can I ask that we remain on our seats?

00:15:58isiZuluNgiyacela.

00:15:59AfrikaansEk vra.

00:16:00I'm asking, can we be seated so that we can be counted on our seats? Those of us that are standing outside, can you please come in so that you can be counted? Right, can we count again, please?

00:16:36To see how they

00:19:01Councillor Khumalo and MMC Mabaso, can we get to our seats so that we are counted? And even those councillors at the back, we don't know where you belong because you are up and down. Can we be seated? I'm really begging. I'm on my knees begging you now, asking that please we are counting you.

00:19:37I saw you.

00:19:57Councillor Maila and MMC

00:21:33Colleagues, we have 146 that signed, and we have 136 inside. So 10 councillors are still roaming outside. And it's unacceptable that we do that. But we are going to start now. Can we go to the next item, STC?

Applications for leave of absence

00:21:58We now proceed with applications for leave of absence.

00:22:03Colleagues, those that have written to us with leave of absence is Councillor M. Cook, party business, Councillor Y. Zigebe, party business, Councillor M. Mokoena, private business, Councillor Z. May, family responsibility, Councillor J. Kaldine, ill health, Councillor J. Karolia, ill health, Councillor J MMC J. Sekwaila, ill health,

00:22:34and Councillor Magwentshu, party business. Those are the written apologies that we have. Are there any further apologies by show of hands? Um in this order, Councillor Ndlela, uh Councillor Mhlongo, Councillor Mogapi, Councillor Makhuba, Councillor Lois Simonse,

00:23:05Councillor Masera, Councillor De Lange, Councillor Munyayi, and then Councillor Rohlssen. If I butchered your surname, apologies. In that fashion that I called you out.

00:23:32Uh thank you, Madam Speaker. Uh good morning to all councillors in the chamber and our our guest. Uh on the ANC caucus, I have the following leave of absence. For ill health, it's Councillor Mabuke, Councillor Ndou, Councillor Tshehlo, Councillor uh Tambani, Councillor Zazini, MMC Zungu, Councillor Raphadu, Councillor Mazibukwana and Councillor Galeshewe. Uh for late arrival, I have Councillor Madiba, Councillor Shange, Councillor Nkubungu, Councillor Mothopi, Councillor Nair,

00:24:05Councillor Ramafikeng and Councillor Nzimande. Uh out of the province, out of the country, I have Councillor Mgcina for council business, uh Councillor MMC Mnisi, uh political work, Councillor Mphaho, family bereavement. And the following councillors have requested to leave early: it's Councillor Mofokeng, Councillor Supe, Councillor Mohau Molefe, Councillor Ngoepe, Councillor Modupi, Councillor Maake and Councillor Mashinini. Thank you so much, Madam Speaker.

00:24:36Thank you, Councillor Ndlela.

00:24:42Uh thank you very much, Madam Speaker. Good morning to you and good morning to all councillors in the chamber together with officials and the guests at the gallery. Madam Speaker, I would like to be excused at 11:15. I've got a doctor's appointment at 12:00. Once I've done, I'll come back again. Thank you so much.

00:25:01Thank you, Councillor. Next councillor.

00:25:12Greetings, Councillor. Uh Councillors and greeting to Speaker. From the EFF, ill-health councillors is Councillor Makhafola, Councillor Ngwenya, Councillor Molefe and Councillor Nethamba. Late arrivals, it's MMC Koma and Councillor Raseruthe. Early departure, it's Councillor Mogapi at 12:00. Thank you.

00:25:35Councillor Fatima, we've noted you, but you'll wait for the last.

00:25:44Good morning, Speaker. Morning, Councillors. For the IFP is Councillor Nyembe, who is in uh um sick and in hospital in KZN. And then it's uh Councillor Khanyile, who is out of the province. And Councillor Manganyi will be arriving late. Thank you.

00:26:04Thank you, Councillor. Next councillor.

00:26:07Good morning, Madam Speaker. Just to add on our LOAs, Councillor Ponsonby and Councillor Wilskut is ill health, and MMC Kunene, early departure. Thank you.

00:26:18Thank you, Councillor. Next councillor, as per the way we called you. Councillor Masera, it's your turn.

00:26:29Uh, thank you, Speaker, and good morning to you, uh good morning to all um the colleagues. I've got uh the following councillors on LOA: Councillor Mark Van Der Merwe is in court today, Councillor Mohamed, ill health, Councillor Finn, ill health, Councillor Florence, ill health. And I've got Councillor Lori Coogan, who will leave at 2:00. I've got Councillor uh Xander Shawe, who will leave also at 2:00.

00:27:00I've got Councillor Steenkamp, will also leave at 5:00. Um Councillor Carlos Da Rocha will leave at 4:30. Councillor Daniel Schay will leave at 5:00. Um I've got Councillor Jonker, she's running late. Councillor Mazibuko, also running late. Councillor Kamela, running late, and Councillor Chantelle Fourie-Shawe, also running late. Thank you, Speaker.

00:27:29Councillor De Lange.

00:27:35Um good morning, Speaker. Good morning, colleagues. Um LOA for Councillor Paul Smit. He went for some medical blood tests um because of a pending operation. Thank you.

00:27:47Thank you, Councillor De Lange. Munyayi.

00:27:52TshivendaNdi matsheloni Vho-Spikara. Eh from kha Action SA, eh family responsibility, ri na Vho-Khanselara Radebe, Vho-Khanselara Mashala, Khanselara Kamogelo Mohlala, Khanselara Tsoadi. Eh eh party business, ri na Khanselara eh Jabu Mabunda, Khanselara Themba Mabunda, Khanselara Lebo Mokoka, Khanselara Mkhonto. Eh sick leave, ndi Khanselara Lwanda Bini, Khanselara Lebogang Modukanene. Vhane vha do tuwa nga u tavhanya or early departure,

00:28:24TshivendaKhanselara Ntombela, eh Khanselara Marcel, Khanselara Wissler, vha vha do tuwa nga 2:30. Eh vhane vha vha uri vha do swika u lenga, oh and also eh early departure, ndi humbela pfarelo, na Khanselara Edward. Eh vhane vha do swika u lenga mushumoni namusi ndi Khanselara Nkonyeni na Khanselara Sondag. Ndo livhuwa. Ndaa!

00:28:53Thank you, Councillor. Councillor Rohlssen.

00:28:58A very good morning to you, Madam Speaker, and all colleagues in the house. Greetings to you all, and all protocols observed. Uh Madam Speaker, just apologies from Councillor Harris, who um is away for party business. He will try and join us later. Thank you very much. God bless you.

00:29:16Thank you, Councillor Rohlssen. Councillor Fatima Abdool.

00:29:23Thank you. Good morning, Speaker. Good morning, colleagues. Kindly excuse me at 4:00 p.m. this afternoon for private business. Thank you.

00:29:30Thank you so much. Colleagues, we will have to go through the agenda with some speed because I've we've noticed that there's a lot of early departures, there's a lot of people not available. So, can we not be playful today and stick to the business of council? Are these apologies noted? Thank you, colleagues.

00:29:59We

Official notices and Executive Mayor's statement

00:30:00proceed with official notices and that's the third item.

00:30:04Thank you, colleagues. Please join me in wishing well all councillors who celebrated and those who are celebrating their birthdays during the month. Those that celebrated in May and those that are celebrating in June. I'm one of those celebrating on Friday. Congratulations to all of you councillors for growing a year older. I thank you.

00:30:29We'll now have the statement by the Executive Mayor.

00:30:32Deputy Executive Mayor.

00:30:35Good morning, Madam Speaker. There are no statements.

00:30:38Thank you so much. Next item, STC.

Confirmation of minutes

00:30:44The next item is confirmation of minutes. And these are minutes of the 48th Extraordinary Meeting held on the 30th and 31st of March 2026. Uh together with minutes of the 49th Extraordinary Meeting held on the 20th and the 21st of May 2026. Also with minutes of the 50th Extraordinary Council Meeting held on the 21st of May 2026. And also minutes of the 51st Extraordinary Meeting held on the 26th of May 2026.

00:31:14Also minutes of the 11th of special uh which is a special uh meeting held on the 27th of May 2026. And lastly, the minutes of the 37th Ordinary Meeting held on the 27th and the 28th of May 2026.

00:31:29Thank you so much, STC. Um I I I assume we have read the minutes, and we are ready to if there's any changes, input. DA Councillor C. Fourie-Shawe.

00:31:44Thank you, Madam Speaker. No changes from us. I just have an an an urgent request though. Item 69 to 85, we did submit speakers yesterday. They're not on the list. I'll send them through to you. Perhaps there was an admin issue.claim

00:31:58Okay, we are still on the minutes, ma'am. Uh Councillor Mkhonza from the ACDP.

00:32:10Yeah, thank you very much, uh Madam Speaker. Um shalom, shalom to all our colleagues. On the 30 30 and 31 March, um all in order. 20, 21 uh May, at paragraph sorry, page nine, paragraph four, uh please reconsider the last sentence. Um it reads as follows, "The request for a caucus was therefore not taken for granted."claim

00:32:40Councillor Mkhonza, can you please speak into the mic? We can't hear you.

00:32:44Oh, apologies, apologies, Madam Speaker. Um I was saying um on the first set, 30, 31 March, all in order. Then the second set, 20, 21 May 2026, um page nine, paragraph four, uh reconsider the last sentence, which reads as follows, "The request for a caucus was therefore not taken for granted." So, I'm proposing that we remove "taken for," so that it was granted, not taken for granted.claim

00:33:15And then on the 21st of May, done above. 26 May, no comment. I was not present. 27, it was a budget debate. 28, uh no comment. I was not present. And all in order. Thank you very much, Madam Speaker.

00:33:32Thank you, Councillor Mkhonza. Colleagues, are we agreeing to the minutes with the said adjustment? Or can we then adopt the minutes? Thank you so much. We agree to it. Next item.

Written questions, tabling of recommendations and elevation of items

00:33:56We proceed with item five, and those are questions for written reply of which notice has been given in terms of Rules 105(2), Rule 111A, Rule 112A of the Standing Rules and Orders of Council.

00:34:13Deputy Executive Mayor, questions.

00:34:24Sorry about that, Speaker. Um once more, good morning. Uh the responses have been loaded on the drive.

00:34:31Thank you so much, Deputy Mayor. Um Chair of Chairs, legislature questions, are they on the drive or not?

00:34:45Yes, uh good morning, uh Honourable Madam Speaker. The answers are loaded on the drive. Thank you.

00:34:52Thank you so much. Next item, STC.

00:34:55We proceed with recommendations to Council.

00:34:58Deputy Executive Mayor.

00:35:01Thank you, Madam Speaker. I hereby table recommendations to Council for consideration. Thank you.

00:35:09Thank you so much. Chair of Chairs.

00:35:16Thank you very much, uh Honourable Madam Speaker. I arise to table the legislature reports. Thank you.

00:35:24Thank you so much. Um Deputy Executive Mayor.

00:35:31Thank you, Madam Speaker. I beg for your indulgence on behalf of the executive. We'd like to elevate the following items, please. Item 62, which is the approval of the um UIFWE Strategy.

00:36:02We'd like to elevate item 66, the Financial Turnaround Framework for the City of Johannesburg. We'd like to elevate item 68, the Revised Service Delivery Agreements, the SDAs, in line with the Metro Trading Reforms. We'd like to elevate item 69, the Joburg Water M5. We'd like to elevate item 70, the Business Investment Plan for City Power. We'd like to elevate item

00:36:4971. We'd like to elevate item 72, 73, 74, 75, 82.

00:37:20Speaker, my mic someone keeps switching off my mic.

00:37:24No, no, no. There's a problem with the mics, but

00:37:27Okay. 82, which is the Addendum to the Debt Relief. 83, the Service Level Standards. 85, the Shareholder Compacts. That is our request. I'm not sure if I can repeat that, or you are fine?

00:37:58I think we are fine.

00:38:00Thank you, ma'am.

00:38:01Let me just check and and re I'll give you a chance now, Chair of Chairs. Item 62, okay. Item 66, 68, 69, 70, 71, 72, 73, 74, 75, 82, 83, and 85. Thank you so much. Um Chair of Chairs.

00:38:36No, thank you very much, uh I also rise to ask for elevation of item 61 uh from the legislature.

DA request for a 15-minute caucus

00:38:46Okay, so item 61. So, that's the items that we're going to elevate. Thank you, colleagues. We'll start with those items. Um, but before we start, remember we also have the debate that we are going to start with, Councillor. Um Smit. Try the other mic next to you. MMC, just press your mic. Let's see if it is off.

00:39:26There we go. Thank you, thank you. Um yeah. Um one day before the end of term we'll get my name right, Speaker. Thank you. Um may the uh DA please request a 15-minute caucus break?

00:39:49Okay, I'm going to grant the 15 minutes, but I don't want to seem like dictating that we do in that 15 minutes, all of us that want to caucus, can we please all caucus in that time? I have said that we are very fragile on our on our quorum because there are people that want to go early, and we have adopted and said yes to those that want to leave early.

00:40:18So, can I ask that we all caucus in the 15 minutes? Councillor Munyayi, are you are you saying no to what I'm saying? No, no, no, Councillor. Uh-uh. I've already given the 15 minutes. No, no, no. No, Councillor Munyayi, we'll deal with it when we come to it. And Councillor, I'm on the floor. I'm on the floor. There's no point of order when I'm on the floor.

00:40:48I want us to read this thing. We need to read it and educate ourselves. Colleagues, I've given the 15 minutes. At 10:55 we are back. Thank you.

00:41:32Chair of Chairs.

Return from caucus

01:02:25You see why when I say 15 minutes, we grant the 15 minutes and we walk in after 20 minutes. We are not disciplined.

01:02:40I was chasing people from outside. I swear to God I was chasing them. Very serious. Councillor Avant-Smith saw me chasing them in.

01:02:56Okay, we are going to start. Um, the councillor that asked for, you see there's a caucus of I'm not sure who they are. Hey, Jesus. Uh, I'm going to ask the councillor that asked for the caucus to please bring us up to speed so that we're able to carry on. Councillor Avant-Smith.

01:03:25Thank you, Speaker. The DA is ready to carry on. Thank you.

01:03:31Thank you so much. And you are going to excuse me today if I keep on counting you because I need to ensure that we have a quorum as we carry on, so I'll be counting all the time. Right, the next item STC.

Urgent debate on Eskom substation cut-offs: speakers list

01:03:52The next item is the debate.

01:03:58Okay, can we just go to the debate?

01:04:21The debate is on the matter of urgent public importance and that is current and continued threat by Eskom to switch off electricity to several substations across the city.

01:04:36Okay, we don't have speakers on this debate. I just want to find out if political parties want to get into this debate. No one has appetite.

01:04:56Wow. Raadslid, councillor, because I welcomed you doesn't say I've given you a chance to just speak, right? Councillor Christians.

01:05:10AfrikaansUm, Raadslid Boer, jou hand was op. Kan ek hoor? Moet ons jou naam opsit?

01:05:19AfrikaansAsseblief, Madam Speaker.

01:05:21Okay. The councillor behind Councillor Boer, your hand was up. But now it's a different hand, Councillor Nkonyeni.

01:05:35Thank you, Speaker. Please add Councillor Nkonyeni to the speakers list.

01:05:40Okay. I hope Councillor Nkonyeni is in the house.

01:05:44Yes, Speaker, he's here.

01:05:46Councillor Avant-Smith, your hand is up.

01:05:50Thank you, Speaker. Could you add Councillor Meyers, please, to the debate?

01:05:56He's the proposer. Okay. Ja, ne. Any other councillor? So we're going to have Councillor Meyers, the proposer of this debate and then we are going to have Councillor Boer and then Councillor Nkonyeni. No one else wants to speak on it and then we have the MMC. I'm just worried about the caucus that's outside. Councillor, where's Marcel?

01:06:38Can we ask ActionSA to check whether that is their councillors and get them to come in? Councillor, yes, councillor, I've noted you.

01:06:54Thank you. Thank you very much, Speaker. I'm not sure what picture you're trying to send because the councillors that are outside, they are not from ActionSA, it's different councillors from the house. So rather say councillors that are outside must come in.

01:07:13Councillor, councillor, let me say to you, from here, I can't see their faces. From here, I can't see their, uh-uh, uh-uh, uh-uh.

01:07:26So don't say ActionSA, say councillors.

01:07:27No, you know listening is a skill. I understand that English is not all our languages, but I said check the councillors outside and I said Councillor Marcel, can you check if it's ActionSA.

01:07:45AfrikaansOns almal praat nie dieselfde taal nie.

01:07:47Why specifically?

01:07:49Thank you. Councillor Meyers.

Eskom debate: Cllr Meyers (DA) as proposer

01:08:03Greetings, Madam Speaker, to the Executive Mayor in absentia, the Deputy Executive Mayor.

01:08:08Councillor Meyers, just hold on. Councillors, we have a councillor on the podium, please.

01:08:15Councillor Meyers, the floor is yours.

01:08:20Thank you, Madam Speaker. Once again, greetings to the Executive Mayor in absentia, the Deputy Executive Mayor, the DA Caucus Leader, Councillor Belinda Kayser-Echeozonjoku, all councillors present and of course the media and the residents of Johannesburg at large. Madam Speaker, on the 19th of May, Eskom firmly issued a public notice to residents calling on public participation as Eskom plans to cut off power and interrupt power to four critical substations: Crowthorne, Allandale, Beyers Naude and Fordsburg. This comes as COJ, City of Johannesburg has failed to honour the payment agreement in place with Eskom. On the 26th of May, both the Executive Mayor and the Minister of Electricity held a high-level meeting at the City Power head office in Reuven where it was told to the media and to the public that there would not be a cut-off and that the discussions about the debt repayment was still ongoing. Last week we learnt that Eskom confirmed that there was no arrangement in place and plans are to go ahead with the cut-off in order in terms of the court order. On the 17th of June, the DA handed over petitions of 5,000 signatures demanding an extension which has been granted by Eskom to the 17th of July as the original one was the 17th of June, also calling on Eskom not to cut off these substations. Why should residents have to bear the failure of this administration to resolve the payment? If residents are paying, why must they bear the brunt? So we call on the executive to take this house and the residents of Johannesburg into confidence and advise us why they have failed to address the issue, why they have failed on the repayment issue and what is the plan to protect these residents and prevent these four critical substations from being switched off as they have a huge impact on residents, on businesses. We're talking about 100,000 residents. This will have a negative impact on jobs and livelihoods altogether. Thank you.claim

01:10:27Thank you, councillor.

Eskom debate: Cllr Boer (FF+)

01:10:29AfrikaansRaadslid Boer. More, Mevrou die Speaker.

01:10:34Fellow councillors, all protocols observed. Um, yes, we are living under constant threat in Johannesburg of things that are happening to us and that are affecting our residents on a daily basis. And the executive has been reluctant to share information with, well, firstly, the councillors and secondly, with the residents as well. Um, the PFA agreement is a high secret document. Nobody knows if it is for one year, 10 years, five years, what the conditions are. It does not get shared with us. The same with Eskom debt. We all remember that there was a dispute about two, three years ago with Eskom regarding 3.5 billion which the city says Eskom owes us and Eskom says, no, you owe us. Um, and that was resolved and there was a payment arrangement agreement was made there. And if you look in the financial statements of the city, the debt to Eskom from 2024 to 2025 did not actually increase. It was standing at June 2025 at five point something billion and apparently it is still standing at five point something billion. So we need clarification and our residents need clarification. As Councillor Meyers says, businesses are involved, they cannot function without electricity and the executive need to come forward and play open cards with us and say, listen, what is happening to Eskom? And there are very questions hanging about this debt because there are metros in Gauteng that owe Eskom 9 billion and they are never in the news. Why is Johannesburg in the news about a 5.3 billion rand debt? So please, we need clarification and our residents who are paying their bills on a monthly basis also need clarification and they need to know where they stand. Thank you, Madam Speaker.

Eskom debate: Cllr Nkonyeni (ActionSA)

01:12:26Thank you, Councillor Boer. Councillor Nkonyeni.

01:12:32isiZuluNgibonge, Speaker. Yabona lokhu kusibonisa ukuhluleka eh kwalaba abasiphethe,

01:12:44the government of the day.

01:12:46isiZuluAyidingi ukuthi silokhu siye le nale la, Speaker. Into esifuna ukuyazi lana, Speaker, ikuthi si-how far ngokukhokha lesi sikweletu se-Eskom. Iyona into esifuna ukuyazi. Yazi kunomuntu omemezayo la angimazi ukuthi yini inkinga yakhe. Eh, Speaker,

01:13:06Speaker, can I be protected?

01:13:08Councillor Nkonyeni, just hold on. Councillors, can we respect each other? Please. We need to get done. Thank you.emotive

01:13:19isiZuluBahlulekile, Speaker, noma bengamemeza nje bahlulekile.

01:13:23Speaker, we are saying let us not punish residents for the city's financial mismanagement. What is the plan to ensure that the amount in arrears is fully paid? And we want to know this from the city. What guarantee can be given to this council and residents that they will not be plunged into darkness? Residents cannot pay for the failures of the city and the failed GNU. ActionSA has fought against unfair electricity surcharges on top of rising cost of living and we are now threatened with power costs, with power cuts. So this is very unfair to the residents, Madam Speaker. [inaudible] to ensure ukuthi this council holds the executive and also holds the officials. They must pay Eskom because now we are going towards the winter period and we need to make sure ukuthi we are not plunged into darkness for something that is not our fault. Thank you.

01:14:30Thank you, colleagues.

IT query and Deputy Executive Mayor's reply on Eskom

01:14:42I'm waiting for all the honourable members to be seated, those that were outside with a caucus. Councillor Belinda, your point of order? Because everybody has spoken. Thank you.

01:14:56Thank you, Madam Speaker. No, it's not a point of order. It's just requesting some information. Please, can you tell us if the IT is in the house because some of us, we've seen the Deputy Executive Mayor had problems with the mic, none of our, some of our screens are off and things like that. I just need to find out what exactly is going on with IT today. Thank you.

01:15:18We'll give you information just shortly. Um, Deputy Executive Mayor, can you respond to the debate?

01:15:30Thank you very much, Madam Speaker, fellow councillors, City Manager. Madam Speaker, I want to thank the councillors for the debate and I must confirm that we have had constructive engagements and progressive discussions with Eskom that are focused on stabilising the city's electricity environment and strengthening the turnaround of City Power. The discussions have been positive and practical. Both the city and Eskom recognise that [inaudible] facing City Power require a coordinated, disciplined and technical response, especially around electricity losses, revenue protection, infrastructure reliability, billing integrity and bulk supply management. A key outcome of the engagement, Speaker, is that dedicated workstreams will be established between the City Power and Eskom. These workstreams will focus on the practical turnaround actions I spoke about and the reduction of the technical and non-technical losses, improving metering and energy balancing, strengthening our operational discipline and improving the financial sustainability of City Power. We also welcome the willingness of Eskom to support the city's power by sharing the lessons and systems and the turnaround practices that have assisted Eskom in its own recovery journey. Eskom on its own had its own challenges, but they were able to turn around and get to where they are. These learnings will be important as City Power implements its own turnaround plan and strengthens governance, operational performance and financial discipline. And we have been transparent about that and we have brought these turnaround plans to council so that councillors collectively understand where we want to go. Management from the city and City Power are meeting and will continue to meet with Eskom's management to finalise the outstanding matters and agree on a detailed implementation approach. Importantly, this will be done well before the applicable deadlines. The city remains proactive, prepared and in control of the process. We are not waiting for the problems to escalate. We engaged eagerly and early and we seeked collaboration so that we have a practical support program that will [inaudible] that mechanism in place to stabilise City Power and protect the interest of the residents, business and economy of Johannesburg. We have never hidden anything and we remain committed to transparency. Madam Speaker, through you, Councillor Boer is not being honest when he says he doesn't know about the PFA. That document was brought to council for council to deliberate and it was approved, so it's a known document. Um, so it's incorrect to say to residents that he doesn't know what is contained in the PFA. I thank you, Speaker.

Closure of the Eskom debate under Rule 99

01:18:49Thank you so much, Deputy Mayor. The debate has now been closed according to Rule 99. There's no questions, anything that can be asked, so the debate has been closed. Thank you, Councillor Meyers, for bringing this to the council. No, no, no. Councillors, this debate is closed. This debate is closed. You can go to Rule 99. The debate is closed. Uh, Councillor Avant-Smith. No, no, no. I did not see your hand. The debate is closed. I am closed. Can we go to the next item? No, no, no. Councillor Christians, there was, no, I'm not asking you to stand. No, Councillor, Councillor.

01:19:58The debate, the debate is closed. The debate is closed, you are out of order. Councillor, do you want me to

01:20:07Hey, sit down, wena man.

01:20:08Debate is closed. We're going to the next item.

01:20:10Sit down!

Item 61: UIFW expenditure April 2026, tabling

01:20:15Councillors, still on recommendations to council, we're starting off on the elevated items and starting off with Item 61 and that is the motivation that council certify as irrecoverable and regularise irregular and unauthorised expenditure for April 2026.

01:20:39Councillor Raseruthe, in the absence of the chair of MPAC, is there anybody that's going to give to us the report? MPAC. Councillor Mosehla. Thank you.

01:21:06Item 61.

01:21:08Thank you, Speaker. The chair is running late as mentioned earlier in the apologies and I'm going to table Item 61 for consideration. Thank you.

01:21:29Thank you so much, Councillor Johannes. Has Councillor Harris from ACDP arrived?

01:21:38Not yet, Madam Speaker, so we'll just leave this item. Thank you.

Item 61: Cllr Boer (FF+) and procedural dispute

01:21:44Freedom Front Plus, Councillor C. Boer.

01:21:48Thank you, Madam Speaker.

01:21:55AfrikaansCouncillor, kan jy tog net miskien die mic langs aan jou, okay, daar's hy, daar's hy.

01:22:01Madam Speaker, you'll be surprised I've got a shop steward voice as well, but I'd rather not use it. Um, so

01:22:08Councillor Boer, can you just hold on? I don't know what the point of order on you is from Councillor Christians. Councillor Christians, he hasn't even started. Councillor Boer hasn't started and you're calling a point of order on him. No. Councillor Smit, I'm not certain, or Councillor Masera, I'm not certain what's happening with the caucus. Yeah, but Councillor Faeeza. No, no, no. Councillor, I have asked Councillor Christians, but now you're all screaming. You're all screaming. No, no, so I'm not going to allow Councillor Christians. Amen, I'm not allowing him.

01:23:06AfrikaansCouncillor Boer, kan jy opstaan, asseblief?

01:23:15I can run it accordingly, but if I ask Christians to get up and speak and Faeeza, you, Councillor Boer,

01:23:25Afrikaansgaan aan, asseblief.

01:23:26AfrikaansDankie, Madam Speaker.

01:23:28Um, I'm speaking on Item 61, the write-off of UIFW expenses. Um, these reports are coming to council on a quite regular basis and, Madam Speaker, I acknowledge the good work that MPAC is doing in this regard. We need to regularise these expenses and a lot of those expenses are going back to 2011, 2012. It is 16 years ago. Um, the people responsible for these expenses

01:24:00AfrikaansRaadslid Boer, ek hou jou tyd. Jy't twee minute en 20 sekondes oor. Ek hou jou tyd vas.

01:24:06Councillor Christians. I don't know where the disrespect comes from. Councillor Christians.

01:24:14Thank you, Speaker. Speaker, I have had my hand up for and you allowed three other speakers to speak before me. Speaker, I had my hand up when Councillor Da Rocha and you were having an argument. I was rising in terms of Rule 98(2), where you were procedurally flawed in the way you handled the debate. You cannot close the debate. The debate was supposed to be closed by the proposer. He's supposed to have a right to reply and you did not allow that. That's what I was raising my hand for, Speaker. Thank you.

01:24:51Councillors, Councillor Christians, it's not a motion, it was a debate. I've got, I've got, aai. There's a thing that I learnt in school, they told me we can all sing together, but we can't all talk together. So if we all talk together, then we don't understand each other because then it becomes gibberish. I am sitting next to people that are advising me. Councillor Faeeza, there's something that I'm going, I don't know how I'm going to deal with you, but I'm not sure today what's happening with you. Councillor Christians, we have closed on it and when I closed on it, Councillor Meyers actually did this to me. Councillor Meyers did this to me. Councillor Meyers did this to me. Councillor Meyers showed me thumbs up and he's now telling you he did show me thumbs up. So I'm not sure why everybody's angry, but the person of the debate gave me thumbs up. Thank you.

01:26:13AfrikaansCouncillor Boer, twee minute en 20 sekondes.claim

01:26:19AfrikaansDankie, Mevrou die Speaker.

01:26:20It's a cut-up, cut-off speech this time, but I will try and carry on where I left off. MPAC is doing great work in regularising those UIFW expenses, but they really, they cannot request from council to allow a write-off of 521 million rand of a contract of Piotrans where Supply Chain Management Regulation 36 was not followed, that is a deviation, and just saying that it was recommended to the accounting officer for further action. Before we can consider to write off these amounts, we really need what is the consequence management in these regards. The same with the contract to Sizwe Africa IT. Um, apparently the qualifications and the required documents were not attached in the bidding document and it was referred to the disciplinary board. Um, that's all good and well, but we need to know what is the consequence management, what happened to those people granting these contracts without the necessary documents. In principle, we are for to regularise all these UIFW expenses, but we are not going to be a blanket rubber stamp to just writing off without consequences. Thank you, Madam Speaker.

01:27:43AfrikaansBaie dankie, Raadslid Boer.

Item 61: Cllr Xulu (ActionSA)

01:27:45Can we have Councillor Xulu from ActionSA?

01:28:15Madam Speaker, I rise to speak on Item 61 and to present ActionSA Caucus's position on it. ActionSA supports this item and I also want to be clear so that when News24 and other media houses report to the public, they do not sensationalise our support. We do not celebrate the regularisation of irregular and unauthorised expenditure, but the MFMA requires council to deal decisively with these matters after a thorough investigation by MPAC. This report is the culmination of investigations into 42 reports with recommendations dealing with over 876 million in historical irregular expenditure and more than 41 million in unauthorised expenditure. These are not insignificant amounts and they do remind us of the devastating cost of weak governance and poor financial discipline. The report also makes it clear that in many historical matters, supporting documentation could not be found, forcing the committee to rely on sworn statements after guidance from the National Treasury, and that is an indictment of past administrativeclaim

01:29:47Madam Speaker, there's something wrong with my mic. I'm putting it on for the second time.claim

01:29:52There's no one switching off your mic. Councillor Belinda, I said I'll give you an answer in due course. Councillor

01:30:00Councillor just keep on pressing if it's off.

01:30:03Thank you so much, Madam Speaker.

01:30:07However, Madam Speaker, regularizing expenditure does not mean excusing wrongdoing. Action SA's position has always been clear and repeated in these chambers and in the Section 79 Committee. Every rand of public money must be accounted for. Consequence management must be implemented, and where there is evidence of misconduct or criminality, those responsible must face disciplinary and criminal processes.

01:30:38We therefore welcome the recommendations requiring the accounting officer to strengthen controls, report back to MPAC within prescribed times, improve compliance with the MFMA, implement proper standard operating procedures, and ensure investigators are appropriately vetted. These measures move us beyond merely closing old files towards preventing the recurrence of these failures.

01:31:06Action SA has consistently advocated for transparent governance, clean procurement, sound financial management, and strong oversight. These principles are central to building a capable municipality that residents can trust. As Councillors, our responsibility is not only to deal with the mistakes of the past, but to ensure they are never repeated. We therefore call on the administration to implement

01:31:36every recommendation contained in this report without delay, and to report back transparently on progress. Speaker, this current administration will leave office having hollowed out governance, weakened internal controls, and normalized irregular expenditure. But Joburg's story does not end here. When Action SA returns to government under the leadership of Herman Mashaba, we are going to rebuild a capable

01:32:14When Action SA

01:32:27Try the one next to you, Councillor. I'm keeping your time. There, your mic is on.

01:32:37When Action SA returns to government under the leadership of Herman Mashaba, we are going to rebuild a capable administration founded on clean governance, professional public service, and zero tolerance for corruption. We are going to strengthen financial controls, enforce consequence management without fear or favour, modernize procurement systems, and ensure that every rand entrusted to the city delivers value for residents.

01:33:09And our focus will not be on managing decline or repeatedly writing off failures, but on preventing them from happening in the first place. That is the difference Action SA is going to bring to the City of Johannesburg. I thank you. Action SA supports this item.

Item 61: Cllr Suddaby (DA)

01:33:26Thank you, Councillor. DA Councillor J Suddaby.

01:33:38Thank you, Madam Speaker. All protocol observed. I rise to speak on item 61, the motivation that Council certify as irrecoverable and regularize irregular and unauthorized expenditure from April 2026. Let's start with National Treasury's demand that the 2021 balance of UIFW be reduced by 86% by 30th of June 2026.claim

01:34:06Otherwise, the July 2026 equitable share tranche is at risk. Of equal importance is National Treasury's demand that there be a document retention policy in place, also by next week. Otherwise, the July 2026 equitable share tranche is at risk. With the above in mind, this document is not what the committee approved.claim

01:34:38Recommendation 1 of this report is so factually incorrect as to constitute a material misstatement that borders on having zero relationship with the truth. It certainly carries no commitment to transparent, honest, and good government. Let me read it to this Council. That the Council certify as irrecoverable and regularize R876,692,456.59 in irregular expenditure by the City of Joburg Metropolitan Municipalityclaim

01:35:13for the 2010/2011 to 2015 to 2016 financial year. Included in the annexure is R8,073,384.28 in irregular expenditure for the years 2010 to 2016. The balance comes from years 2022 to 2026.claim

01:35:45Let's look at that R8 million and odd rand for the 10 to 16-year-old matters. That this committee is kept busy with investigating so many historical matters leads to one to consider the intentionality to keep the committee from dealing with current matters, which will cause current matters to themselves become age-old matters. Rinse, repeat. The request to regularize, i.e., condone, i.e., write off, the 10 to 16-year-old R8 million plus irregular expense identified by the Auditor-General,claim

01:36:22comes from the inability of the investigators to access the supporting documentation required to determine the recoverability of the irregular expense. According to the relevant department heads and executive directors, the procurement committee minutes and all elements thereof cannot be found. The contract that was awarded cannot be found. The related service level agreement cannot be found. Communication records, both digital and paper,claim

01:36:54cannot be found. Proof of work done or goods supplied cannot be found. Invoices from the supplier cannot be found, and payment records to the supplier cannot be found. The only indication that money was spent and that it was irregular is the Auditor-General's notification of the UIFW register for Group Forensic Investigation Services. We know these documents have not been submitted to support the investigations because the relevant heads of departments and their executive directors have signed affidavits to this effect.

01:37:43Councillor, try the next one next to you. And there it's on. Councillors, we are having technical problems.

01:38:01And now you are screaming again in my mouth.

01:38:05Right, can we start again?

01:38:06AfrikaansHaai tog, uh-uh.

01:38:07Uh-uh, Councillor. IT is busy looking into it.

01:38:15isiZuluAkekho!

01:38:17Councillor Suddaby, can you carry on?

01:38:19isiZuluUbiziwe.

01:38:20Thank you. This is just one situation that highlights the dysfunction of the city with respect to protecting documents. The National Records Archive Act 1996, which is only 30 years old, states that all public records must be kept live for 20 years, after which they may be archived, i.e., even after 20 years, there must still be some way to access them. In other words, they must never be lost, they must never be replaced, and they must certainly never be deleted or destroyed.

01:38:57Ignorance of the law is no excuse, but to add insult to injury, 30 years after the promulgation of the National Record and Archive Act, the City of Johannesburg still has no document retention policy, and based on the administration's adherence to minimum effort on compliance, no documentation policy equals no document retention. That document retention policy has been in the making for two years. Other policies get to Council in six months. It can be done.

01:39:32That policy is not on the agenda for June Council. Strike one. Recommendation is so incestuous as to make one wonder what deformities the results will

01:41:2757 seconds, Councillor.

Item 61: MPAC report presented by Cllr Mazibuko

01:41:52Councillor Mmbengwa, ANC. I see, okay, Councillor Mazibuko is taking it. Thank you.

01:42:07Thank you, Speaker. I rise to present the report on the Municipal Public Accounts Committee on the investigation and irregular, unauthorized, fruitless, and wasteful expenditure incurred by the City of Johannesburg. The committee acknowledged the guidance provided by National Treasury during MPAC workshop regarding historical UIFW expenditure transactions where supporting documents could not be located despite reasonable efforts by management.

01:42:41The National Treasury advised that in such instances, the relevant accounting officers and finance executives should depose to sworn affidavits confirming that all reasonable steps had been taken to locate the missing records. The committee considered this guidance in evaluating historical cases and relied on the duly sworn affidavits submitted by management when making recommendations to Council.

01:43:14The committee further notes that the National Treasury guidelines does not absolve the city of its responsibility to maintain proper records and ensure compliance with the Municipal Finance Management Act. Rather, it provides a mechanism for dealing with the exceptional historical cases where records can no longer be retrieved despite exhaustive efforts. As part of its oversight responsibility, the committee considered and reviewed 42 investigative reports submitted by various departments and entities of the city.

01:43:52These reports contained a total of 63 recommendations to the committee's consideration. Following a thorough review process, the committee agreed with 49 of the 63 recommendations and resolved to Council that irregular expenditure be certified as irrecoverable and subsequently regularized in accordance with applicable provisions of the MFMA.claim

01:44:24Madam Speaker, the committee approached this task with seriousness and diligence required by law. Each investigative report was assessed individually, and determinations were made regarding the recovery of expenditure in accordance with Section 32(2)(b) of the MFMA and the committee-approved terms of reference. In reaching these decisions, the committee did not merely focus on the financial amounts involved.

01:44:55Particular attention was given to whether appropriate corrective measures had been implemented to prevent the recurrence of similar expenditure. Accountability and institutional learning remain central to the committee's oversight mandate. To strengthen ongoing oversight, the committee maintains a comprehensive register of all UIFW expenditures that have been written off or recovered. This register also tracks the service providers

01:45:29involved and monitors the implications of corrective actions recommended through the investigation process. This enables the committee to ensure that lessons are learned and that repeat occurrences are minimized. That's what I said. The committee also wishes to bring to Council's attention a significant challenge encountered during the review process. A number of transactions under consideration relate to historical expenditure dating back several years.

01:46:03In many of these cases, supporting documents could not be located despite efforts from management. It is important to emphasize that recommendation to write off expenditure does not imply that committee condones on non-compliance. Rather, it reflects a considered assessment that expenditure is not recoverable, that all reasonable investigation avenues have been exhausted.

01:46:33The detailed breakdown of the irregular expenditure is contained in Annexure A of the report before Council for consideration. I therefore move for Council to adopt the recommendations contained in this report. Thank you, Speaker.

Item 61: EFF contribution and IT outage announced

01:46:52Councillor Mosehla.

01:47:00This is your time to speak, you are not closing it, as the Acting Chair. Thank you, Councillor Mosehla, your time starts.

01:47:17Apologies, Speaker.

01:47:21Before you go, Councillor Mosehla, colleagues, as I said earlier on, IT has a problem, right, a technical problem. The system has just shut down. It's not even streaming, before people are going to ask why are we not streaming. So after this item, they have asked that we give them 10 minutes so that they are able to fix the system. Can we agree to that?

01:47:51Thank you so much. Thank you, Councillor Mosehla, you can go.

01:47:58Thank you, Speaker. I for a moment thought I'm not going to speak because I've tabled the item and I'm going to close. Nonetheless, I'm going to speak, Speaker, if that is permissible, and just want to get clarity from yourself.

01:48:30Yeah, no, I'm told that you can speak and then you will close afterwards. We'll call you again to close.

01:48:39Thank you.

01:48:40Just hold on, just hold on.

01:48:48Thank you, thank you. You can carry on.

01:48:53AfrikaansU kan aangaan.

01:48:55All right, thank you, Speaker. The Economic Freedom Fighters rise in support of the updated strategy for the prevention and reduction of unauthorized, irregular, fruitless, and wasteful expenditure. However, this support is not a blind support. It's a support accompanied by a firm demand for accountability, consequence management, and decisive action against corruption and financial misconduct.

01:49:24Our position is guided by Pillar number 7 of the EFF, which calls for an open, accountable, and corrupt-free government and society without fear of victimization by the state agencies. It further advocates for the building of state capacity and gradual elimination of a tender system that has become a breeding ground for corruption and the looting of public resources. Speaker, the figures contained in this report are alarming and should concern

01:49:58every Councillor who genuinely cares about the future of the City of Johannesburg. The report itself identifies several persistent weaknesses that continue to undermine sound governance, including lack of accountability by responsible officials, weak internal control systems, non-compliance with financial legislation and regulations, poor contract and supply chain management, delays in investigation and disciplinary processes,

01:50:30inadequate record-keeping and document management, poor budgeting processes, and expenditure monitoring. These weaknesses are not accidental, Speaker. They are symptoms of a governance system that has often failed to hold individuals accountable for wrongdoing. Speaker, the EFF has consistently maintained that the current tender system has become one of the biggest enablers of corruption in a local government.

01:51:00Public resources are too often diverted into the hands of politically connected individuals and companies, while communities continue to experience service delivery failures. The City of Johannesburg must begin a deliberate program of building internal state capacity. We must employ, train, and retain our own engineers, planners, legal experts, project managers, artisans, technicians, and other professionals, rather than relying excessively

01:51:37on outsourcing contracts. A capable municipality can't permanently outsource its core responsibilities. As the Economic Freedom Fighters, we support this item, Speaker. Thank you.

01:51:53Thank you, Councillor Mosehla. That was the EFF's presentation. Can we call...

01:52:04isiZuluHayibo!

Item 61: closing remarks and adoption

01:52:06Can we call the Acting Chair of the committee, Councillor Mosehla, for your closing remarks?

01:52:16Thank you, Speaker. I'm being called the player and the referee. Speaker, having listened to the debates from different Councillors, as the interim Chair of today, Speaker, this item served in the committee. All members debated, raised whatever they had to raise in that meeting,

01:52:50and have agreed with the item, and they are the ones who sent it here because they were happy with whatever is contained in the report itself, Speaker. And as a committee, we had agreed that this item must come here because what needs to happen is that we must have a strategy that is going to control on how information is saved, and we are able to get it as and when we want it.

01:53:25And one would like to lobby each and every one here in Council to allow this item to go through. Thank you.

01:53:41Thank you, colleagues. Item 61. The recommendations are on...

01:53:58The recommendations are on page 61.3 to 61.4. Is the item agreed to?

01:54:06Agreed!

01:54:15The yeses have it.

01:54:27Councillor Christians. Councillors, I need to listen to this point of order. Councillor Christians.

01:54:41Thank you, Speaker. It's not a point of order, it's Rule 84, where we'd like to record the opposition to this item by the Democratic Alliance. As we stated, there are a number of issues in that report. Thank you.

IT break

01:54:53Thank you, Councillor. Thank you. Colleagues, I am now going to give that 10-minute break for IT. As you can see, the screens are black, there's a problem, so I'm going to get them to fix it. I'm asking, it is 11:56. We come back in 10 minutes, which makes it 12:06. Can the Whips of every political party ensure that your people are back at 12:06? Whip of Council, you will deal with them if they're not here. You'll be fined.

02:13:32[inaudible] Mr. Carter, have you really agreed to let your daughter date a low-level employee of the company?

02:13:50[inaudible] Where are you taking me? Are we seriously having our first date in a parking garage?

02:13:57Of course not. I'm driving us out [inaudible]

02:14:04[inaudible] not sure where they parked it after I handed over [inaudible]

02:14:15Hey, how about we just get a cab and go on our date. You don't have to drive.

02:14:20That gets weird [inaudible]

02:14:38[inaudible] Mr. Carter's daughter. Taking a ride in her car [inaudible]

02:14:43We just got together and you're acting like [inaudible]

02:14:54[inaudible] for business. And I know him better than anyone. [inaudible] didn't have a dollar to his name, I don't care.

02:15:02Relax. I promise I'll drive you on our date in my car.

02:15:15Your car? Oh, sure. Don't say I'm fighting for a rental scooter, I bet.

02:15:23Close your eyes. I'll show you

Decision to continue without screens; recording concerns

02:16:15Mhm, the 10 minutes is over. And I'm not sure those that are mobile that are moving around, can they hear me? The 10 minutes is over. And I have been reliably told by IT, and whoever is not listening is not going to complain, I've been reliably told

02:16:45by IT that they need more time. And I said to and I said to them, I can't decide that on my own, but I need to bring it to you as councilors in the chamber. So they need more time. And they are saying to me that time would be Hey, there's a lot of people inside my mouth.

02:17:19Colleagues, can we be seated? Maybe I should take out that voice and ask us to be seated. Santana, be seated quickly, you'll go back to MMC. Tyrell Meyers, can you be seated?

02:17:42AfrikaansIemand, kan jy sit op Niemand se stoel?

02:17:47Okay, colleagues, let me start over. The 10 minutes is over, right? You don't want to listen, so I'm just going to do whatever I want to do. No, your people are also making a noise, Christians, and you are saying you can't hear. Colleagues,

02:18:09the 10 minutes is long overdue. I got reliably from IT, it's not a small issue. It would take them between 30 minutes to an hour. No, no, no. I didn't say to say, "Aowa". So now I'm saying, do we agree that we take that 30 minutes or that hour without the screens,

02:18:39or we just carry on the way we are here? I can see there are heads that says, "Carry on." Okay. Councilor Christians, if you are going to go out of that, I've got a lot of yeses that said yes, we carry on. Councilor Christians, and I'm saying the yeses have it, we'll carry on.

02:19:05Thank you, Speaker. Speaker, we rely on the recordings of this house to come back when there's issues. Also, we are not in a position where our recordings are happening because, as you know, we have not yet procured that. So in terms of transparency and record-keeping, can I urge those who said yes to say we give you the hour and continue thereafter. Thank you.

02:19:35Okay, besides that, Councilor, I've got from the table that they are recording. They're recording on Teams, so we are carrying on with the meeting. Any other opposition from that? No, no. So we are carrying on, Councilor. Can we carry on? I've given you a chance. And we are carrying on. I've given you a chance. You are going to say what he wanted to say. I'm carrying on. I've ruled. We're carrying on.

02:20:06Councilor Sifumba. You see when we went to somewhere for the first time.

02:20:11isiZuluMara Speaker niyathanda ukuzenza isangoma, ah.

02:20:14I wasn't going to say what he's going to say. Okay. Anyway, Speaker, no, I acknowledge the fact that you are saying it's being recorded on Teams. Will different caucuses be afforded a chance or maybe a copy of and the public, for that matter, a copy of the recordings? Thank you.

02:20:31We'll give you the recordings. We'll give you the recordings. Thank you, colleagues. Can we carry on where we left?

Item 62: UIFW prevention strategy, Cllr Boer (FF+)

02:20:39We resume with item 62, and that is the report to seek approval of the updated strategy for the prevention and reduction of unauthorized, irregular, fruitless, and wasteful expenditure that is aligned to the National Treasury Circular 111.

02:21:00I look there and I see Councilor Harris is not here. So can we continue to Councilor Boer? I see the thumbs up, Councilor Boer.

02:21:13AfrikaansDankie, Mevrou die Speaker.

02:21:14Let's carry on with the business of the day. I'm rising on item 62, the strategy on the prevention and reduction of UIFW. Madam Speaker, in Afrikaans we've got a saying that says,

02:21:27Afrikaanspapier is geduldig.

02:21:29Paper is patient. We can have the best strategy in the world, but if implementation is not there, we're going to get nowhere. And if we look in this amended strategy that came from 2021, and it was the adjustment with the National Treasury requirements 111, the document is good on itself. But the document also tells us that the amount of UIFWs in the city has increased dramatically over the last few years.

02:22:00And there's a very simple reason for that, and that is called adjustment budget. Madam Speaker, allow me to give the definition in the MFMA about unauthorized expenditure. And it says here, I'm reading from the law, "In relation to a municipality, means any expenditure incurred by a municipality otherwise than in accordance with section 15 or 11, and includes overspending of the total amount appropriated

02:22:31in the municipality's approved budget." So anything that we overspend which was not in the budget is called unauthorized expenditure. And those things can be regulated. And 90% of our UIFW in the city is unauthorized expenditure. And section 32(2)(a) says, "A municipality must recover unauthorized, irregular, or fruitless expenditure from the person liable

02:23:03for that expenditure unless the expenditure in the case of unauthorized expenditure is authorized in an adjustment budget." So Madam Speaker, the adjustment budget is there to say we have budgeted for R1,000 to pay to Eskom at the beginning of the year. And when we come to the mid-term, half of the year, we see we've actually spent already R900 to pay to Eskom. We're going to be short on the budget.

02:23:33And then we take the adjustment budget and we say, no, we are probably going to pay Eskom R1,800 instead of the original R1,000. And therefore, we adjust the budget by R800 to authorize this overspending. And Madam Speaker, this is what we need to do. We can have a strategy that is wonderful, but if we do not implement the measures to prevent this expenditure, the strategy on itself is useless. What we are going to support the strategy, that we are going to implement it. Thank you very much.

02:24:04AfrikaansBaie dankie.

Item 62: Cllr Steenkamp (PA)

02:24:06Councilor Steenkamp, PA.

02:24:17Greetings, Madam Speaker, Executive Mayor, Chief Whip of Council, PA Joburg 11 Councilors under the capable leadership of our caucus leader, MMC Kenny Kunene, fellow councilors, but most of all, the residents of this beautiful city. Speaker, today I want to speak on not just about numbers on a spreadsheet, but about the people behind those numbers. When we speak about unauthorized, irregular, fruitless, and wasteful expenditure,

02:24:48we often use technical language and financial terminology. But let us be honest, UIFW is not merely an account issue. It is a service delivery issue. It is a community issue. It is a moral issue. Every rand that is wasted has a face attached to it. It is a grandmother waiting for a clinic appointment. It is the unemployed youth searching for an opportunity. It is a residentemotive

02:25:19living in darkness because the streetlight has not been repaired. It is a family waiting for housing allocation. It is a community waiting for roads, parks, libraries, and basic services. When public money is spent outside approved processes, when procurement laws are ignored, when contracts are poorly managed, and when negligence results in financial losses, it is not government that suffers first,emotive

02:25:50it is the people. The tragedy is that fruitless and wasteful expenditure is entirely avoidable. It is not caused by natural disaster. It is not caused by circumstances beyond our control. It is caused by poor decisions, poor planning, weak oversight, and sometimes a lack of accountability. As leaders, we must ask ourselves a difficult question. How do we explainemotive

02:26:20to residents that there is no money to fix their problems while millions are lost through irregular penalties, interest payments, and waste? How do we ask communities to be patient when public resources are not always treated with the care that they deserve? The residents of our city are making sacrifices every day. They expect us to do the same. They expect honesty, they expect accountability, and they expect leadership.emotive

02:26:51The fight against UIFW requires more than policies and reports.

02:26:5520 seconds.

02:26:56It requires courage, courage to ask difficult questions, courage to hold people accountable, courage to place the interest of residents before personal interest. We must create a culture where compliance is non-negotiable, where integrity is rewarded, and where officials understand that public money is sacred because it belongs

Item 62: Cllr Wax (DA)

02:27:23Thank you, Councilor. Your time is up. I've warned twice. I've warned twice. Your time is up, Councilor. Thank you. Next councilor, Councilor K. Wax from the DA.

02:27:47Thank you, Madam Speaker. Madam Speaker, I rise to speak on item 62, the updated strategy for the prevention and reduction of UIFWs in line with the National Treasury Circular 111. Madam Speaker, fellow councilors, guests, and residents, all protocol observed. We stand today not to grandstand,

02:28:14but to hold this administration to the basic standard of governance, accountability. The document before us is presented as a corrective strategy. Yet it reads more like a public relations exercise than a serious plan to fix a fiscal crisis. Crucially, this report did not come before the Governance Oversight Committee for scrutiny, debate, or any form of deliberation.

02:28:43That omission, Madam Speaker, is not a technicality. It is a failure of oversight. Let me be blunt, Madam Speaker. The city's own numbers tell a story of neglect. The report admits in 2023-24, the opening UIFWE balance of 23.6 billion, which was an astronomical jump from 12.86 billion in the 2019-2020 year.claim

02:29:15It further notes ongoing UIFWE declarations of 3.6 billion in the current year, which includes unauthorized expenditure linked to bulk purchases and fruitless and wasteful expenditure. The document itself warns on page 62.2, and I quote, "The total accumulated balance at the end of the financial year 23-24 of 23.6 billion led to the Minister of Finance

02:29:46formally raising concerns with the Executive Mayor regarding the city's non-compliance with the Municipal Finance Management Act." Those are not abstract criticisms, Madam Speaker. They are a red

02:30:00flag that should have triggered urgent, transparent oversight, not a neatly packaged strategy that bypasses the very committee charged with governance. Further on page 62.12 of the report it states, and I quote: "The draft plan for the implementation of the UIFWE prevention and reduction is under development. This previous plan is being reviewed and updated." Those sentences,

02:30:30Madam Speaker, should chill every councillor in this chamber. We have a multi-billion rand problem, flagged by the national Minister of Finance, and the administration's response is a draft? So, what critical flaws must we expose today? Firstly, the strategy lacks independent scrutiny. A document of this magnitude proposing targets to reduce billions in UIFW

02:31:00Es must be stress-tested by the appropriate oversight committees. We need forensic interrogation of assumptions, timelines, resources, and allocations. Instead, Madam Speaker, the report was circulated without that essential step. That is governance by memo, not governance by process. A quick glance reveals that the balance reduction claimed by the city in 2024/25 was the result of regularization

02:31:30and not effective prevention. Secondly, Madam Speaker, the targets are aspirational, but under-specified. With headline reductions 50%, 60%, 70% over successive years. But it fails to show exactly how these will be achieved.

02:31:47Councillor Wax, just hold on. Can we get a a roving mic because we can't hear? Oh, there your mic is on. Okay.

02:32:00Mic is still on.

02:32:04Hear you. Thank you.

02:32:11Right, let's try again. Um, that is governance, sorry. Now I've lost my place. Um, targets without a credible resource plan, Madam Speaker, uh can be considered wishful thinking. We need line-by-line action, specified ownership, and budgeted resources. The public deserves to know whether these targets are policy or prophecy. The fallacy here, Madam Speaker, is that while council

02:32:42is requested to approve these targets, the information provided is incomplete, with a clear admission that these declarations are incomplete or delayed, and with ongoing Gee, I'm getting too old for this. Um, that they are delayed and with ongoing um AG identified irregularities and undeclared spending on the non-specialized fleet contract.

02:33:12Madam Speaker, in the third place, the report admits systemic failures, but offers weak remedies. It lists root causes such as weak internal controls, poor record-keeping, delayed investigations, and inconsistent declarations. Yet, the proposed responses are largely procedural: centralize investigations, adopt combined assurances, and draft protocols. These, while they are necessary steps,

02:33:42they are not sufficient. Where is the timeline for disciplinary action? Where is the commitment to recover funds? Where is the independent audit of historical contracts that continue to bleed this city? Fourth, Madam Speaker, the governance architecture is muddied. The report repeatedly refers to MPAC, the Disciplinary Board, municipal entity boards, and Group Legal, but it does not clarify

02:34:13the escalation path when these bodies disagree. Who has the final authority to stop ongoing payments on contracts deemed irregular? Who signs off on cost-benefit decisions to pursue civil recovery? Ambiguity here equals delay, and delay equals loss. And in the fifth place, Madam Speaker, the report skirts the political dimension of consequence management. We all know what serious problem we face in the city

02:34:43with the lack of consequence management, and we are not dealing with it as effective as we should. Madam Speaker, this strategy does not come before did not come before the Governance Oversight Committee, as I pointed out earlier. This is not a minor lapse, it's a dereliction of duty. If the administration cannot be bothered to subject a multi-billion rand recovery plan to proper oversight, how can we trust its implementation? The plan in and of itself lacks

02:35:14the credibility to serve as an effective bulwark against financial mismanagement and needs to be revisited urgently.

02:35:2450 seconds.

02:35:25This is not about scoring political points; it's about protecting our finances and our residents. If this administration is serious about fixing the rot, it will welcome oversight, publish the detail, and act with urgency. And if it refuses, the people will decide. The 4th of November is coming. We reject this report. I thank you.

Item 62: Cllr Xulu (ActionSA) for Cllr Modukanene

02:35:48Thank you, Councillor Wax. The mic wants to be treated with TLC, so let's not move around a lot. Councillor Modukanene, ActionSA.

02:36:10Is the councillor here? Councillor Modukanene.

02:36:16Uh, Madam Speaker, Councillor Modukanene is in leave of absence, and um we serve in the same committee, so um I will be taking his item.

02:36:25Carry on, councillor. Thank you.

02:36:27Thank you. Madam Speaker, fellow councillors, the Fabulous 44,

02:36:32Councillor Kiviet. [no speech]

02:36:39There's a rat somewhere.

02:36:45There's rats over there, so can you can you just get yourself out and let someone take them out. Thank you. Councillor Modukanene's substitute.

02:36:58Okay, okay, the rat is there, not here. Carry on, councillor.

02:37:03It's Councillor Xulu, uh Madam Speaker.

02:37:05Councillor Xulu, please carry on.

02:37:07Uh Madam Speaker, fellow councillors, uh the Fabulous 44, guests in the gallery, and residents of our beloved city,

02:37:14isiZulusanibonani.

02:37:16I rise on item 62. Madam Speaker, ActionSA supports the spirit and the intention of the strategy, because there is no responsible councillor that is going to oppose stronger governance, improved accountability, tighter internal controls, and the reduction of unauthorized, irregular, fruitless, and wasteful expenditure. In fact, many of the principles contained in this document are long overdue.

02:37:47But Speaker, our support for the spirit of this document must not be mistaken for blind confidence in the administration expected to implement it, because that is where our concern lies. This administration, Madam Speaker, is very much capable of producing well-written strategies. Unfortunately, translating those strategies into measurable change has remained its weakest. Johannesburg is drowning, Madam Speaker,

02:38:17isiZuluiyagcwila. Igcwila

02:38:19in turnaround strategies,

02:38:21isiZuluigcwila

02:38:22in recovery plans, task teams, and government frameworks.

02:38:26isiZuluKodwa abahlali bayaqhubeka

02:38:28experiencing collapsing infrastructure, water shortages, billing crisis, power outages, delayed investigations, and weak consequence management. Speaker, the report confirms that the city accumulated approximately 24 billion in UIFW expenditure. That did not happen because policies did not exist. It happened because leadership failed to enforce accountability,

02:38:57and the report itself admits this: ineffective internal controls, delayed investigations, poor record management, inconsistent declarations, and weak accountability. These failures, Madam Speaker, happened under the political leadership of the ANC and its enablers. Madam Speaker, one of our biggest concerns is that this report itself states the draft implementation plan is under development.

02:39:28Yet council is being tasked to approve targets, governance structures, and reduction commitments, while the implementation architecture is still being finalized. That should concern every serious councillor in this chamber, because strategies do not implement themselves. Implementation requires political will, discipline, accountability, and ethical leadership. And unfortunately, this administration

02:39:59has not built sufficient credibility for residents to simply trust that implementation will happen effectively. Speaker, residents are tired of reports that diagnose problems perfectly, but fail to produce measurable change. They want investigations completed, disciplinary action implemented, public money recovered, and consequence management applied consistently. And that is the real test. Not how impressive

02:40:29the document sounds, but whether this administration finally develops the courage to implement what it has written. And Speaker, this term of government is now drawing to a close. If the ANC and its enablers fail to implement this strategy properly in the remaining months of this term, they can be rest assured that when ActionSA enters government after the 4th of November, we are going to implement it. Not selectively, not politically,

02:40:59but decisively and in the best interest of Johannesburg residents, because residents deserve a government that does not merely draft accountability frameworks, but actually lives by them. I thank you, Madam Speaker. ActionSA supports this item.

02:41:15Thank you, Councillor Xulu. Councillor J. Mosehla from the EFF.

Item 62: UIFWE strategy – EFF and ANC debate

02:41:30Thank you, Speaker. Greetings to yourself, greetings to the Deputy Executive Mayor, members of the Mayoral Committee, fellow councillors, City Manager, CFO, COO, residents of Johannesburg. Honourable Speaker, the figures contained in this report are alarming and should concern every councillor who genuinely cares about service delivery and the future of Johannesburg. The report indicates that by the end

02:42:00of the 2023/24 financial year, the city had accumulated approximately 23.6 billion in unauthorized, irregular, fruitless, and wasteful expenditure. Furthermore, during the current financial year, approximately 3.6 billion in additional UIFWEs has been recorded, with unauthorized expenditure accounting for the largest portion. These are not merely accounting

02:42:31figures. These billions represent service delivery services not delivered, roads not repaired, clinics not upgraded, libraries not built, electricity infrastructure not maintained, and communities that continue to suffer while public funds are wasted or mismanaged. The reality is that despite previous interventions, strategies, frameworks, and commitments, financial misconduct

02:43:01continues to plague the City of Johannesburg. This demonstrates that the policies without implementation and consequence management are meaningless. So this strategy is important, must be adopted and implemented. These weaknesses are not accidental, Speaker. They are symptoms of a governance system that has often failed to hold individuals accountable for wrongdoing. Honourable Speaker,

02:43:31the EFF therefore calls for concrete actions and not only another strategy document. We demand time-bound investigations into all cases of unauthorized, irregular, fruitless, and wasteful expenditure. Time-bound disciplinary proceedings against officials implicated in financial misconduct. Public reporting to council on the outcomes of investigations and disciplinary actions. Aggressive recovery of all monies

02:44:02lost through negligence, misconduct, or corruption. Criminal referrals and prosecutions where evidence of wrongdoing exists. Thorough investigation into missing, incomplete, or destroyed records. Um, strong protection for whistleblowers who expose corruption and maladministration. Without consequence management, Speaker, strategies

02:44:33become paperwork exercises. Without accountability, corruption flourishes. Without enforcement, financial misconduct becomes normalized. Honourable Speaker, the Economic Freedom Fighters therefore support the adoption of this updated

02:44:5040 seconds.

02:44:51UIFWE strategy. We expect to see investigations completed within prescribed timeframes, effective consequence management, recovery losses, a clear program aimed at building state capacity and reducing dependence on the tender system. In conclusion, the people of Johannesburg deserve a municipality that is transparent, accountable, and free from corruption. They deserve a government that places public interest above private

02:45:21enrichment. They deserve a capable developmental state that delivers quality services and manages public resources responsibly.

02:45:36Thank you, Councillor Mosehla. Councillor Mokoena from the African National Congress.

02:45:54Thanks, Speaker, and greetings to you. Greetings to Executive Mayor in absentia, Deputy Executive Mayor, Chair of Chairs, Whip of Council, MMC, and fellow councillors, and community at large. Speaker, item 62, it talks about the strategy, and this strategy needs a systematic and operational response preventing the preventing and

02:46:25reducing the UIFWs. The strategy aims at ensuring effective governance over expenditure management and preventing occurrences of UIFWs, detect, declare, and timeously investigate and report cases, reduce historical balances, recovery, and losses. And Madam Speaker, within any document or any policy, I believe there is human beings within

02:46:56any strategy or policy. And Speaker, City of Joburg has a capacity, and that capacity, it needs a serious willpower just because of figures that are reflected in this report are so alarming, Speaker. And ours as a council is to protect and make the city to start working. And if this strategy will be failing and not be implemented, then we'll uh we are saying to

02:47:27the community and our kids, they'll inherit a city that is forever in trouble just because of you look at the consequence management, whatever disciplinary board that has been

02:47:40Councillor Mokoena, can you just hold on? Colleagues on my left, on my left, can we please stop? We can't even hear the councillor, and there's a councillor right at the back that's chirping like it's

02:48:02Afrikaansgaan nie aan.

02:48:03Thank you. Thank you, Councillor Mokoena.

02:48:09Thanks, Speaker. And this strategy is structured, it has a structured approach. Therefore, as a city, we cannot not approve this strategy so that it gets implemented and it gets officials and its entities to start doing the real work, and they need to be monitored every time, Speaker. Uh just because of if we are losing money as a city, uh we are creating

02:48:39a serious problem just because of mismanagement and other things. And we cannot even also given the National Treasury Circular 111, where we'll find ourselves money that a national government has to put in the city, it gets stopped just because of things that we are doing as officials. It's high time that the Mayoral Committee and uh the administration,

02:49:11they should begin to do things in the right uh things in the right direction so that uh we get the city start working. I mean, issue of 23 point something billion, Speaker, is a lot of money uh for irregular, and there are still even others that are still coming just because of invoices and other things are not done at the right time. So it's high time that probably this council should get monthly reports and quarterly reports so that it can begin to deal

02:49:41with UIFWs at the right time, Speaker.

02:49:54And also, Speaker, surely this strategy, it needs some sort of defense mechanism in dealing with the challenge that the city is faced with. And those defense mechanisms, they need to be put in place just because of if we leave things to to the later stage, we are beginning to cause a problem. I mean, the department like GFIS and GRAS, they need

02:50:25to start investigating, and also consequence management should be uh implemented at the right time. It should not be left for months to come. Just because of as soon as we have left we are leaving everything for months to come, we are creating a problem for ourselves, Speaker.

02:50:59So we should also, Speaker, begin to implement uh legislative provisions uh that are provided so that uh the UIFW should be uh dealt with at the right time. Just because of if we are not also implementing the Municipality Finance Act Chapter number 8 and Municipality Finance Act Circular 68, Speaker, really we'll be in trouble.

02:51:31And at the end of the day, officials like CFO and City Manager, managers of departments should begin to act, and also the Disciplinary Board should also give timeframes in dealing and investigating cases that are brought. And we cannot be writing off, Speaker, just because of if officials are within the city, we need to begin to deal with uh serious investigation

02:52:01so that we should not find the city in trouble. I thank you, Speaker.

Chamber sound problems and rats

02:52:07Thank you, councillor. Councillor Belinda, we on a Okay. Okay.

02:52:20Thank you, Madam Speaker. You know, earlier you mentioned something about rats that are running around. I'm starting to wonder if the cords of all the wiring in the chamber had not been eaten by that. Please, can you ask IT to do a thorough check? Um, and maybe possibly have get the cleaners involved as well because, I mean, this is going to sabotage everything that we are doing here. People can't hear us.

02:52:47They are checking. They are checking, but we must also be cognizant to stop bringing our food into the chamber, our chips and things that we eat. We can't. We drop it and the rats come. That's a reality. But we are checking it, Councillor Belinda. Thank you. MMC Masuku.

Item 62: MMC reply and item agreed

02:53:12Thank you very much, Madam Speaker. Once again, I think, uh taking from Councillor Boer's point about um implementation of this um strategy and making sure that it um actually has the teeth and we implement, um we are all in agreement with that. Madam Speaker, through you, it's unfortunate um what Councillor Wax would have said. If you recall in the May meeting, the the reportclaim

02:53:44was withdrawn precisely because um councillors wanted to engage. We allowed that engagement. We requested an extension from National Treasury um so that we are able to provide the Democratic Alliance caucus an opportunity to interact with the document, and we took it back. It was a specific request that we must take it back to MPAC. Through you, Speaker, now Councillor Wax, on behalf of the caucus, says, "No, it should have also gone to the Oversight Committee."claim

02:54:16We can't be shifting goalposts. We've got work to do. We've got deadlines to meet. We've got And the beauty about this uh strategy, and I think um Councillor uh Xulu understands it uh because probably he understands the intention, it's not sacrosanct. It's a living document where inputs and continuous engagement can continue and it can always be updated. And the Democratic Alliance caucus has that opportunity, and they had that opportunity where

02:54:47they could have said, "These are our views," um or when they requested it goes to MPAC, "and this is what we would like to be added," so that there's actually a a process that just assists council. This is about council and not anything else. And this actually is a strategy and a framework that all of us had agreed that it must come to council. So I'm very disappointed in their approach. Um it actually defeats the purpose of why we even postponed uh the item. We could

02:55:19have sent our council resolution to Treasury already. So indeed, um Councillor Xulu, I agree with him, through you, Speaker, again, is that there is no sensible councillor, there is no responsible councillor who can actually uh refuse to support such a progressive document, because it's a document that takes the city forward, and it's a document that enforces to ensure that the City Manager, supported by his um by his team, they have a single accountability

02:55:51framework coordinated and implemented correctly. This document actually assists because it's a strategy that will improve accountability as well as accelerate investigation and make sure effective consequence management is implemented. And the strategy aims to reduce UIFWs and improve compliance and strengthen the city's overall financial governance environment. And we have not hidden anything. We have been transparent. We have put everything as

02:56:22is. The figures are there for all to see. We did not brush anything under the carpet because we want the city to move forward. And we even put the figures in terms of the progress that has been made in terms of regularization of the significant portion of the historical UIFWs from 2023 to um up to 2024. Speaker, I do want to say that we are moving ahead in the we are moving in the right direction, and we really ask councillors to understand that the updated strategy for the

02:56:54prevention and reduction of unauthorized, irregular, fruitless, and wasteful expenditure is aligned to National Treasury Circular 111, as indicated by Councillor um Mokoena. So it's not just some pie in the sky. There's alignment, and we are making significant governance and financial management progress in ensuring that we take the city forward. And historical UIFW dating back more than 10 years of unresolved instances and missing documentation and delays

02:57:25are something that we have spoken about. We did not hide that. That is the transparency that we put in this place, as well as the non-compliance issues that um we addressed. And what we ask for council is to take this as a document, a living document, that at any given point, should there be a need to revise, that is why you can update and revise as and when. And that is why committees have that opportunity to do oversight on documents that are coming from the executive. We thank you um for your inputs, um

02:57:57Councillor uh Mosehla, um as well as um the councillors who indicated their support for this document. A caucus and councillors that want the city to move forward will support this particular strategy. I thank you.

02:58:12Thank you, MMC. Um, recommendations are on page on pages 62.14. Is the item agreed to?

02:58:28Agreed.

02:58:30Thank you. Thank you, colleagues. We're going to the next item.

02:58:40We're now on item 66, and that's

DA Rule 84 objection after item 62

02:58:42Just hold on. Hold on. I've seen Councillor Christians. Who was that? Councillor Christians, your hand is long enough, I've seen it.

02:58:53Thank you, Speaker. Speaker, sometimes you miss my thinness, so I think that's why they put it forward. Uh Speaker, in terms of Rule 84, the Democratic Alliance would like to record its uh objection to this item. Thank you.

02:59:08Thank you, Councillor Christians.

Item 66: Financial Turnaround Framework – FF+ and ACDP

02:59:12Uh item item 66 is the Financial Turnaround Framework for the City of Johannesburg.

02:59:19AfrikaansRaadslid Boer, Vryheidsfront Plus.

02:59:23AfrikaansDankie, Mevrou die Speaker. Um,

02:59:26I think to summarize this document, um item number 66, I'm going to read 3.1. It's called the systemic crisis loop. And I think this phrase should be on the desk of every single councillor, um employee of the city, MMC, Mayor, whatever they are called. Um it says, the loop: Billing weakness reduces revenue. Revenue decline produces-]

03:00:00liquidity stress. Liquidity stress defers maintenance. Deferred maintenance increases infrastructure failure. Infrastructure failure erodes public trust. Declining public trust weakens payment culture. And weak payment culture further reduces revenue. Madam Speaker, this is what this document is all about. Um

03:00:30and the document itself is a lovely document. If, well again,

03:00:34Afrikaanspapier is geduldig.

03:00:35If we can implement this strategy, that will for sure result into a turnaround of the city's financial situation. But not only this. We are missing two very serious points. The first point is the culture of non-payment. As long as we got a culture of non-payment, especially again Region D and Region G, that culture has to be broken.

03:01:02Our resident needs to know Rand Water is not supplying the city with water for free. Eskom is not supplying electricity to the city for free. Our workers are not working for free. SAMWU is standing outside again wanting the implementation of the PFA agreement, and we want to look after our workers,

03:01:24but we need cash for that. We need money for that. We need our residents to start paying for their accounts so that we can pay our workers. And this culture has to be broken one way or the other. And maybe we must we must say to SAMWU for every 5% uh uh increase in a collection rate in Region D and Region G, you will get a certain uh uh extra amount on the PFA. The second pillar, Madam Speaker, that we need to break is the system systemic corruption, especially in City Power.

03:01:55In City Power, between the contractors, employees, and even management of the different regions, the bribery there is so ongoing, uh our residents are suffering from meters that are taken away, and the next day they get a phone call of being offered a certain amount to replace the meters again. Our residents are sick and tired of systemic corruption, and those two pillars need to be incorporated into this document to really make it a wonderful document. But Madam Speaker, closing off, this document is really the best document that we've seen in this council term the last 5 years.

03:02:29And yes, we have got to go full out and implement it. Thank you very much.

03:02:35AfrikaansDankie, Raadslid Boer.

03:02:37Councillor M Mkhonza from the ACDP.

03:02:44Yes, um, thank you, Madam Speaker. Uh, greetings to the Deputy Executive Mayor and all councillors. Uh, Madam Speaker, the ACDP welcomes the acknowledgement welcomes the acknowledgement by the Group Finance that the turnaround strategy cannot remain a theoretical document

03:03:07but must become a foundation upon which all municipal planning, budgeting, implementation, monitoring, and oversight processes are built. We support the principle that the turnaround strategy should influence budget allocations, SDBIPs SDBIP targets, monthly Section 71 monitoring processes, municipal entity shareholder oversight, performance agreements, audit action plans, expenditure authorization,

03:03:37and, um, tariff tariff and subsidy decisions, as well as the city's engagements with National Treasury and the Presidential Johannesburg Working Group. The stated objective of rebuilding the city's capacity to fund, deliver, account, and reform simultaneously is both necessary and urgent. We support measures aimed aimed at stabilizing cash flow

03:04:02and liquidity, improving the credibility of revenue assumptions, protecting the expanding protecting and expanding, um, the revenue base, reducing wasteful and non-essential expenditure, restoring the relationship between capital investment and service delivery outcomes, strengthening audit reliability, and establishing a clear chain of accountability from council resolutions through to administrative implementation.

03:04:32Madam Speaker, strategies do not deliver services. Implementation does. The city has to has produced many plans, frameworks, and recovery programs over the years, yet residents continue to experience service delivery failures, infrastructure backlogs, and financial instability. The true measure of this turnaround strategy will therefore not be found in presentations, reports, or workshops, but in tangible improvements

03:05:00experienced by the people of Johannesburg. The ACDP caucus notes the six pillars of the turn- turnaround strategy and will closely monitor its

03:05:0840 seconds.

03:05:09And thank you very much. The ACDP caucus notes the, uh, six pillars of the turnaround strategy and will closely monitor its implementation. We expect measurable progress, clear accountability, regular reporting, and decisive action, uh, action against non-performance. Johannesburg residents deserves a municipality that, uh, not only identifies its challenges,

03:05:34but has the discipline, leadership, and political will to resolve them. Thank you, Madam Speaker. Shalom, shalom.

Item 66: DA supports framework

03:05:41Thank you, Councillor. Um Councillor Santana, DA.

03:05:56Yoh, we are twins.

03:05:59Okay. Madam Speaker, today we are considering a Financial Turnaround Framework that is both necessary and long overdue. Let us acknowledge Let's begin by acknowledging the uncomfortable truth contained within this report. Johannesburg is facing a sys- a systemic financial crisis. The report paints a sobering picture of the municipality with a cash coverage of approximately 5 days, a debtors book of 73.7 billion, non-revenue water loss- losses approaching 45%,claim

03:06:29electricity losses approximately 30%, repairs and maintenance spending at roughly half of the accepted benchmark, and a combined infrastructure backlog exceeding 200 billion. These are not merely accounting concerns. They translate directly into water outages, electricity failure, deteriorating roads, declining service delivery, and a growing frustration among residents. The Democratic Alliance therefore welcomes the fact that the administration has finally acknowledged the scale of the problem and has attempted to consolidate multiple financial recovery initiatives into a signa- single measurable framework.

03:07:08Madam Speaker, the most important sentence in the entire document appears near the beginning of the report. It states that the Johannesburg already has significant plans, technical int- interventions, and diagnostic reports, and that the problem is not an the absence of plans, but the persistent failure to convert plans into visible, measurable outcomes. That statement is absolutely true. Johannesburg crisis has never been a shortage of strategies. It's been a shortage of implementation.

03:07:39We have adopt We have adopted plans before. We have commissioned reports before. We have approved fra- frameworks before. What residents are waiting for is delivery. The success of this framework will therefore not be measured by how many meetings are held, how many dashboards are produced, or how many presentations are circulated. It will be measured by whether the residents experience fewer water outages, fewer power disruptions, cleaner streets, improved customer service, and better infrastructure reliability.

03:08:11Madam Speaker, the report correctly identifies the structural weakness that have brought the city to this point. National Treasury has identified serious concerns regarding budget credibility, revenue assumption, infrastructure investment, governance reforms, audit weakness, and service delivery performance. The city's debtors book contains continues to grow despite collection efforts. Cash reserves remain critically low, capital spending remains below acceptable levels, repairs and maintenance rema- remains well below benchmark levels.

03:08:44These realities cannot be ignored. The Democratic Alliance particularly welcomes the report's honest honesty regarding the sweeping arrangements of the structural distortions it has created. For years, Johannesburg Water surpluses have effectively subsidized City Power's deficits without formal revenue siri- sharing agreements, without transparent performance conditions, and without sufficient accountability. The result has been an uninve- an underinvestment in crittle in critical infrastructure and growing financial instability across the municipal entities.

03:09:16The framework's proposal to move towards a transparent, rule-based, and accountable financial agreement is a necessary reform that should be that should have happened years ago. Madam Speaker, the DA also welcomes the report's recognition that the Johannesburg's financial challenges are not so- solely self-inflicted. The inclusion of the unfunded mandates as a structure structural contributor to municipal finances distress is an important acknowledgement. For many years, municipalities have been

03:09:46expected to carry increasing respons- responsibilities while receiving insufficient financial support from higher spheres of government. This places enormous pressures on municipality's finances and diverts resources away from core infrastructure investment and maintenance. Recognizing this reality is important if we are serious about long-term sustainability. Madam Speaker, the Democratic Alliance welcomes the inclusion of Pillar 7 dealing with the personnel expenditure and staff establish- establish- staff establishment audit.

03:10:17This further strengthens the Financial Turnaround Framework through an independent personnel expenditure and staff establishment audit across core administration and all the ent- municipal entities. This is framed as a fis- fiscal discipline, governance, and service delivery intervention in direct support of the framework's expenditure containment, performance management, and accountability objectives. It is not an indiscriminate staff re- reduction exercise. The audit shall include verification of all employees against the approved staff establishment,

03:10:50payroll, identity, attendance, and work location re- records, with specific testing for ghost workers, duplicate records, inactive employees, unauthorized appointments, and employees remunerated outside approved stru- structure, verification that each post remains necessary as well as funded, properly filled, and linked to a current service delivery or statutory function. Verification of employee qualifications, professional registrations, and competency re- requirements in terms in accordance with

03:11:20the Local Government Municipal Staff Regulations of 2021. The assessment of whether employees are performing their designated functions and whether underperformance has been addressed through law- lawful pro- uh performance management processes, review of overtime, acting allowances, scarce skills allowances, standby pay, leave in encashment, travel and subsidies claims to confirm um legality, affordability, and continuing necessary necessity, reviewing

03:11:50all staff-linked recurring contracts, this being cell phones, data services, vehicle fuel cards, et cetera. To confirm necessity and cost-effectiveness, verification that the Municipal Manager and senior management's remuneration complies with upper limits prescribed under the Municipal Systems Act of 2000. And the verification that councillors' remuneration, allowances, benefits comply with Remuneration of Public Office Bearers Act of 1998. The inclusion of Pillar 7 improves the framework and makes it more uh reflective

03:12:20of realities facing in metropolitan municipalities. Uh we obviously as the uh Deputy Mayor alluded to that this is a living document, so hopefully we can then include how this then uh impacts the the board members and the appointments of directors through the entities by the board members. This document needs to be obviously updated to reflect that. Over and above that, the document also needs to be reflect in terms of the overview to increase um Pillar 7. Madam Speaker, we must also ensure a clear warning.

03:12:5559 seconds.

03:12:57Uh the greatest risk to the framework is not diagnostic. The diagnosis is largely accurate. The greatest risk is implementation failure. I'm going to just move fast so we can get past there. The city cannot afford the Sorry, the DA therefore supports this framework while exercising rigorous oversight over its implementation. Uh but we will also hold the administration accountable for every commitments contained in this report. Joburg does not need another strategy; Joburg needs results. The true test begins the day after this framework is adopted. The Democratic Alliance supports this item. Thank you.

Item 66: ActionSA supports with criticism

03:13:33Thank you, Councillor Santana. Councillor N Edwards from ActionSA.

03:13:45Thank you, Madam Speaker. Today we are presented with a Financial Turnaround Framework that reads less than a recovery plan, but more than an admission of failure. The report itself tells us Joburg is facing a systematic crisis despite a reported surplus. The city remains financially fragile. Cash coverage stands at only 17 days.claim

03:14:13The current ratio is a concerning 0.73:1. The debtors book has ballooned to 7.8 billion, with 90% of debt older than 91 days. Water losses are costing residents approximately 3.8 billion annually, while electricity losses amount to another 5.7 billion. Capital expenditure implementation remains alarmingly low, and National Treasury has identified a 2.1 billion unfunded budget gap.claim

03:14:46These are not opposition talking points; these are findings contained in the very same document. What is perhaps most worrying is the report repeatedly states that Johannesburg does not suffer from a shortage of pr- plans; it suffers from a shortage of implementation. The problem is not that the government does not know what to do; the problem is the government fails to do it. Madam Speaker, let us compare this reality with the Johannesburg inheritedclaim

03:15:16by residents under the multi-party administration led by Herman Mashaba between 2016 and 2019. During this administration, Johannesburg achieved an unqualified audit outcome and maintained a position where the Auditor-General confirmed that the city remained capable of meeting its financial obligations. Investment facilitated by the city increased dramatically, growing from an approximately 4.5 billion rand to more than 17claim

03:15:46billion rand by 2019. More than 23,000 SMMEs received support, over 110,000 new jobs were created. The city accelerated infrastructure investment, increased capital spending on essential services, handed over thousands of title deeds to residents, resurfaced roads, repaired hundreds of thousands of potholes, and attracted substantial private sector investment into the inner city.claim

03:16:16No administration is perfect, but there was a clear direction in terms of fighting Today, 7 years later, we are still debating how to recover from financial distress, governance failures, collapsing infrastructure, and a 52 billion rand infrastructure pil- uh backlog. The report ex- explicitly states that Johannesburg Water and City Power are in distress, that governance structures are failing, and that the National Treasury has flagged multiple reform commitmentsclaim

03:16:46as either amber or red. Madam Speaker, the Government of Local Unity in Johannesburg has mastered one thing; that is managing decline. Residents experience experience this daily. Traffic lights fail, there's water outages, potholes, there's billing disputes that remain unresolved. Businesses are losing confidence in Johannesburg, and residents are being asked to pay more, but are receiving less. This report reveals that the city continues to rely on borrowing to support operations.

03:17:20It confirms that the cash improvements were achieved partly through a 2.5 billion short- short-term facility and other financing mechanism, rather than through a sustainable operational performance. That is not turnaround; it is postponing the crisis. The Government of Local Unity often points to coalition complexity as an excuse, yet Herman Mashaba governed through one of the most complex coalitions arrangements in Johannesburg's history, and still delivered measurable progress.

03:17:49The difference was leadership. The difference was also accountability. Madam Speaker, this report is a warning. It warns us that

03:17:5547 seconds left.

03:17:58This report is a warning. It warns us that uh we need to fund our infrastructure. Um and and until this Government of Local Unity demonstrates real results other than endless plan, it will remain responsible for the decline of the South African economic heart- heartland and heartbeat. Madam Speaker, we will be supporting this report, but as ActionSA, we're going to monitor the implementation very closely, uh because the residents of re- of Johannesburg do not live inside

03:18:30reports; residents of Johannesburg live in Johannesburg. They judge us by whether water comes from their taps when they open their taps, whether the light

Item 66: EFF position

03:18:47Thank you, Councillor. Councillor Z Zitha from the EFF.

03:18:54Z Zitha, Speaker, Z Zitha.

03:18:57Z, Z.

03:18:57Oh, it's, ja, it's

03:18:59S Zitha, sorry.

03:19:00Hai, Speaker. You must not do those things.

03:19:04I knew you'd be a complainant. Can we carry on, S Zitha?

03:19:09Uh greetings to you, Speaker. Greetings to the vis- at the gallery. I'm not going to greet the resident of the City of Johannesburg; it's pointless because we're not streaming. Uh the Economic Freedom Fighters note the Financial Turnaround Framework before council. As the At the outset, we welcome the honesty contained in this report. Unlike many report that attempt to paint a rosy picture, this report admit that the City of Johannesburg remain in a fragile financial position.

03:19:41While there has been some improvement in revenue collection and cash reserves, the city The reality is that the city is facing a serious financial and service delivery challenges. The EFF has always maintained that the local government exists to serve communities and not to enrich a few individuals through corruption, wasteful and expenditure, and poor governance. Today, this report confirms many of the concern that the EFF has raised over the years.

03:20:12The report tells us that the non-revenue water remain extremely high, resulting in billions of rand being lost every year. It tells us that the electricity losses continue to cost the city billions. It tells us that the consumer debt continue uh to increase. It tells us that the capital budget are not being spent effectively. Most importantly, it tells us that the re- that the resident are not receiving the quality of service delivery they deserve. Speaker,

03:20:42what's the meaning of the financial turnaround if communities in Diepsloot, Ivory Park, Ebony Park, Kaalfontein, Orange Farm, Alexandra, Soweto, and other areas continue to experience water shortages, electricity outages, sewer uh spillages, and poor waste collection? The people do not measure success through financial report; they measure through success service delivery. This is why the EFF believes that the financial sustainability is a ser- service delivery

03:21:14must go hand in hand. We cannot have one without the other. The EFF support measures aimed at improving revenue collection, reducing electricity losses, reducing non-revenue uh water. However, we must ensure that those measures do do not unfairly punish poor and working communities, while those who have benefited from corruption, illegal connection, and non-payment continue to escape accountability.

03:21:42Speaker, the EFF um 2021 LGE manifesto called for the maintenance and upgrading of the public infrastructure. We therefore welcome effort aimed at investing uh in in in engaging in aging, rather, infrastructure, because much of Johannesburg service delivery crisis is the result of years of underinvestment in maintenance and repairs. However, we are concerned that the city continue to spend

03:22:14below target on capital project. Communities are tired of hearing about budget that are approved, but never implement implemented. We need to move from planning to implementation.

03:22:2545 seconds.

03:22:26The EFF therefore call calls for strict accountability measures. Senior managers and executive must be held accountable for the service delivery. Performance agreements must be linked directly to service delivery outcomes. Where there is negligence or poor performance, there must be consequences. We also believe that the rand recovered through improved collection, reduction of water losses, reduction of electricity losses, must be directed back into infrastructure maintenance

03:22:56and service delivery programs. This is the only way resident will begin to see the and the benefit of those reforms. The EFF further calls for a greater transparency and regular reporting to council so the communities can track

Item 66: ANC supports framework

03:23:14Thank you, Councillor S Zitha. Councillor S Ngema from the ANC.

03:23:28Uh, good morning, good morning, uh, uh, rather good good afternoon, Speaker. Uh, I want to, um, greet the leadership of the ANC caucus, um, uh, the Executive Mayor, uh, in his absentia, uh, Dada Morero, the Executive, uh, the Deputy Executive Mayor, uh, Councillor Masuku, Councillor Marema, Chair of Chairs,

03:24:01the the Chief Whip in council, uh, and all the councillors present. Uh, uh, Madam Speaker, I rise on Item 66. Uh, this strate- this strategy is the blueprint Johannesburg needs, and it commends the current administration for having the the courage to confront the crisis head-on.claim

03:24:32The city has laid out a a credible, evidence-based plan backed by a massive 97.1 billion budget to restore financial stability and service delivery. The Financial Turnaround Framework correctly identifies the root cause of the financial woes: the self-reinforcing systemati- systematicclaim

03:25:03loop where billing failures, revenue, uh, decline, and infrastructure decay feed off each other. Crucially, it it tackles the sweeping arrangement, a structural governance failure that has been suffocating entities like Johannesburg Water. For too long, this, uh, opaque mechanismclaim

03:25:33has allowed the city to siphon funds meant for water infrastructure, uh, pushing Johannesburg Water into a state of, um, distress while its debtors, um, book, uh, balloons. The framework's hybrid model, starting with Johannesburg Water on the 1st of July 2026, is a monumental and necessary reform.

03:26:07It will finally, uh, ring-fence revenue, enforce accountability through formal revenue-sharing agreements, and protect our critical infrastructure funds from being absorbed into the city's cash crisis. This is a kind of, uh, disciplined governance we need.

03:26:37The six pillars: financial recovery, revenue enhancement, expenditure containment, creditor and liquidity reform, governance and compliance, and labor stability, provide a comprehensive roadmap. The establishment of a single implementation

03:27:10uh, tracker and mandatory monthly reporting against a measurable dashboard will end the the era of pillars without execution. The challenge now is implementation. We need the full force of of this administration opening this strategy

03:27:41to ensure it is not just another plan gathering, uh, dust. I want to thank the Executive Mayor, Councillor Dada Morero, and the administration for their leadership during this, uh, turbulent period. The budget speech by Executive Deputy Mayor,

03:28:10Councillor Loyiso Masuku, was a masterpiece in acknowledging the problem and presenting a solution. The recent engagement with SCOPA demonstrates a commitment to transparency and accountability that has been sorely lacking. They are taking the tough discussions necessary

03:28:43to rescue our city from financial, um, ruin. The landmark, uh, 3.8 billion loan is a is a testament to the credibility this administration is building. It is a breakthrough that will directly fund critical infrastructure

03:29:14like transformer replacements, smart metering, and renewable energy projects. This is what effective governance looks like: securing international partnerships, uh, to fix our city's backlog, backbone, uh, not just holding press conferences.

03:29:47While the DA and ActionSA engage in political theater and personal attacks, this administration is focused on results.

03:30:00Thank you, Madam Speaker. And just for the note, we share the same birthday.

03:30:00securing historic loans and passing critical budgets. Let's get to work and get Johannesburg working. I thank you, Madam Speaker.

03:30:16Thank you, Councillor. Um

Item 66: Deputy Mayor reply and item agreed

03:30:22MMC Masuku.

03:30:25Deputy Executive Mayor.

03:30:26Thank you very much, Speaker. To all the Councillors who contributed to this item, Councillor Boer, Councillor Mkhonza, Councillor Santana, Councillor Zitha, Councillor Ngema, and Councillor Edward. I do however, Speaker through you, want to remind Councillor Edward that the problems of the City of Johannesburg actually started in 2016.claim

03:30:55The government of the ANC led by Honorable Parks Tau left the city with a revenue base that was strong with a sweeping account that had resources. The problems of the City of Johannesburg were started by Herman Mashaba. Moreover, the challenges we have with our salary wage bill were started by Herman Mashaba.

03:31:26So it is disingenuous for Councillor Edward not to acknowledge that in fact the collapse of Johannesburg started in 2016. I thank you.

03:31:39Thank you so much.

03:31:42Deputy Executive Mayor, the recommendations are on pages is on page 66.3. Is the item agreed to?

03:31:55Thank you so much.

Item 68: SDAs and SLAs under Metro Trading Reform – speaking order

03:31:57We proceed to Item 68, and those are the revised service delivery agreements and service level agreements of City Power, Joburg Water, and Pikitup in light of the Metro Trading Reform.

03:32:12Thank you so much, STC. Good afternoon and welcome, Councillor Harris. You are number one.

03:32:23Councillor Harris.

03:32:29Madam Speaker, good. Thank you so much for the warm welcome. Can I please respectfully ask that I be put at number three maybe? Thank you.

03:32:41Okay. I think you just walked in. Councillor Bittkau.

03:32:48Is Councillor Bittkau in the house?

03:32:51Madam Speaker, there's been a change in the speaker. I will be speaking instead of Councillor

03:32:58Thank you, Councillor. As it pleases you.

Item 68: DA concern about missing oversight

03:33:04Madam Speaker, fellow Councillors, Council Officials. This item deals with reforms to the

03:33:11Councillor, can you please lift your mic slightly and speak into the mic? Thank you so much.

03:33:17Thank you, Speaker. This item deals with reforms to the service delivery agreements, the introduction of service level agreements which link service delivery to revenue collection and the establishment of a joint revenue management committee. The JRMC, that is the Johannesburg Revenue Management Committee, provides a formal platform for coordination between the service authority,

03:33:47trading entities and relevant support functions on matters affecting revenue management, billing, collections, remittance, reconciliations, treasury treatment, and systems access to mention a few of the areas with which it deals. While the DA welcomes this comprehensive battery of instruments which are being introduced to deal with the revenue collection problems which beset the city

03:34:19and the difficulty experienced by the entities in finding sufficient revenue to maintain their infrastructure, it is a matter of great concern to the Democratic Alliance that the relevant oversight committees have not been afforded an opportunity to go through the items to ensure that indeed they meet the requirements of the Metro Trading Reforms. In this regard,

03:34:51it is pointed out that they introduced two significant innovations, the service level agreements which are supposed to link service delivery to revenue collection, and as we all know, revenue collection has been a matter of particular concern in the city for some years, and the Joint Revenue Management Committee which is supposed to provide a forum which will link all the entities providing service delivery

03:35:21and the city to ensure that there are no billing hiccups and other problems which may beset revenue collection and the proper delivery of services by these entities. As novel instruments, it would have been expected that a full opportunity would have been provided to the relevant oversight committees to thoroughly interrogate the officials who prepared these documents

03:35:52to ensure that they do indeed meet the requirements of the Metro Trading Reforms. The difficulty is that if, in fact, the National Treasury is not satisfied that these requirements are met, it will cause a delay in the city accessing

Item 68: EFF welcomes revised agreements

04:46:59services and fleets. How can we operate and claim good governance or any service delivery when we fail to honor our responsibility as the city? Speaker, nothing is being fixed here today, so let's just pay for the services rendered to the city and to the residents of Johannesburg. Let's go out and vote wise. As you can see, you are not the only one facing service delivery challenges today. Speaker, the EFF welcomes the revised SLA and SDA agreement of the three entities in light of the metro trading reforms. I thank you.

04:47:29Thank you so much Councillor Radebe. Councillor Ngwenya from the ANC, you can move forward here.

Speaking order dispute and ANC speaker begins

04:47:43If there's three hands, who's hand do I take?

04:47:48Councillor Harris.

04:47:51Please don't forget me, Madam Speaker.

04:47:54Councillor Harris.

04:47:56Madam Speaker, please don't forget me. I was supposed to be number three.

04:48:00Yeah, I'll bring you in, don't worry.

04:48:01Thank you.

04:48:02I'll bring you in.

04:48:14Madam Speaker, the Executive Deputy Mayor, Councillor Loyiso Masuku, Chair of Chairs, Councillor Marema, the Whip of Council, Councillor Chauke,

Microphone interference

04:48:38Try again, councillor.

04:48:50Can you switch off your mic? Whoever's got a mic on, please switch it off because that's a problem of a mic that's on.

04:49:01There's a mic on somewhere.

04:49:07Can you all lift your mics, please? Can you lift your mics, please? Councillor Da Rocha, lift your mic.

04:49:36That's why you are already writing statements out, ne? We've just seen it on News24.

04:49:53AfrikaansOulik is, ja.

04:49:56Carry on, Councillor.

Item 69: concerns on Johannesburg Water plan

04:52:18service delivery. Uh thirdly, the revised plan projects higher water demand than orig- originally int- intes- anticipated. As a result, Johannesburg Water will have to purchase more bulk water from Rand Water, resulting in uh foregone saving save foregone savings of approximately two two two 209 million of uh

04:52:57that is not comfortable position for any municipality, Speaker. Another significant concern is that reducing of the project collect collection rates from 77.8% to 74.8%. Lower collection rates mean lower revenue, weaker cash flow, and greater financial pre- on Johannesburg Water.

04:53:1535

04:53:16Yeah, the report openly acknowledge that uh the entity uh the entity's financial is sus- sustainability

04:53:25the the financial the the report openly acknowledge that the entity financial sustainability target has to be dis- delayed. Less revenue means fewer resources to repair infrastructure upgrades, maintenance program, and future expansion project. Yet, perhaps the most con- concerning issue uh before us today is that council is being asked to approve this plan while the report indicates that the total implementation cost is still to be finalized. Speaker, how can coun-

04:53:57SepediLe no ipotša gore le ko balelwa ke mang lena.

Item 69: EFF supports with concern

04:54:02Coun- Councillor Khonkhobe from EFF.

04:54:09Councillor Masuku, please switch off your mic.

04:54:15isiZuluDanko.

04:54:17Greetings, Madam Speaker, Deputy Executive Mayor, and all the councillors here. The Economic Freedom Fighters support the report, but with serious concern about Johannesburg Water crisis because we are the vanguard of the people. The city has infrastructure assets worth of 127 billion, but faces 26.6 billion backlog, with 26% of assets having less than 10 years of useful life remaining, recurring ofclaim

04:54:4831.8 billion over the next decade. Madam Speaker, the funding situation is worsened. The city reduced its medium-term investment from 8.5 billion to 6.5 billion, cutting the planned pipe replacement from 100 km only to 72 km. Non-revenue water remains above 44%, meaning nearly half of the water entering the system is a loss, stolen, or unpaid. Collection of level have declinedclaim

04:55:18from 83% to 74%. Madam Speaker, the wastewater crisis is equally alarming with declining trep- treatment performance, increasing sewer overload, and poor Green Drop result, creating a public health, environmental, and and economic risk. On the ground, food manufac- food manufacturing facility has lost 20 working shifts to due to water shortages and reco- relocated operations elsewhere. Res- Restaurants, guestclaim

04:55:48houses, small business, car washes, salons, and informal traders are losing income, Madam Speaker. Ordinary families are forced to buy water while paying municipality bills. Schools, clinic, community facilities struggle to function. Poor communities queue for tankers while wealthier households buy private solutions. It's deep- It's deepening the inequality, Madam Speaker. The EFF support the turnaround plan, but reject a slow response

04:56:18to fast-moving crisis. The city must The city must increase the infrastructure investment, accelerate the pipe replacement, reduce water losses, fix billing and collections, protect the wastewater treatment works, and act against illegal connection and vandalism. Johannesburg Water cannot call itself a world-class city while businesses close and communities go days without water. Madam Speaker, as EFF, we would like to remind this council

04:56:49that water is life, not a privilege. And water is a human right. It must be owned by the city to the people for the people. I thank you, Madam Speaker.

04:57:00Thank you, councillor. Uh ANC, Councillor Madiba. I've noted you. I've noted you. Councillor Madiba.

Item 69: DA says no Section 79 scrutiny

04:57:27Thank you, councillor. Councillor Bittkau.

04:57:40It works and it doesn't work. Okay.

04:57:46Madam Speaker, this report is being pushed through at one hell of a speed. It hasn't come to a Section 79, and this is so important and so detailed that it should be before the 79. We've got major issues here. We've got uh with the Joburg Water. It cannot just be pushed through because somebody feels it's got to be in now. You could get an extension from gov- from national

04:58:17government of another 90 days, and you could uh uh address this properly. But it's the same as uh our uh sound problems earlier on showed really how everybody is just in a hurry to push things through here today. Unfortunately, ma- Madam Speaker, under these circumstances, we cannot support this. Thank you.

04:58:39AfrikaansDankie, Councillor Bittkau.

Item 69: MMC reply on 30 June deadline

04:58:41MMC Masuku.

04:58:44Uh thank you very much, Madam Speaker. We request council to approve uh this report. No, Madam Speaker, we will not be able to get an extension from National Treasury. Um the deadline for the uh these reforms is the 30th of June. It's documented, communicated in black and white. Even when we attempted, we were told in no uncertain terms. So, we ask council to approve this report. It's notclaim

04:59:14the end of the road. These are living documents, and I cannot overemphasize this point and that these are important reforms to get the municipality moving. That's just what this is about. And I wish councillors understood what is the intention of National Treasury with these reforms. And it is irrespective of the government of the day. It's about the metros, metro trading reforms. So, it applies to

04:59:44all municipalities, the the metros that we have in in South Africa. Thank you very much.

Item 69 put to council and DA opposition

04:59:50Thank you, MMC. Colleagues, recommendations is on page 69.6. Is the item agreed to?

05:00:01Thank you, colleagues. Thank you so much. STC. Councillor Christians.

05:00:12Thank you, Madam Speaker. Madam Speaker, in terms of Rule 84, please note our opposition and we reserve our rights to take this further. Thank you.

05:00:21Thank you, councillor.

Item 70: City Power Trading Reform Strategy – FF+, ACDP, ActionSA

05:00:25Item 70 is City Power Trading Reform Strategy for Financial Year 2026-27 Business Investment Plan.

05:00:34AfrikaansRaadslid Boer.

05:00:39Good afternoon, Madam Speaker. Um I just want to agree with Councillor Bittkau as well. Um I know the the urgency on these reports. Um I haven't had the time to to go through those reports in detail. I was hoping that they were going to serve tomorrow. But in the light of the fact that they didn't serve on Section 79 and that I didn't have time to speak on them, I'm going to be with- withdrawing my speeches on items 70 and 72. Thank you, Madam Speaker.

05:01:09Thank you. Councillor Harris, ACDP.

05:01:35Thank you so much, uh Madam Speaker. Greetings once again. Um I rise to speak to item 70. Uh Madam Speaker, in Florida, on Lake Road, um City Power has a massive training centre that looks like a barn there. Nobody goes in. You don't see any movement around there, but in this report,claim

05:02:07they very tragically and sadly say that they are spending 164 million rand on consultants because they have only one qualified electrical engineer. Now, that is a mortal sin, I believe, in light of the high unemployment rates, the graduates that are sitting on the streets, and we are paying consultants who are not emotionally attachedclaim

05:02:37and invested in the city to do the work that people that we should be employing should be doing. So, I note this report. And um I'm I'm just trusting that the powers that be at City Power will not take the easy way out and do things that are are really contrary to their mandate, but they will get serious about fixing the issues within

05:03:07the City of Johannesburg, and I trust that we as well, particularly the Budget Steering Committee and the people that are looking at at equitable share particularly, will think about the infrastructure backlogs that the City of uh the city is City Power is experiencing, and that they will do something concrete because our people, the residents, the people that are paying for services, are being short-changed. They're not getting value for money. I thank you.

05:03:35Thank you, Councillor Harris. Councillor Modukanene from ActionSA.

05:03:47Uh greetings, Madam Speaker. Uh I will speak on behalf of Councillor Modukanene. Is it okay?

05:03:55You can carry on, councillor.

05:03:56Okay. Uh Madam Speaker, uh I rise to speak on item 70. Uh on behalf of ActionSA, we'd like to remind all the young people in South Africa to go out and register so that we can vote for ActionSA on the 4th. Madam Speaker, ActionSA is the only party that will continue to put South Africans first, unlike Patriotic Alliance who have turned against South Africans. We told them, South Africans, that don't be scammed by Patriotic Alliance. Those are the scammers. They scam South Africans to say that, now they've turned against them.

05:04:30Councillor, can you move the mic from your mouth? Put it a nice distance.emotive

05:04:38Like this?emotive

05:04:40No, no, no. Councillor, just do the right thing.emotive

05:04:43Okay. Madam Speaker, I was saying that ActionSA is the only party that will continue to put South African first, unlike PA who have turned against South African just because of the ministerial position of sport. Now you've turned South African, thank you for giving us vote. But ActionSA, Madam Speaker, will continue to put South African first. Uh young people, let us vote for ActionSA. This is the only party that will sa- service you. Uh as I conclude, Madam Speaker, we'd like also to wish Bafana Bafana as they will be playing tonight.emotive

05:05:13We say, Bafana Bafana, please Oh, in the morning. Okay. Bafana Bafana, please represent us South Africans. ActionSA is behind you. As ActionSA, we note the report. Thank you.emotive

Item 70: EFF and ANC

05:05:27Councillor N. Khonkhobe from EFF.

05:05:39Thank you, Madam Speaker. Thank you, Deputy Mayor. Um the EFF support this report, but not as an endorsement of current affairs, Madam Speaker. Remember, I will always remind the this council that we are the vanguard of the people and we are guided by the seven non-cardinal pillars. That is why we are in That is why we support this report. City Power faces 44 billion infrastructure backlog, 3.1 billion operatingclaim

05:06:10deficits and lose and losses approximately of 5.7 billion annually through electricity losses. These are symptoms of utility allowed to drift into crisis. Planned maintenance constitute only 30% of activities. City Power respond to failures into preventing them. Madam Speaker, residents experience outage, damaged infrastructure, exploding mini-substations, cable theft, and unreliable supply.claim

05:06:39Madam Speaker, the electricity is essential for economic activity and public services. Frequent power outage negatively affects the business. It also affect the education, healthcare, and community safety. City Power loses about 30% of its electricity worth 5.7 billion annually through technical losses, illegal connections, and theft. Recovering these losses could help fund infrastructure upgrade, improve the substations,claim

05:07:10expand electrification, and reduce outage. Madam Speaker, there's only one professionally registered eng- engineer despite of 168 eligible employees, yet the entity spend 164 million annually on consultant. Why not outsource, Madam Speaker, expertise when we should build internal state capacity? The electricity market is changing. Large customers are exploring alternative energy.claim

05:07:40If City Power fails to modernize and rebuild the co- the confidence, it risk of losing major customers, further weakening the finances. As the EFF, we support the investment in smart metering, infrastructure renewal, grid and modernization, and revenue protection. But technology alone won't solve this crisis. Disciplined imple- implementation, consequence management, technical capacity, and sustained investment are required.

05:08:10Madam Speaker, most importantly um Madam Speaker, most important sentence in this report is that City Power owned admission: the current situation is unsustainable. We call for the accelerated infrastructure renewal, stronger action against theft, reduce consultation de- dependence, improve maintenance, and building internal in- in- in- building internal technical expertise. The people of Johannesburg deserve

05:08:40a reliable electricity that support economic growth. Madam Speaker, let us remind this council again: electricity it's a basic need. It's not a luxury. Thank you.

05:08:50Thank you so much, councillor. Um Councillor Zondo, ANC.

05:09:01Uh greeting, Speaker. Uh is not Councillor Zondo, is Councillor Nchabeleng Mutavhatsindi. Uh greeting to everybody, the councillors, the community in the gallery, you are all greeted. As the ANC, we are here stand to note the report. Thank you.

Item 70: DA opposes

05:09:29Thank you, councillor. We have a Councillor Steenkamp from the DA.

05:09:40Yeah. Speaker, let me begin by acknowledging that City Power has finally done something that previous reports often failed to do. It has been honest about the scale of the challenge. The report acknowledges a 44 billion infrastructure backlog. It acknowledges electricity losses of approximately 30%. It acknowledges annual revenue leakage of approximately 5.7 billion. These figures confirm what residents have been experiencing for years:claim

05:10:10an electricity network under immense pressure. The DA supports the objectives of reducing losses, improving governance, modernizing infrastructure, and restoring financial sustainability. However, supporting those objectives is not the same as supporting this plan. Our concern is that the business and investment plan asks council to place its faith in ambitious targets without providing sufficient confidence that they can actually be achieved. The plan assumes

05:10:41significant reduction in losses, substantial revenue growth, and a dramatic improvement in City Power's financial position over the coming years. The question is not whether these targets are desirable. The question is whether City Power has demonstrated the capacity to achieve them. Based on the entity's recent performance, the DA remains unconvinced. Council is being asked to accept these assumptions without having had the opportunity to properly test them through the oversight process. The second concern is

05:11:11Eskom. Speaker, one cannot discuss the financial financial sustainability of City Power without discussing Eskom. Eskom remains one of the biggest financial and operational risks facing the entity. Residents have witnessed firsthand the consequences of disputes involving Eskom. Yet, the document provides very little detail on how Eskom-related risks, debt exposure, bulk electricity costs, and future supply risks will be managed. That is a significant omission.

05:11:42Any long-term recovery plan should clearly explain how one of the entity's largest risks will be addressed. The third concern is implementation. Johannesburg does not suffer from a shortage of plans. It suffers from a shortage of implementation. Residents do not judge City Power by the quality of its presentations. They judge it by whether the lights stay on, they judge by whether outages are resolved quickly, and they judge it by whether infrastructure is being maintained. The reality is that City Power performance

05:12:12remains under severe pressure, and the DA is not convinced that this document provides sufficient confidence implementation will match the promises being made. Finally, Speaker, this matter should have been subjected to proper scrutiny through the relevant Section 79 oversight process before arriving in council. A plan of this magnitude deserved detailed interrogation before councillors were asked to approve it. For all these reasons, while acknowledging that the document may satisfy the minimum requirements of the National Treasury reform framework,

05:12:42the DA cannot support item 70. This council is being asked to approve a long-term recovery plan without having had the benefit of a proper Section 79 scrutiny, without adequate detail of Eskom-related risks, and without sufficient confidence that these targets can be realistically be achieved. Johannesburg deserves more than minimum compliance. It deserves proper oversight, realistic planning, and credible implementation. The DA will therefore vote against this item. I thank you.

Item 70: MMC reply and item agreed over DA opposition

05:13:13Thank you, councillor. Deputy Executive Mayor, MMC Finance.

05:13:18Thank you, Madam Speaker. This uh report actually builds on the previously approved City Power turnaround strategy and performance improvement action plan that was brought to council. This provides an update on implementation progress and seeks approval of the business and investment plan and associated financial model in line with the National Treasury Guidance Note number 5 of the requirements.

05:13:48The strategy supports the city's objective of establishing financially sustainable performance. So, that is where um you are correct, um Councillor um Harris and Councillor uh Khonkhobe. Khonkhobe, yes, the that indeed the approved business um and investment plan will be integrated into the city's budgeting, as well as the processes that will serve as the framework

05:14:18for monitoring. And um Councillor um um Nchabeleng, thank you so much for your comments. And indeed, our interest is to ensure continued integration between utility planning and the MTREF processes and accelerate the utility reform initiatives aligned to National Treasury requirements. We Our intention is to align and fully and be fully compliant, as well as improve financial modelling

05:14:49and investment planning capacity. And this, um Madam Speaker, council approval will enable continued engagement with National Treasury and support implementation of the city's broader utility transformation agenda. Because if we work together with National Treasury, we will then be able to assist and work together to um ensure that City Power as a business survives and provides a reliable energy supply to our

05:15:19residents. We ask council to approve the report. Thank you.

05:15:23Thank you so much, uh Deputy Executive Mayor. Colleagues, the item the recommendations is on page 70.3. Is the item agreed to?

05:15:45Can I hear that again? Is it agreed to?

05:15:54I can see your hand, but the yeses have it.

05:16:01isiZuluHayibo!

05:16:02No!

05:16:04Thank you, Speaker.

05:16:04Yes, you can go.

05:16:05Speaker, in terms of Rule 84, please note the opposition of the DA to this item. Thank you.

Announcement about lost ID

05:16:11Thank you. Um to those people up there in the gallery, there is a Mojalefa Peter Botlokwane that has lost his ID together with his um wallet. Uh if he can identify himself, uh we will take it. We'll give it to you. Thank you.

05:16:40Uh-uh, it's not.

Item 71: Metro Trading Services Reforms – Minimum Access Indicator M6

05:16:44We are now on item 71, and that is Metro Trading Services Reforms Program: uh Strategic Response to Minimum Access Indicator M6 Budget Support.

05:16:55ACDP, Councillor Mkhonza.

05:17:17Yeah. Thank you very much, um Madam Speaker. Um greetings once again, as I acknowledge um our Almighty God eternally existent in three persons: God the Father, God the Son, God the Holy Spirit. I greet you all in the name of the Lord Jesus Christ. Madam Speaker, allow me to quote from my guiding manual, the Bible, from Proverbs 28, um verse 13. In the Passion Translation, it reads as follows: "If you cover your sin, you'll never do

05:17:48well. But if you confess your sins and forsake them, you will be kissed by mercy." Madam Speaker, the ACDP appreciates the transparency of these reports. Hence, we have quoted that scripture as a principle to say that if you lay bare your mistakes and transgression, and then mercy will kiss you. The ACDP welcomes the Metro Trading Services Reforms Program and recognizes it as an important intervention aimed

05:18:19at restoring the financial sustainability, operational efficiency, and long-term viability of the City of Johannesburg's trading services. We further appreciate the transparent manner in which the city has presented the key benchmarks from the financial model, as this provide a realistic assessment of where Johannesburg currently stands and the magnitude of the reforms required. The bench- The benchmarking exercise clearly illustrates the scale of the turnaround that is needed. Under the cash coverage ratio,claim

05:18:49the city is currently uh currently reflects a cash coverage ratio of zero months, compared to the National Treasury's benchmark of one to three months. By comparison, the City of Cape Town stands at approximately 2.5 months, while eThekwini is at 1.5 months. This demonstrates the urgent need to strengthen liquidity and improve cash management practices. Under revenue collection, the city's collection rate is at 87.7%, which remains below the National Treasury's benchmarks

05:19:20of above um 90%. Cape Town and eThekwini continues to achieve collection levels of approximately 97%claim

05:19:2750 seconds left.

05:19:29and 92% um respectively, demonstrating that higher collection rates are achievable through effective revenue management, credit control, and me- and measures. And then under non- um revenue um uh water, Joburg's non-revenue water losses remain alarmingly high at 32%. Under electrici- uh electricity losses, electricity losses are approximately 30%, which significantly exceed the National Treasury's norm at 15%. Under the National Reform Compliance,

05:20:00we are not complying as a city. Madam Speaker, these benchmarks should not merely be viewed as statistics. They are indicators of the city's ability to deliver reliable services, maintain infrastructure, attract investment, and fulfill its obligation to residents. The comparison with other metropolitan municipalities demonstrate that

05:20:29Councillor S. Nkonyeni from ActionSA.

05:20:36isiZuluNgibonge, Speaker.

05:20:39Uh greetings, uh fellow councillors, all protocol observed. Madam Speaker, today council is being asked to consider one of the most consequential reforms facing the City of Johannesburg: the Metro Trading Services Reform Program. For many years, residents have experienced the consequences of a model that is no longer sustainable. We have seen recurring water outages, aging infrastructure, electricity losses, increasing maintenance backlogs,

05:21:09financial pressures within our municipal entities, and declining public confidence in the city's ability to deliver basic services. The reality is that Johannesburg Water and City Power are responsible for delivering some of the most essential services to our residents, yet both entiti- entities face significant infrastructure and funding challenges that cannot be ignored. The report before us acknowledges what may have been uh what we have been saying for years:

05:21:40that there is a substantial infrastructure funding gap, and that without reform, the city will struggle to meet the future service delivery demands. ActionSA supports reforms that strengthen service delivery, improve accountability, and ensure the long-term sustainability of municipal services. We therefore welcome the intention behind this program and the recognition that maintaining the status quo is not an option. However, approval of a reform program is the only

05:22:10is only the first step. The success of these reforms will not be measured by presentations, strategies,

05:22:18Thank you, Madam Speaker. Uh greetings to you and let me say all protocol observed. As the African National Congress, we note the report. Thank you.

Item 71: ActionSA and EFF on the trading reform programme

05:22:47Secondly, the city must ensure that the reforms protect the financial sustainability of Johannesburg Water and City Power. For far too long, concerns have been raised about the impact of the city's cash management practice on municipal entities. Trading reforms must create stronger financial discipline and ensure that revenue generated for service delivery is utilized for its intended purpose. Thirdly, infrastructure investment must remain at the center

05:23:17of these reforms. Residents do not care about organizational charts. They care about functioning water systems, reliable electricity supply, and responsive service delivery. Every reform initiative must ultimately translate into better infrastructure and improve service delivery on the ground. Fourthly, labor stability and stakeholder engagement will be critical. Employees, communities, businesses, and organized labor must be engaged throughout this process to ensure that

05:23:48the reforms are implemented smoothly and sustainably. Speaker, the City of Johannesburg is the economic engine of South Africa and the biggest economic hub in Africa. We cannot continue to allow infrastructure decline to undermine economic growth, investment, and job creation. Modernizing and strengthening our service delivery institutions is essential if we are serious about building a city that works. ActionSA therefore supports the objectives of this program, while emphasizing that council

05:24:19must exercise rigorous oversight over implementation. We will support reforms that improve governance, strengthen accountability, and deliver better services to residents. But we will also hold the administration accountable for delivering tangible results. The residents of Johannesburg deserve more than plans. They deserve outcomes. Thank you.

05:24:41Thank you so much. Councillor S Zitha.

05:24:52Thank you very much Speaker. Greetings again to you, EFF leadership, and EFF councillors. Speaker, the EFF notes this report and welcomes the effort to improve the financial position of the City Power, Johannesburg Water, and Pikitup. However, we must be honest with ourselves. The report confirmed that the city is facing serious challenges. Residents continue to experience water shortages,

05:25:22power outages, sewer spillage, and poor service delivery. Those are daily realities for our communities. The report further tells us that the City Power loses billions of rand through electricity losses and illegal connections, while Johannesburg Water continues to lose a significant amount of water through leaks and other losses. This means that while residents are paying for services, the city is losing money that could have been used to improve infrastructure and service delivery.

05:25:53The EFF support investment in infrastructure because our people deserve reliable electricity, clean water, and functioning waste management system. We welcome the increased budget allocation to City Power, Johannesburg Water, and Pikitup. However, allocating money is not enough, we need results. The people of Johannesburg are tired of hearing about plans, strategies, and frameworks while their taps remain dry and their streets remain flooded with sewage.

05:26:23What residents want Speaker is implementation. The report itself acknowledges that there is a major funding gap and that infrastructure backlogs continue to grow. This means that the city must spend every cent wisely and ensure that the corruption, wasteful expenditure, and poor planning are eliminated. Speaker, the EFF believe that the accountability must go hand in hand with funding. Executives and senior managers in those entities must be held

05:26:53responsible for achieving the target they set for themselves. Where there is failure, there must be consequences. Where there is success, communities must see the benefit through improved service delivery. We also believe that additional revenue recovered through improved collections, smart metering, and loss reduction programs must be directed toward repairing and maintaining infrastructure. The EFF support efforts to reduce electricity losses and non-revenue water.

05:27:23But those efforts must not unfairly target poor communities while larger businesses, developers, and organized syndicates continue to benefit from illegal activities. Speaker, the success of those reforms will not be measured by report or presentations. It will be measured by whether residents have water in their homes, electricity in their communities, and cleaner neighborhoods. The EFF will therefore support this item

05:27:53because investment in infrastructure is necessary. However, we call for a stronger oversight, regular reporting to council, and a strict accountability for those entrusted with managing public resources. The people of City of Johannesburg deserve efficient services, accountable leadership, and a city that works for all of its residents. I thank you very much Speaker.

Item 71: ANC notes report; DA rejects item and seeks referral to committees

05:28:19Thank you so much. The next speaker is the ANC Councillor Nofemela.

05:28:27Madam Speaker?

05:28:32I've got you, don't worry.

05:28:34Thank you, just checking.

05:28:36You'll be last, you came late. Councillor Nofemela? Is Councillor Nofemela here? Is there anyone... Oh.

05:28:51No, thank you very much Madam Speaker. As the African National Congress, we note the report. Thank you.

05:28:58Thank you so much. Councillor Santana.

05:29:02Thank you Speaker.

05:29:09Madam Speaker, the Democratic Alliance supports the principle of financial sustainability or sustainable municipal entities. We support infrastructure investment. We support reducing electricity losses, reducing non-revenue water, improving revenue collection, strengthening maintenance programs, and restoring confidence in the City Power, Joburg Water, and Pikitup. However, support for the objective cannot be confused with support for this report. Our opposition

05:29:38is not because reform is unnecessary, quite the opposite. The item asks council to approve a substantial reform program without the necessary governance processes being completed and without adequate oversight scrutiny by the relevant council structures. This report before us is, in many respects, an admission of failure. It acknowledges the city faces a severe financial crisis.claim

05:30:08It acknowledges electricity losses of approximately 30%. It acknowledges non-revenue water levels approaching 45%. It acknowledges declining collection rates. It acknowledges a structural funding gap running into hundreds or, in this case, billions of rands annually. It acknowledges that City Power remains financially distressed and dependent on an undocumented sweeping arrangement. These are not circumstances that emerged overnight. They are the cumulative

05:30:38consequences of years of governance failures, poor financial management, weak oversight, inadequate maintenance, and delayed decision-making. The report repeatedly references accountability, transparency, governance reform, and improved oversight. Yet the process followed in bringing the item to council contradicts those very principles. A program of this magnitude should have been subjected to robust scrutiny by the relevant Section 79 oversight committees. It should have been

05:31:08presented to the oversight committees responsible for Finance, Environment and Infrastructure Services, and Group Governance. It should have been deliberated through the relevant joint committees given the extensive implication for governance, treasury management, infrastructure investment, municipal entities, borrowing, asset management, and future budget requirements. Instead, council is being asked to approve broad principles and mandates before the necessary oversight processes have taken place. That is not good governance.

05:31:38Oversight is not a box-ticking exercise. Oversight exists to test assumptions, interrogate risks, examine affordabilities, challenge implementation plans, and ensure accountability before decisions are adopted. This new report itself confirms that critical governance prerequisites remain outstanding. The delegation of the authority matrix is not yet approved. And yet you're asking us to approve this item before all of those items.

05:32:08Revenue-sharing agreements are not yet in place. The ring-fenced banking arrangements are not operational. Key appointments remain outstanding. The City Power sweeping balance remains unresolved. Yet council is being asked to endorse a reform program whose success depends on precisely these governance mechanisms being implemented. That is putting the cart before the horse. Madam Speaker, the report also relies heavily on future projections,

05:32:38anticipated efficiencies, projected revenue improvements, and planned reforms. What is noticeably absent is sufficient evidence that the current administration has the implementation capacity to deliver on these ambitions. Residents do not experience service delivery through strategy documents. Residents experience service delivery through functioning substations, reliable electricity supply, repaired water leaks, working wastewater infrastructure, cleaner streets, and responsive municipal services.

05:33:08The city has adopted many plans over the years. The challenge has never been planning, the challenge has been execution. The DA believes that the reforms of this nature require credibility, transparency, and accountability. They require proper committee scrutiny, sorry. They require formal oversight consideration. They require measurable reporting frameworks that are debated and tested before approval. Most importantly, they require an administration that reports consistently and comprehensively to council oversight structures.

05:33:39Unfortunately, this report arrives before those governance requirements have been satisfied. For that reason, while we support the goal of achieving a financially sustainable trading services, we cannot support the process that has been followed. The Democratic Alliance therefore rejects item 71 and calls for the matter to be referred back to the proper consideration by the relevant oversight and joint committee structures before any final council approval is contemplated. I thank you.

Item 71: reply, division of the house and result

05:34:09Thank you Councillor Santana. MMC Masuku.

05:34:14Thank you very much Madam Speaker, to all the councillors who have supported this important report in order for us to be able to deal with Johannesburg Water's performance and the improvement, and ensure we have reliable and sustainable water, and for our infrastructure development. We ask council to approve the report. Thank you.

05:34:37Thank you MMC. The recommendations are on pages 71.30. Is the item agreed to?

05:34:54Can I have that repeated? I see your hand Councillor Christians. I see your hand. I see your hand. And Councillor Niemand is actually saying to you lift it, lift it. The yeses have it. Councillor Christians.

05:35:25Thank you Madam Speaker. Madam Speaker, I don't believe that is the correct call. So in terms of Rule 86(1), I hereby demand for a roll call.

05:35:55Can we ring the bell? No, you asked for a division of the house.

05:39:18Thank you, thank you, thank you. Can we stop the drums? Can we be seated? Can we see those who abstain? Councillor Nkonyeni, can you take your seat? Your seat. Your seat.

05:40:02Those who abstain, your hands can go down, thank you. Can I see the noes?

05:41:26Thank you. Can that hand go down? Thank you. All those who say yes? Hayi! Yo!

05:44:10You may lower your hands.

05:47:02Thank you colleagues, the results are in. Those who abstained are three. Those who said no are 53. And those who voted for is 100. So the item is carried. Thank you. Councillor Christians, you... That's fine.

05:47:29Thank you Madam Speaker. Madam Speaker, I rise in terms of Rule 84 now to record our opposition to this item. And we believe that this item was premature. Other items should have come before it. Thank you.

05:47:40But you have abstained. Okay. Thank you.

Item 72: Johannesburg Water performance improvement action plan v2

05:47:45We move to item 72, and that is Johannesburg Water's A3 performance improvement action plan version two.

05:47:56Councillor R Harris.

05:48:10Thank you once again Madam Speaker. I rise to speak to item 72, Johannesburg Water's performance improvement action plan. The ACDP notes and accepts this plan. Thank you.

05:48:24Thank you Councillor Harris.

05:48:26AfrikaansRaadslid Boer. Het jy onttrek?

05:48:34AfrikaansJa, ek het onttrek Mevrou Speaker. Ek is moeg geluister van.

05:48:37Okay.

05:48:39AfrikaansDankie.

05:48:41Who's speaking in the place of Councillor Modukanene from ActionSA? No one. Okay, let's go. Councillor Khonkhobe from the Economic Freedom Fighters.

05:49:02Thank you very much Madam Speaker. The EFF stands in this one. If plans alone could fix Johannesburg Water challenges, residents would already receive a world-class service. The city has produced strategies, turnaround plans, financial models, and reform frameworks. Yet residents continue experiencing water outage, sewer spillages, delayed repairs, and growing frustrations.

05:49:32The EFF approach this report with a cautious support. We recognize the performance improvement action plan importance, but conscious that communities judge government by service quality, not plan quality. The significance of this report lies in Johannesburg Water finally linking operational performance to financial sustainability. The action plan is now connected to all the utility financial model, investment plan, and broader reform

05:50:02programs. Madam Speaker, this acknowledges that challenges are no longer isolated operational problems. They are systemic challenges requiring system solutions. Madam Speaker, years of underinvestment and aging infrastructure, maintenance backlogs, and financial pressure have created increasingly common service delivery failures. Communities experience this daily through burst pipes, sewer spillage, inconsistent supply, and lengthy response times.

05:50:33Madam Speaker, the EFF maintains that access to water is not simply a municipality function. It is a constitutional obligations and matter of human dignity. When communities spend days without water, when sewer flows into the street and rivers, when residents rely on water tankers, the issue becomes social justice, not administrative. Madam Speaker, government is often become trapped into the cycle of producing new plans of old problems. Compliance become the objectives

05:51:04instead of service delivery. We caution against measuring success by document approval or National Treasury requirement. Madam Speaker, success must be measured by outcomes. Are water outage decreasing? Are sewer spillages being reduced? Are repairs happening faster? Is infrastructure being maintained before it fails? Are communities receiving reliable services? These are the questions that matter

05:51:34to residents. Madam Speaker, Johannesburg economy depend on functioning of water system. Business requires certainty, schools require water, clinic require water, communities requires water. Every infrastructure failure affect the public health, economic activity, and public confidence in the government. The EFF support this report because reform is necessary. But Johannesburg Water and administration must ensure this plan translate into visible improvement

05:52:05in all communities. Residents do not need another document, they need water utility that works. People of Makhandakhanda in Ward 25, they really need water. Thank you Madam Speaker.

05:52:17Thank you so much.

05:52:18Thank you so much, Councillor. Councillor Bittkau. Councillor Zitha.

05:52:31Madam Speaker, Madam Speaker, although the proposed framework for the recovery of Joburg Water is laudable in the broader sense, as it's at least an attempt to rectify the mismanagement and financial woes, at a glance, it looks very nice and oh so positive. However, when one digs deeper and studies these items more closely, the flaws become very obvious.

05:52:57Uh, my fellow Councillor, Chris Santana, in the previous item actually alluded to a lot of them. However, even though this proposal is based on loading a huge portion on the residents, including the current increases of 12.5% in tariffs, and not to mention the demand side increase of 62%.claim

05:53:25Even though mention is made of reducing the loss of water, it is glazed over and lacking the applicable attention. Furthermore, the reduction of commercial customers, as emphasized by the amount of empty factories around Joburg, has not been taken into account. Anybody who has run a business knows that trimming off the fat is one of the first issues to look at. Let us look at just the eight senior managers which cost 13.5 million per annum.claim

05:53:59Another aspect is providing a motivated workforce, and that is definitely not possible when you have an entire depot moved into new premises, and 18 months later, they are still working in containers like a temporary site establishment. Although the target set for reduction of technical losses are way above the acceptable maximum according to also the target set for reduction of technical losses are way above the acceptable maximum according to world standards.

05:54:31With other words, Joburg Water is placing the load squarely on the residents without applying the same and bigger pressure to themselves. Furthermore, this item has not served before the Section 79 where the necessary discussions could have been held in order to amend this proposal. But yet again, it shows how the urgency to push this through in a hurry has made this into an item which is not thought through properly, has not followed the proper ways, and therefore, unfortunately, we cannot support it. Thank you.

05:55:13Thank you, Councillor Bittkau. Deputy Executive Mayor.

05:55:20Thank you, Madam Speaker, and thank you very much to all the Councillors for the comments. We ask Council to approve the report.

05:55:27Thank you, Deputy Executive Mayor. The recommendation is on page 72.3. Is the item agreed to?

05:55:47Yeah, the yeses have it. Councillor Christians.

05:55:58Thank you, Madam Speaker. Madam Speaker, in terms of Rule 84, please record the opposition of the Democratic Alliance and just Councillor Masuku is the only one saying yes. Thank you.claim

05:56:12Hey, uh-uh. Right, thank you. Uh, STC, next item.

Item 73: City Power Trading Reform Strategy 2026-27 (PIAP V2)

05:56:19Item 73 is City Power's Trading Reform Strategy for financial year 2026-27, PIAP V2.

05:56:29Thank you so much. Councillor Harris. You should just sit there.

05:56:46Madam Speaker, good afternoon once again. I rise to speak to Item 73, the City Power Trading Reform Strategy. The ACDP notes and accepts this report. Thank you.

05:56:59Thank you, Councillor Harris. Who's standing in for Councillor Modukanene? No one? Oh, Councillor.

05:57:11Bini. Okay, thanks, Madam Speaker.

05:57:14Don't eat the mic.

05:57:16Eh?

05:57:16Don't eat the mic.

05:57:17Okay. I just want to remind the EFF that [zu] mhlaka 30 [en] their friends are going. As ActionSA, we note the report.

05:57:27Thank you, Councillor. Yo. Um, Councillor Mkasi, EFF.

05:57:44Thank you very much, Speaker. All protocols observed. The EFF rise in support of this item, but we do so with the interest of the working class and the poor firmly in our minds. Before we speak about financial models, business plans, investment frameworks, and performance improvement action plans, let us speak about the people of Johannesburg. Let us speak about the people of Zandspruit.

05:58:13Every day, thousands of residents in Zandspruit wake up in informal settlements where access to basic services remains inadequate. They wake up to overflowing sanitation facilities, unreliable electricity supply, poor road infrastructure, and difficult living conditions. Many families continue to live in overcrowded shacks, vulnerable to fires, floods, and disease. Many young people walk the streets searching for employment opportunities that remain out of reach.

05:58:41The painful reality is that while Johannesburg is regarded as the economic capital of South Africa, many of its people continue to live in conditions that resemble poverty imposed by colonialism and apartheid. The people of Zandspruit do not experience the economy through statistics. They experience it through darkness when electricity is unavailable. They experience it through food that spoils because there is no reliable power supply. They experience it through children who cannot study at night.

05:59:12They experience it through small businesses that cannot operate because of electricity interruptions. They express it through dangerous illegal connections that have become a consequence of decades of exclusion and underdevelopment. Speaker, the fundamental question before us is whether City Power can become a stronger institution capable of serving the people of Johannesburg. The report before Council speaks about building a financially sustainable, accountable, and performance-driven utility.

05:59:43Those objectives are important because a collapsing utility cannot serve the people. The EFF has always maintained that electricity is not a luxury. Electricity is a basic necessity. Electricity is a tool for economic liberation. Electricity is a tool for industrialization. Electricity is a tool for education. Electricity is a tool for safety and human dignity. A child in Zandspruit deserves the same access to electricity as a child in Sandton.

06:00:15A small business in Diepsloot deserves the same reliable power supply of electricity as a business in Rosebank. A worker in Alexandra deserves the same quality of municipal services as those that are enjoyed in wealthy suburbs. This is why the struggle for electricity is not merely a technical matter, but it is a political matter. It is a class matter. It is a matter of social justice. The EFF rejects any approach that treats City Power as nothing more than a balance sheet.

06:00:44City Power exists to serve the people. Its success cannot be measured only by financial performance. Its success must be measured by whether the lives of ordinary residents improve. Can City Power reduce outages? Can City Power replace aging infrastructure?

06:00:5950 seconds.

06:01:00Can City Power strengthen substations? Those are the questions that matter to our people. Speaker, the left has always understood that a capable developmental state is necessary to defeat poverty, inequality, and underdevelopment. We cannot build prosperous communities with collapsing public institutions. However, we place on record that implementation of those reforms must prioritize working-class communities, informal settlements, township economy, and the people in the center.

06:01:33Speaker, as the EFF, we support the recommendation before Council and approve the City Power Trading Reform Strategy for financial year 2026 to 2027, together with the financial model, business investment plan, and the Performance Improvement Action Plan Version 2.

06:01:54Thank you, Councillor. Councillor Steenkamp from the DA.

06:02:07Speaker, this item is the Performance Improvement Action Plan. At its core, it's an accountability framework that is intended to measure the performance, track implementation, and hold City Power accountable for delivering its turnaround strategy. In principle, the DA supports that objective. We support accountability, we support performance management, and we support proper governance. But accountability begins with process, and that is where this item falls short.

06:02:36The fundamental problem with Item 73 is that it did not come before the relevant Section 79 Committee for proper oversight and deliberation before being brought to Council. That matters because this document is supposed to be the mechanism through which performance is measured and accountability is enforced. Council should have the opportunity to interrogate the indicators. Council should have

06:03:00Just hold on for me, Councillor. Councillor Mokoena of the EFF, there by Councillor Mkasi, switch off your mic, please. Thank you. You can continue, Councillor.

06:03:11Council should have had the opportunity to test the assumptions. Council should have had the opportunity to debate whether the targets are realistic and whether they will actually improve service delivery. This is particularly important because the Performance Improvement Action Plan is intended to measure whether City Power succeeds or fails in reducing losses, improving governance, strengthening revenue collection, and improving operational performance. These are not minor administrative matters.

06:03:42They are the very metrics by which Council will assess whether residents are receiving a better service. Instead, Council is effectively being asked to rubber-stamp a framework that has not undergone the level of scrutiny that good governance requires. Speaker, there is an irony here. A document about accountability has bypassed one of Council's primary accountability mechanisms. A document about governance has not been subjected to proper governance processes. A document about oversight has not benefited from the adequate oversight. That should very much concern every Councillor in this chamber.

06:04:17The DA acknowledges that the document appears to satisfy the minimum technical requirements of the National Treasury reform program. But minimum compliance is not the same as meaningful oversight. Ticking a box is not the same as convincing Council. Meeting a deadline is not the same as ensuring accountability. Good governance requires more than compliance. It requires scrutiny, it requires transparency, and it requires proper deliberation.

06:04:43The DA is also concerned about much of the success of this framework ultimately depends on implementation by the same structures that have struggled to deliver consistent improvements in the past. That makes proper oversight even more important. Unfortunately, the opportunity for that oversight has been denied. Speaker, the DA is not rejecting this item because we oppose accountability. We are not rejecting this item because we oppose performance management. We are rejecting it because accountability begins with process.

06:05:16We are rejecting it because the Section 79 oversight process was bypassed. And we are rejecting it because Council should not be asked to approve performance frameworks that have not been properly scrutinized. For those reasons, while acknowledging that the document may satisfy the minimum requirements of the National Treasury reform framework, the DA cannot support Item 73. Accountability begins with scrutiny, and scrutiny begins with proper oversight. Because that process was bypassed, the DA will vote against this item. I thank you.

06:05:45Thank you, Councillor. MMC Masuku.

06:05:49Thank you, Madam Speaker, and to the fellow Councillors who are supporting this report. We ask Council to approve the report that is indeed about accountability, transparency, and ensuring that we have a reform strategy in order for us to move our entity forward. Thank you, Speaker.

06:06:07Thank you so much, Deputy Mayor. The recommendation is on page 73.3. Is the item agreed to?

06:06:25Can I have that again?

06:06:37Colleagues, the yeses have it. Who's at the back? So you removed yourself, Alex? Councillor Christians. The mics at the back are not working, so I'm not sure why you went to the back. Who's the intruders? Where?

06:07:03Thank you, Madam Speaker. Madam Speaker, I was stretching. I was stretching there, and I know you don't want me to stretch in the front. Madam Speaker, in terms of Rule 84, please record the opposition of the Democratic Alliance. Thank you.

06:07:19Thank you so much. STC, can we move to the next item?

Item 74: Pikitup Performance Improvement Action Plan

06:07:23We are now on Item 74, and that is Pikitup Performance Improvement Action Plan.

06:07:32Councillor Harris. I told you, stay there. Stay where you are, come when I call you.

06:07:46Thank you, Madam Speaker. Councillor Benjamin said I mustn't sit next to her. Madam Speaker, I rise to speak to Item 74, the Pikitup Performance Improvement Action Plan. Any plan must have some element of creativity and developmentalism in it. By no means, this report seems to just go about ticking the normal boxes. So we will support it,

06:08:14but we must place on record, Madam Speaker, that the city is running short of landfill space. But this report only talks about monitoring the air above existing landfill spaces. It doesn't talk about looking for additional landfill space. It doesn't refer to the biogas project that is coming on later on.

06:08:43The waste-to-energy, those millions of tons of waste that the city is collecting is just piling up all over the show, and it's spilling over into the streets and so forth. So while we note and approve this report, Madam Speaker, we are asking Pikitup and the authorities, the managers, the political office bearers, please look into this department because they are just going about the normal things as like they're in a coma. We need to do something to rescue the city from the filth and the mess that it is in. So the ACDP notes and accepts this report. Thank you.

06:09:24Thank you, Councillor Harris. Anyone that is replacing Councillor Modukanene? No one.

06:09:37Madam Speaker.

06:09:38Councillor Munyayi.

06:09:38Yes. Greetings to you, Madam Speaker, and also greetings to the residents of the City of Johannesburg. As ActionSA, Madam Speaker, we don't have a problem with this document, but we have a problem with the implementation part of this item. For example, as we speak, in Plein Hof, there are residents that, as we speak, there is no refuse collection as we speak now. So it's almost two weeks now as we speak, Madam Speaker. This is a big problem.

06:10:09There is a problem of illegal dumping that keeps on piling across the City of Johannesburg, and we are also appealing to Pikitup together with the Public Safety because we have a bylaw in the City of Johannesburg, the Waste Management Bylaw, that is specific about the implementation and the enforcement about the individuals that are being found dumping across the City of Johannesburg. But ever since this bylaw, Madam Speaker, has been passed in Council, I haven't seen the implementation part of this bylaw.

06:10:39We are just appealing to the officials who are responsible in terms of the implementation of those bylaws. Please, guys, let us put our city clean. And again, Madam Speaker, the same bylaw, it says that we must also provide waste pickers across the City of Johannesburg in terms of the spaces where they can operate. Even today, that bylaw is passed in Council, there is not even any land that is being allocated to the waste pickers. We are just appealing to the officials, Deputy Mayor, please speak with your officials that, yes, ActionSA, we support this item,

06:11:10but please, in the implementation part of it, it's a big, big, big problem because now our landfill sites, as the colleagues have spoken, that as we speak now, even in the other areas, we don't even have a landfill site. We have illegal dumping across the City of Johannesburg, but we have JMPD officials. What is it that they are currently doing here? We have the bylaw that they are supposed to implement across the City of Johannesburg. If I can ask, ever since that bylaw has been implemented, how many cars have they impounded? Because that bylaw says that if you find an individual dumping, you must impound that car. How many cars have they impounded? But these officials are being paid every month from the City of Johannesburg. I thank you, Madam Speaker. ActionSA loves you. Thank you.

06:11:51Councillor Munyayi, thank you so much. Councillor Mkasi from the EFF.

06:11:58Thank you very much, Speaker. All protocols observed. The question before us today is not simply whether we approve the Performance Improvement Action Plan. The real question is how did we arrive at a situation where the City of Johannesburg must develop a turnaround strategy for something as basic as collecting rubbish from our communities? Because behind every uncollected refuse bag lies a political failure. Behind every illegal dumping site lies a failed developmental state. Behind every landfill reaching crisis point lies years of neglect, underinvestment, and poor planning.claim

06:12:34This report itself admits that Pikitup suffers from inadequate capacity, insufficient investment, weak systems, critical vacancies, and governance challenges. It admits that customer satisfaction sits at only 61%. It admits that there has been historical underinvestment in solid waste management. It admits that there are serious weaknesses in procurement systems and operational capacity. Those are not EFF findings. Those are the admissions contained in this report before us. Speaker, when the people of Zandspruit wake up

06:13:06to mountains of waste next to their homes, they do not care about PowerPoint presentations. When the people of Diepsloot walk past illegal dumping sites every day, they do not care about fancy strategic frameworks. When children in informal settlements play next to rotting waste breeding rats, flies, and disease, they are not asking for another consultant report. They are demanding dignity. They are demanding service delivery. They are demanding a municipality that works. The EFF has always maintained that municipalities collapse when they surrender their responsibilities to tenderpreneurs.

06:13:40Our 2021 local government election manifesto correctly identified the over-reliance on outsourcing and tenders as one of the major causes of municipal collapse. The EFF has consistently advocated for building state capacity, ending the dependence on private contractors for core municipal functions. That is why we welcome aspects of this plan that seek to strengthen internal capacity, professionalize project management, improve accountability, fill critical vacancies, and invest in infrastructure.

06:14:10They are principles that align with the EFF's vision of a capable developmental municipality. However, we must warn this administration: a turnaround plan without implementation is just another document gathering dust on the municipal shelves. A turnaround plan without insourcing is meaningless. A turnaround plan without workers is meaningless. A turnaround plan without investment in townships and informal settlements, it is meaningless. A turnaround plan without consequences for corruption is meaningless.

06:14:40The EFF therefore supports this item not because we are satisfied with the state of Pikitup, but because our people cannot wait any longer for action. We support it because the report contains commitments to increase infrastructure investment, expand waste management facilities, improve landfill compliance, strengthen service coverage, and build operational capacity. But our support comes with a revolutionary warning: we will not allow this plan to become another official exercise while our people continue living among

06:15:1250 seconds.

06:15:13filth. We will demand quarterly accountability, we will demand the filling of critical vacancies, we will demand the insourcing of strategic functions, we will demand investment in informal settlements and historically neglected communities, we will demand that every cent allocated to waste management reaches the ground and benefits our people. For those reasons, while exposing the failures that made this turnaround necessary, the EFF supports the approval of this item and commits ourselves to militant oversight to ensure that it serves the people and not consultants or tenderpreneurs and officials. I thank you.

06:15:50Thank you, Councillor. DA, Councillor Sekhu. Before Councillor Tyrell, are you speaking? Okay. Councillor Mposula.

06:16:17Thank you so much, Speaker. Speaker, I'm worried. I just roughly did a head count, so can we check if we are still quorating? Because we are going to approve reports when we are not quorating. If Legal can check that, I'll appreciate it. Thank you so much.

06:16:36Yeah, can we finish the item? Councillor Tyrell.

06:16:42Thank you again, Madam Speaker. Madam Speaker, distinguished members of the house, while we welcome the metro trading reform and it's a step in the right direction, it's a concern that the item doesn't serve before Section 79, as with all the other items. That is a huge concern for us because what is the point of oversight and scrutiny if we don't get the opportunity to do it? That is part of the work and the role of the legislature. So that is one of our key concerns on why we are going to not support this particular item.

06:17:12But also just to also say that when we do go through the item, there are questions here that we need to ask the relevant officials, which we haven't had the opportunity. And it talks also about things around the large capital peaks and unclear on funding sources, for example, because it's very capital-reliant, heavy reliance on public-private partnerships from waste-to-energy and incinerators, the cash flow shortfalls and delivery bottlenecks that could occur as well on the projects, incinerator landfill cells vulnerable to cost overruns as well,

06:17:43large procurements, especially multiple public-private partnerships, large fleet and construction works may exceed internal procurements as well, which is a big concern, waste-to-energy and

06:17:54Councillor Tyrell, just hold on. Councillor Pietersen, can you please come to your seat? We can hear your whole conversation there. Councillor Tyrell.

06:18:08Thank you, as well as the requirements of the environmental impact assessments. These are questions that we need officials to ask, and it may very well be the same kind of questions that are asked by National Treasury. This doesn't guarantee that if this plan is approved, that National Treasury will approve or grant funding to the city. So, again, we are not supporting this item simply because it hasn't served in Section 79 on that principle, but we are not against trading reforms because this should have followed due process where we as Councillors could have given inputs into the documents because there are three annexures here, and it looks more like a roadmap than a trading reform strategy. Thank you, Madam Speaker.

06:18:41Thank you, Councillor Tyrell. MMC Masuku.

06:18:52Thank you very much, Madam Speaker. Our intention here is really to make sure that the improvement action plan is about developing a comprehensive performance plan and supporting the narrative that outlines the reforms. And most importantly, we want to support the National Treasury's reforms and align Pikitup's future planning with the city's broader utility reform agenda.

06:19:18Also importantly is that the governance and reform instruments that position Pikitup to meet National Treasury reform requirements will strengthen service delivery and the operational performance that Councillor Harris spoke about earlier on, including Councillor Meyers also. Although his caucus is not supporting the report, the report actually speaks to the things that they say we should be doing. So we ask Council to approve this, and the approval will enable us to further implement and assess the reform program, and we'll be able to be held accountable, and the Section 79 still has the opportunity to do that accountability framework. Thank you, Speaker. We ask Council to support Item 74.

06:20:11Thank you so much. The recommendations are on page 74.2. Is the item agreed to?

06:20:24Colleagues, the yeses have it. We are now Councillor Christians.

06:20:32Thank you. Thank you, Speaker. It was that very big yes that you hear every time. Madam Speaker, in terms of Rule 84, we'd like our opposition to this item to be noted. We are not against what is in there, but we are against the process that is followed because it makes it very risky. Thank you.

Quorum check

06:20:49Thank you so much. Before we go to Item 75, can we check if we are still quorating? But then I'm asking for us to remain seated so that we don't jump around when we are counting. I saw two other Councillors walk out from here at the back. I'm not sure whether they are gone or they have come back, but let's count and see. Do you want them to lift their hands? Okay, we'll count door to door.

06:26:24We are still quorating. We are still good to go. We are 143. We are still very good to go. Okay. Item 70 oh, sorry.

Item 75: reviewed delegations of authority for City Power, Joburg Water and Pikitup

06:26:38Item 75 is the reviewed delegations of authority of City Power, Johannesburg Water, and Pikitup, in light of the metro trading reforms.

06:26:51ActionSA, Councillor T Nkomo.

06:26:57Greetings, Speaker. All protocol observed. Speaker, I rise to speak on item 75, which is the reviewed delegations of authority of City Power, Johannesburg Water, and Pikitup. This item presents an important opportunity to strengthen governance across the city's municipal entities.

06:27:16The value of these revised delegations lies in the ability to remove uncertainty around decision-making and responsibility. Effective governance requires clarity. Where authority is unclear, accountability becomes difficult to enforce, and the risk of poor decisions increases. The proposed framework seeks to establish a more coherent system of oversight and control.

06:27:42This is particularly important in entities responsible for essential services, such as electricity, water, and waste management, where governance weaknesses ultimately affect residents through service delivery failures. The reforms should also contribute to stronger financial management, more effective procurement oversight, and improved compliance with regulatory and audit requirements.

06:28:07These are necessary measures if the city is serious about reducing inefficiencies and protecting public resources. However, Speaker, the adoption of the framework is not the same as achieving good governance. The real measure of success will be whether these delegations are properly implemented and consistently applied.

06:28:29Officials must understand their responsibilities, systems must support the new arrangements, and oversight structures must ensure compliance. Without effective implementation and consequence management, governance challenges will simply persist despite the new besides the introduction of new rules.

06:28:48For that reason, while supporting the approval of this item, we must emphasize that accountability is not created by a document alone, it is created through disciplined execution, effective oversight, and a commitment to ensuring that those entrusted with authority are held responsible for the decisions they make. Thank you, Speaker.

06:29:09Thank you so much, Councillor. Councillor Radebe, EFF.

06:29:21Uh greetings to the committed EFF battalions, fellow Councillors, officials, guests, and the residents of the City of Johannesburg. Speaker, the EFF notes and supports item 75, which deals with the reviewed delegation of authority of City Power, Johannesburg Water, and Pikitup.

06:29:48We understand that this review became necessary because the old delegation system was fragmented, outdated, and inconsistent. This created unclear escalation lines, also created weak accountability, operational delays, and audit risks.

06:30:08The revised framework seeks to align with National Treasury's Metro Trading Reforms and the M4 Minimum Commitment Model. Speaker, the key issue here is accountability. For too long, when things went wrong in municipal entities, it was difficult to know who approved what, who failed to act, and who must be held responsible.

06:30:33The revised framework, through SPMA, seeks to ensure that accounting officers have both the authority and the responsibility for revenue collection, cost recovery, debt management, and service delivery.

06:30:48This is important because City Power, Johannesburg Water, and Pikitup are not ordinary entities. They provide electricity, water, sanitation, and waste services, which directly affect the daily lives of residents. Poor delegation does not remain on paper, it becomes power failures, water interruptions, billing problems, dirty streets, and poor service delivery.

06:31:16The EFF's cardinal the EFF's third cardinal pillar calls for building state and government capacity, strengthening public institutions, efficiently managing resources, abolishing tenders dependency, and ensuring effective service delivery. This delegations framework must, therefore, not become another administrative document.

06:31:38It must help to expose irregular spending, prevent abuse of authority, and make it easier to trace decisions that fall outside approved limits. Speaker, we support the item, but we call for strict monitoring, regular reporting to Council, and consequence management where delegated powers are abused. Thank you, Speaker.

06:32:00Thank you, Councillor. Councillor Ndou from the ANC.

06:32:11Thank you, Speaker. I'm standing on behalf of Councillor Ndou just because of ill health. Speaker, we are approving item number 75 just because of it strengthens governance and give a direct authority.

06:32:30Also, Speaker, let us note that these reforms start giving and bring life to the most important entities in the City of Joburg that are providing the live service delivery. So we are approving the report based on that. Thanks.

06:32:48Thank you, Councillor Ndou. Uh MMC Masuku.

06:32:54Thank you very much. Uh fellow Councillors, we ask Just

06:32:57hold on. Oh, sorry. You see, when you come late, it it it this happens. Thank you, Councillor Marais.

06:33:03Thank you, Speaker. I think my name is on the amended list. Is that correct?

06:33:07It came late. It's fine. Thank you, Councillor Marais.

06:33:11Uh Madam Speaker, fellow Councillors, Council officials, ladies and gentlemen, the delegations of authority determine the decision-making powers of city office-bearers and officials, and therefore are crucial to ensuring proper management of the city and its activities, and that decisions are taken at the appropriate level of the broader city organizational hierarchy by officials who have the necessary skills, understanding, and experience.

06:33:40These delegations were largely established in or about 2011 and have not been comprehensively reviewed since then, despite it being a requirement in terms of Section 59(2)(f) of the Municipal Systems Act that they must be reviewed when a new Council is elected, until a current exercise referred to in this report.

06:34:01The current item proposes changes to the delegations which pertain to the internal operations of City Power, Johannesburg Water, and Pikitup, and to their relationship with the city in response to the National Treasury's metro trading reforms. These require, among other requirements, that there be a single point of management accountability which aligns operational authority, financial management responsibility, and accountability within these entities.

06:34:30As is noted in the report, in several respects, the existing delegations were problematic, which created risks relating to unclear escalation pathways, inconsistent authority thresholds, weak accountability lines, operational delays, and potential audit findings.

06:34:49It is, therefore, essential that the proposed amendments are carefully scrutinized to ensure that they will achieve the purpose of aligning them with the metro trading reform requirements. Failure to do so will have the consequence that the National Treasury will not allow the city to access the incentives of the Metro Trading Reform Programme, and in particular, the access to additional infrastructural funding.

06:35:16It is here where this administration has erred in not affording an opportunity to the relevant Section 79 oversight committees to scrutinize this item and allow the Councillors on those committees, the elected representatives of the residents of this city, to fully interrogate the proposed amendments and to ventilate their views as to the content of the proposed new delegations.

06:35:41Even more important, the committee members need to have comfort that these changes will meet the requirements of the metro trading reforms. Without such comfort, there is a risk that National Treasury will reject these amendments, which will subject the city to delays in accessing the critical funding needed to address its ailing infrastructure.

06:36:02The DA is, therefore, not in a position to support this item. It would be tantamount to signing a cheque while blindfolded. I thank you.

06:36:13Thank you, Councillor Marais. MMC Masuku.

06:36:17Thank you, ma'am. This reform is very critical, Speaker, to improving governance uh maturity, strengthening accountability, enhancing operational responsiveness, and supporting financial sustainability and reducing governance and audit risks. So, this is not necessarily about just giving anybody a blank cheque,

06:36:43but this revised delegations of authority framework actually represents a significant governance reform that strengthens accountability and improves the operational efficiencies, um and the implement it supports the implementation of the national trading reforms for across Pikitup, Johannesburg um Water, um and City Power. And key to these reforms, Speaker, is actually the harmonization of the authority of the structures,

06:37:14and ensuring that the the the point that the Councillors are making about um the single point of management accountability, otherwise known as the SPMA principle. And this ensures that operational authority, financial responsibility, and accountability are vested within the trading entities while preserving board oversight and shareholder governance responsibility so that, at any given time, the

06:37:45shareholder has that governance responsibility to the entities, and we ask Council to support this very progressive uh uh review of the delegations of authority for the City of Johannesburg in line with the national trading reforms. Thank you, Speaker.

06:38:01Thank you so much, MMC. Colleagues, the recommendations are on page 75.11. Is the item agreed to?

06:38:11Agreed. No.

06:38:15Hey, that one, the yeses have it. That one, the yeses have it. Councillor Christians.

06:38:26Thank you, Speaker. Speaker, in terms of Rule 84, please record the opposition of the Democratic Alliance, and we reserve our rights on this one. Thank you.

Break and re-ordering of the programme

06:38:34Thank you. Colleagues, I'm going to afford us a five-minute body break, and then we come back to deal with all the other uh items. We can even go home later, it's fine. Thank you. Can we please have a five-minute break, and then Five minutes. It's 17:41, we come back at 17:46. Chair of Chairs.

06:39:04Chair of Chairs.

06:48:39Councillor Louw, there's a WhatsApp there. Huh? Never mind.

06:52:50isiZulu[inaudible] Ayi ayi ayi ayi!

06:53:02I see the the the Chief Whip of Council is back. So I I I take it that the Whips have had a meeting. Um Chief Whip, do you want to engage us or do we carry on with our items?

06:53:25Uh Speaker thank you very much. I greet you I greet the Deputy Executive Mayor and uh all MMCs in uh who are in uh absentia here and the MMC, the COC all Whippery. Uh Speaker we have decided that from item 45 to 60

06:53:54we will just note. And um the Whippery they are saying can we please do other performance reports tomorrow. And then we, but before that we must deal with all elevated uh reports, items.

06:54:16Okay. So

06:54:21So 45 up to 60 must, I just read together to noted to note them.

06:54:29But those other performance reports which are not elevated, then we deal with them tomorrow. But which are elevated, we deal with them now.

06:54:41Okay, we get you, um Chief Whip. We we we let us summarize what you've told us.

06:54:47Okay.

06:54:48We are carrying on where we left on item 75. We carry on with them. The stuff that the um Deputy Mayor elevated this morning, we carry on with them. And then we go to item 45 to items to item 60, which are all um

06:55:14Oversight reports.

06:55:15oversight reports. And those oversight reports, we will take them all together. And you are saying all the quarterlies, we will do them tomorrow. Um I see the hand of the Chair of Chairs. Are you done, Chief Whip?

06:55:34Yes, I'm done.

06:55:35Thank you. I see the hand of Chair of Chairs.

06:55:42Um thank you very much, uh honorable um Speaker of Council. With your indulgence, um can I ask that um we also, I I just saw now that I I I made an oversight. Can I ask that we elevate item 89 just after the executive items that have been elevated? Because the one that I raised in the morning um it has already been dealt with. So if we then finish off all the executive elevation items

06:56:18can I kindly and with all kindness uh ask that we elevate uh item 89. Thank you.

06:56:28Okay, Chair of Chairs, item 89 is the um is the year planner. Yeah, okay. We can do that. So we're going through the items that has been elevated by the executive, we finish that, we go to the year planner, and then we do the um oversight committees. Let's see how far that brings us. Thank you so much. Can we move to the next item? Um STC.

Item 82: addendum to Debt Relief Programme Phase 4

06:57:19We now proceed with item 82 and that is an addendum to COJ Debt Relief Program Phase 4 to assist qualifying customers with relief from historical debt.

06:57:38Thank you so much, councilors. We start off with Councilor Mkhonza from the ACDP.

06:57:53Yeah, thank you very much, um uh Madam Speaker once again. Um I will just quote um uh Romans 13:8, just the first um line which says, "Let no debt remain outstanding." Uh Madam Speaker the ACDP

06:58:24Councilor Mkhonza.

06:58:25No, it's fine, yeah. The ACDP caucus um supports and approves um the proposed addendum while noting the in inherent risk associated with the program including potential revenue losses and the possibility of creating expectations for future debt write-offs. Nevertheless, we believe that if properly implemented and monitored, this intervention can provide meaningful relief to deserving customers

06:58:54while supporting the broader objectives improving the city's um financial uh sustainability as well as cultivating a stronger culture of payment. Um however, Madam Speaker there is one concern um that as the ACDP, one issue, let me put it that way, one issue that remains um insufficiently addressed in this proposed loyalty um reward scheme.

06:59:24While the report indicates that the scheme seeks to promote continued payment compliance and foster a culture of payment among beneficiaries, the mechanism for achieving for achieving this objective remains unclear. Council will benefit from a detailed explanation of how the scheme will um operate, how compliance will be measured, what incentives will be offered, and how success will be evaluated over time.

06:59:54Debt relief programs should not merely write off debt. They should also contribute to changing payment behavior and strengthening the city's um revenue base. Without a clear implementation framework there is a risk that the intended behavioral outcomes may not materialize. Um going to the to the clauses that um we we welcome

07:00:24as the ACDP, the inclusion um of the increased threshold debt of up to 2.5 million which broadens access to the program and extends relief to a larger pool of qualifying custom uh um customers. The second one is that the provision that no down payment will be required upon signing the acknowledgment of debt. This will assist financially distressed applicants who may otherwise be unable to participate in this program.

07:00:52With regard to clause 3.3, we propose that the wording be strengthened to eliminate any potential ambiguity or varying interpretations.

07:01:02Your time is up, councilor, apologies.

07:01:04Okay, thank you, Madam Speaker.

07:01:11Councilor Boer.

07:01:14Uh good afternoon, Madam Speaker, again. Um I'm rising on item 82, the Debt Relief uh Program. Um we are more than halfway through this program. I think it ends at the end of October or the end of November of this year. Um so far, 14, 11,400 applications have been received of which 8,300 have been already been approved. Um and I want to recommend uh the officials and the CFO and his team for really, really addressingclaim

07:01:44those applications and and and and work with them. Um the proposed amend uh addendums, uh there there are three of uh six of them, and they are really there to to make it easier uh for our residents to to qualify and to sign the acknowledgments of debt without having to put down a 20 or a 50% down payment, and that is a real, that was a real big hurdle for our residents to come forward

07:02:14and say, "All right, I'm still having a debt of 500,000 after the 50% write-off, but I don't have a down payment amount." But um so the the proposed addendums are really there to to make it easier for our residents, but as the previous speaker has said as well, we need to monitor this and it must not be a blanket write-off. Uh the residents must also know that they have to adhere to the to the AODs and and and

07:02:43and also fulfill fulfill their obligations towards the city. Uh all in all, it is a it is a beautiful program, but it's it's maybe a little bit disappointing that only 11,400 applications have been received in 6 months time, and I think we must really communicate with our residents that they must apply for this debt write-off. Thank you, Madam Speaker, we support the item.

07:03:05Thank you, Councilor uh Boer. Councilor Nkonyeni ActionSA.

07:03:17isiZuluNgibonge ngibonge Speaker. Eh angeke ngiphinde lokhu okushiwo eh amakhansela ngoba ngempela ngempela baqinisile ngokuthi siyajabula ukuthi lendaba ye-down payment i-deposit le ayisadingeki manje. Eh Speaker

07:03:38today as ActionSA we support this item because because it is about struggling resident it is about giving struggling residents a second chance. Across Johannesburg, thousands of residents are drowning in municipal debt: pensioners who survive on grants, families who lost jobs, small businesses trying to keep their doors open, churches, nonprofit organizations, and community institutions that provide essential services to our people.

07:04:07Many of these residents want to pay for services. They are not refusing to pay. The problem is that years of accumulated debt, interest, and penalties have made it impossible for them to catch up. When someone owes tens of thousands of rands, they often lose hope. They stop engaging with the city altogether because they believe they will never get out of debt. Speaker, this program gives those residents hope again. It says to our residents, if they are willing to come forward,

07:04:37work with the city and start paying your current account, we will help you deal with the burden of historical debt. That is the right thing to do. ActionSA believes in accountability, but we also believe in fairness. We cannot build a city where pensioners spend their final years worrying about debt they can never repay. We cannot build a city where struggling families are permanently trapped by historical debt, and we cannot build a city where small businesses are forced to close because of old debt that has become impossible to settle.

07:05:07Speaker, what we like about this program is that it is not a free handout. Residents are not simply being told that their debt disappears. Instead, the city is creating a partnership with residents. The city provides relief, the residents commit to paying their current accounts and honoring payment arrangements. That creates a culture of payment while recognizing the economic reality facing many Johannesburg residents today. Speaker, this program also makes financial sense.

07:05:37Some people ask, "Why write off debt?" The answer is simple: debt that can never realistically be collected is not helping the city. It sits on the books year after year while residents remain disconnected from the system. By helping residents settle their accounts and return to regular payment, the system can improve their future revenue collection and strengthen its finances. In other words, this program is not just good for residents, it is good for the city as well. Speaker, as ActionSA, we also want the city to continue improving

07:06:07its billing system, meter reading accuracy, and customer service. Many residents have found themselves in debt because of billing disputes, estimated readings, and administrative errors. Debt relief must therefore go hand in hand with fixing the underlying problems that create these debts in the first place. If residents are expected to pay, the city must also ensure that bills are accurate and that customer queries are resolved quickly and fairly. Speaker

07:06:35at its heart, this program is about restoring trust between city and the residents. Trust has been broken over many years. Residents have often felt ignored, frustrated, and overwhelmed. This program gives an opportunity to rebuild that trust by showing residents that the city is prepared to work with them rather than against them. ActionSA supports a Johannesburg that is compassionate, but responsible, a Johannesburg that helps those who are genuine who who genuinely need assistance,

07:07:06a Johannesburg that encourages payment rather than punishes poverty, and a Johannesburg that understands that financially financial stability and social justice must go hand in hand. For these reasons, ActionSA supports item 82 and calls on our and calls on council to approve the proposed amendments to the Debt Relief Program. I thank you.

07:07:28Thank you, Councilor Nkonyeni. Uh EFF Councilor S. Zitha.

07:07:39Uh thank you very much, um Speaker. Greetings to the EFF leadership and the EFF councilors. I rise on item 82. Um Speaker, the EFF Before I proceed, rather it is very important to remind this council and the resident of City of Johannesburg that the principle of debt relief did not emerge from nowhere.

07:08:08The EFF has championed uh the intervention aimed at assisting working class resident, pensioners, indigent household, small businesses, churches, NPOs, and vulnerable members of the society who continue to suffer under the difficulties of economic conditions, of this difficult economic conditions. We therefore welcome this progressive intervention and acknowledge

07:08:37that it reflect proposal that the EFF has long advanced in this council, that the government must place the people before the profit and provide relief to struggling resident. The report shows that more than 11,000 application has been processed, rather, and over 8,000 resident and institution have already qualified for assistance. It further proposed that uh write-offs that could amount to 11.7 billion while potentially improvingclaim

07:09:07revenue collection by 6 billion over the next 3 years. Speaker, while we support this the objective of this program, we must also be honest about the reason why many resident find themselves trapped in debt. A significant portion of municipal debt has accumulated because of inaccurate billing, estimated meter readings, delayed account corrections, and administrative failures within the city itself. Many resident have spent years disputing incorrect account while

07:09:37their debt continue to grow. The EFF therefore caution against creating the impression that all debt is a result of deliberate nonpayment. In many cases, the city has contributed to the problem through poor governance and insufficient system. We further note that the report identify the risk of creating a culture of nonpayment. This concern is legitimate.

07:10:06It's legitimate. Uh English, Speaker. Debt relief must not become a recurring cycle where resident wait for the next um write-off program. The city must strengthen billing system, install accurate prepaid and smart meters, resolve dispute speedily, and enforce for credit control measures. The EFF also believe that the debt relief alone is not enough. The root cause of the problem is deepening

07:10:36poverty, unemployment, and economic hardship experienced by our people. Families are struggling to choose between food, transport, school fees, and municipal account. Until the economy uh works for the majority, municipal debt will continue to grow. The EFF support this report because it provide immediate relief to resident who genuinely need assistance. However, we call for a strict oversight, transparency, and fairness in implementation to ensure that the program benefit deserving resident and not politically connected

07:11:06individual or businesses. Finally, Speaker, we wish to acknowledge that and thank the Economic Freedom Fighters for consistently advancing progressive policies that place the interest of the poor and working class at the center of the governance. This progress demonstrate that when government listen to the people, practical solution can be found. For those reason, the EFF support and approve for the this addendum while calling for approved billing system, stronger accountability,

07:11:36and long-term uh strategy to address the underlying causes of municipal debt.

07:11:44Thank you, Councilor Zitha. Please switch off your mic. Thank you. Councilor Modupi, ANC. Is he not here? Okay. Councilor Santana, DA.

07:12:17Thank you, Madam Speaker. Madam Speaker, as councilors, it's our duty to scrutinize the proposed amendments to the debt to the city's Debt Relief Program and ensure that the interest of all residents and long-term financial health of the Johannesburg is protected. We recognize the urgent need to assist financially distressed residents, businesses, and community organizations. The program's broad coverage and the processing of over 11,000 applications demonstrates both the scale of the challenge and the city's willingness to act.claim

07:12:47However, we must raise several concerns. The projected 11.7 billion in debt write-off is significant, yet the report lacks a detailed feasibility study and does not provide the calculations or assumptions behind this figure or the anticipated 6 billion in improvement to collections. There is no breakdown of the write-off between property rates, service charges, interest, and fees, making it difficult to assess the true impact on municipality's revenue.claim

07:13:16The program may reduce municipal revenue in the short term, potentially affecting service delivery. By allowing previously beneficiaries to reapply without evidence of improved payment behavior, we risk encouraging a culture of nonpayment and repeated reliance on relief. The risks of inaccurate customer metering or income information could lead to incorrect approvals and undermine the program's integrity.

07:13:44Customers who do not qualify may perceive the program is unfair, especially if eligibility criteria are not communicated transparently or enforced consistently. Madam Speaker, also what we require is the understanding or the proposed loyalty reward scheme with clear published rules to incentivize the regular payment. I think that's the part that's lacking around this whole Debt Relief Program is the

07:14:14pronouncement of the loyalty reward scheme, but we have no policy in how that's going to play out, so we obviously request that that actually comes sooner than later. Madam Speaker, we support the principle in debt relief for those in genuine need, but it must be balanced with accountability, transparency, and the city's long-term financial stability. We urge council to adopt these amendments only with the necessary safeguards, oversight in place, ensuring relief today does not become a burden for tomorrow.

07:14:43Madam Speaker, the Democratic Alliance supports the debt relief as I am the co-author of this policy to begin with, together with Jolidee from the ANC, and I thank you.

07:14:54Thank you so much, Councilor Santana. MMC Masuku.

07:14:59Thank you so much. Indeed, our late uh MMC for Finance, Councilor Jolidee Matongo, was very passionate about this program. I recall um at uh one point he was pushing that it must be passed in council and then the amendments can follow after because um together with other councilors, including Councilor Santana, the passion was really about making sure that uh customers who continue to experience financial hardship are provided an opportunity to bring

07:15:29uh those qualifying customers back into a compliant payment arrangement while supporting our revenue efforts. And I do agree, thank you to all the councilors, that this proposed amendments seek to strengthen the effectiveness and accessibility of the Debt Relief Program while balancing social support objectives with the city's financial sustainability goals, and this approval will therefore make that these changes expected will improve

07:15:59participation and debt recovery and long-term payment compliance. The point about the policy is noted. I think CFO is here, the Group CFO heard that, and we're very responsible, let's to expedite uh through uh Lufuno and the team so that we get that through to um the committees and Section 79 and all the governance structures and then it comes to council for approval. We thank you, uh fellow councilors, for the support, and this is um

07:16:28a progressive way where we can work together to make sure we build a better Johannesburg. Thank you, Madam Speaker, we ask council to approve the report.

07:16:38Thank you so much, um MMC. Councilors, the recommendation is on page 82.9. Is the item agreed to?

07:16:47Agreed!

07:16:48Thank you.

Item 83: Service Level Standards Framework

07:16:51We're now on item 83, and that is the Service Level Standards uh Framework for the City of Johannesburg.

07:16:59Thank you, STC. ACDP Councilor Mkhonza.

07:17:25Um thank you, Madam Speaker. Um on the previous item, I wanted to make some proposals on um clause 3.3 and 3.5 just for legal clarity, but if I'm allowed, I'll submit it after this speech because uh my time had expired. Anyway, on this item 83, in appreciating the principles that underpin sound performance management and service delivery, namely strategic congruency,

07:17:55public participation, validity, accountability, transparency, reliability, responsiveness, and continuous improvement, the ACDP believes that the adoption of this framework is a positive um step forward building a more efficient, responsive, and citizen-centered uh municipality. Madam Speaker, residents of the City of Johannesburg deserve certainty regarding the quality, timeliness, and standards of service

07:18:25of services they can expect from the city. Too often, public frustration arises not only from service delivery failures, but also from the absence of clear expectations and measurable commitments. The Service Level Standards Framework seeks to address this challenge by establishing a common understanding between the city and its residents regarding the service obligations and performance expectations. The ACDP caucus therefore notes and supports the Service Level Standards as contained in Annexure A.

07:18:55We are encouraged by the framework's intentions to strengthen accountability across departments and municipal entities while promoting consistency in service delivery throughout the city. We further trust that the implementation of these standards will foster a culture of excellence, professionalism, and responsiveness within the administration. More importantly, we hope that it will translate into improved service delivery outcomes, reduced turnaround times,

07:19:25enhanced public confidence in the city, and increased customer satisfaction among the residents and business of the City of Joburg.

07:19:3250 seconds.

07:19:33Thank you very much. The true measure of this framework, however, will not be in its adoption, but in its implementation, monitoring, and regular review. The ACDP therefore encourages the administration to ensure that performance against these standards is transparently reported and that corrective action is taken um whenever service levels fall below the agreed benchmarks. For these reasons, the ACDP caucus supports and approves the Service Level Standards Framework

07:20:02of the City of Joburg. Shalom, shalom.

07:20:05Thank you so much, councilor. ActionSA Councilor T. Nkomo.

07:20:13Um good greetings, Speaker. It's been a long day. Um we note the report. Yeah, we note it.

07:20:22Thank you, Councilor Nkomo. Uh EFF Councilor Radebe.

07:20:35Um thank you, Speaker. Uh good Service Level Standard Framework sets time frames like sewer blockage restored within 24 hours or single pothole on minor road repaired within 72 hours. When targets are specific, staff and residents know what service delivery looks like, and that's what makes Batho Pele principle work. Citizens should be told what level and quality of public service they will receive so that they are aware of what

07:21:04to expect. Frameworks only work if the municipality actually tracks performance, publishes results, and has redress when standards are not met. Without reporting and consequences, it becomes paper. Standards means little if there's no budget, staff, or equipment. Framework should include key mechanisms to progressively remove barriers to so sorry. Framework should include mechanisms to progressively remove barriers

07:21:34so access to services is increased. The question will be: Was this Service Level Standard shaped by public comments or their needs? The City of Johannesburg is actually not meeting the 5-day illegal dumping and water outage standards. Johannesburg Water Quarter 3 2025 report shows only 41.27% water bursts fixed within 24 hours versus the 90% target. Sewer blockages:claim

07:22:04only 66% cleared within 24 hours versus 95% target. Speaker, Zandspruit in Region C has blocked drains and illegal dumping that cost 50 million per year whichclaim

07:22:18Johannesburg Water having to flush systems every two to three weeks. The residents of Orange Farm are living with water outages that start every day from 2 p.m. to 10 p.m., or even 12 a.m. The level of service in informal settlements is always neglected. The framework The framework can only help demoralised residents of the City of Johannesburg if it is implemented correctly and monitored.claim

07:22:45Speaker, the EFF notes this report and approves it with the concerns raised. Thank you.

07:22:55Thank you, Councillor Radebe. Councillor Mokoena from the ANC.

07:23:08Thank you, Speaker. The Service Level Standards Framework is to improve the governance performance, its tools to intend to standardise and monitor improvements on municipality service delivery across the City and its own entities. It is It is meant to establish the service, define measures, report, review

07:23:36and other and and force with a broader aim of improving accountability, transparency, and resident trust and service delivery performance. The framework is to introduce transformational mechanism and institutionalise excellence and accountability, transparency in public service delivery.

07:24:00And Speaker, let us note one thing that based on these Service Level Standards, we have signed as a Council we have signed agreement with the communities based on IDP, SDBIP, and City Governance and Administration. And also, Speaker, the most critical thing is the principle of Batho Pele in addressing the service

07:24:30the service standard agreement and service delivery. So on that note, Speaker, we are noting and approving the report. Thanks.

07:24:44Thank you, Councillor Mokoena. Councillor Wax from the DA.

07:24:53Thank you very much, Madam Speaker. Madam Speaker, I rise to talk on item 83, on the Service Level Standards Framework. We welcome any previous any serious attempt to set measurable standards, Madam Speaker, for the services that our people rely on every day.

07:25:16The City's Service Level Standards Framework rightly recognizes that each SLS will specify the service description, turnaround time, quality metric, responsible party, and legislative reference. That captures what residents have been demanding for years, clarity about what the City promises and who will deliver it.

07:25:39But words on a page, Madam Speaker, are not the same as water in a tap, lights in a home, or a road you can drive on without risking your suspension. We must be blunt. This framework is positive in principle, but weak in execution. It builds dashboards and committees and then leaves residents waiting for enforceable service guarantees. It allows municipal entities to set their own

07:26:07standards with no clear binding consequences when those standards are missed. That is not reform, that is delegation without accountability. Our residents, Madam Speaker, do not need more reports. They need outcomes. They need clear, firstly, clear non-negotiable turnaround times for the basics: when water will be restored and electricity restored, fixing burst pipes, clearing blocked drains, etc.

07:26:37Secondly, independent verification of performances, not self-certified dashboards. Thirdly, escalations and consequence mechanisms that are effective, because it's important that our residents see that we are dealing with the consequences of poor performance.

07:27:00Um, transparent costing and resourcing so residents know whether a missed standard is a management failure or a funding gap. And if it's a funding gap, how will we fix that so that they have the confidence that we are dealing with the issues correctly. Madam Speaker, we are particularly concerned about the over-centralization of oversight in the Mayor and Mayoral Committee without strengthening the Council's oversight role.

07:27:29Section 79 committees and oversight structures are described as reviewers. They must be made drivers of corrective action. If a municipal entity misses its targets three times in a row, the Council must be able to demand an immediate remedial plan with timelines, named accountable managers, and a public hearing within 30 days. Implementation risks are real. The framework itself admits our systems are fragmented and our ICT is inconsistent.

07:28:00Yet the document proposes a single integrated platform without a funded rollout plan, timelines, or pilots. We will not support a digital promise that becomes another expensive under-delivered project. Any integrated system must be piloted, independently evaluated, and budgeted for in the medium term before it is mandated across entities.

07:28:26We also, Madam Speaker, sound a warning about the human cost. New standards mean new responsibilities for frontline staff. Investing in training, adequate staffing, and protective measures for workers who fix our infrastructure should be priority. Performance targets without capacity are a recipe for failure and scapegoating. So, Madam Speaker, for the DA to provide its support, we really want to just make sure that

07:28:55we understand each other. So, what do we require? A public legally binding Citizen Service Charter; secondly, automatic escalation rules in the framework; three, independent verification by the Auditor-General or an accredited third party; an integrated dashboard with milestones and an independent evaluation before City-wide rollout; stronger a much stronger role for Section 79 committees; and monthly public dashboards and ward-level scorecards

07:29:26so residents can see performance where they live, not buried in technical reports. Let me conclude, Madam Speaker. We will support any measure that moves beyond governance theory and delivers tangible improvements for residents. We will work constructively to tighten the framework, to make standards enforceable, and to ensure that the City's promises become measurable, verifiable, and, most importantly, delivered.

07:29:53Our message to the administration is simple. If you want our support, show us the plan, show us the funding, show us the consequences, and show us the results. Our people deserve nothing less. We support the item with some serious reservations. Thank you, Ma'am.

07:30:12Thank you, Councillor Wax. MMC Masuku.

07:30:15Thank you very much to all councillors. And indeed, this framework provides clear service delivery standards and accountability measures, which will enable residents to better understand what service levels that they can expect in improving the City's ability to monitor and improve performance. It's intended to apply across the City Group to ensure consistency in service delivery standards, performance measurement, and an accountability.

07:30:46The focus really, Madam Speaker, is about improving governance, performance management, and service delivery outcomes, and that's what we are all supporting. And we thank fellow councillors and we ask Council to support. Thanks, Ma'am.

07:31:01Thank you, MMC. The recommendations are on page 83.3. Is the item agreed to?

07:31:11Agreed.

07:31:13Thank you so much. STC.

Item 85: updated shareholder compacts of City Power, Joburg Water and Pikitup

07:31:16Item 85 is updated stakeholder compacts of City Power, Johannesburg Water, and Pikitup in light of the Metro trading reforms and single point of management accountability alignment.

07:31:30Thank you so much. Councillor Harris. Just hold on, Councillor Harris. Councillor Meyers.

07:31:45Thank you, Speaker. I think I am after Councillor Marais. Can I please give my minutes to him for this item?

07:31:53I go to Councillor Marais. Is Councillor Marais on? Okay. Councillor Marais. Okay, Councillor Harris, jy kan skiet.

07:32:07AfrikaansDankie, Mevrou Speaker.

07:32:11I rise to speak to item 85, the updated shareholder compacts. I am so delighted to see this report, Madam Speaker, because there's one item in it and that speaks to accountability that is just absolutely absent. You know, we watched, and I don't know about everybody else, but I watched on television as our Mayor and Deputy Mayor and City Manager cringed

07:32:41and squirmed in Parliament as they were held accountable and questioned about the performance of the City of Johannesburg, whereas the CEOs and boards are noticeably absent whenever it comes to being held accountable. Even us as councillors, we are held accountable when the lights go off, when the water flows in the streets, and when drains are blocked.

07:33:10And the boards and the CEOs are absolutely absent. So I'm quite delighted that this item is there is a note about it in this report. And I trust that this accountability will be extended to all the boards because all of those CEOs and boards are noticeably absent when people are supposed to be held accountable. And I trust that as we go into a new era

07:33:40after the 4th of November, that accountability will be spread evenly and that the quality of the boards that are appointed will go beyond singers and dancers and psychiatrists and people who are not fit for purpose. So the ACDP notes this report with thanks. Thank you, Madam.

07:33:59Thank you, Councillor Harris. ActionSA, Councillor Mabunda.

07:34:12Greetings, Speaker, fellow councillors, guests in the gallery, and residents of Joburg. I rise to speak on item 85. ActionSA welcomes the review of the shareholders compacts for City Power, Johannesburg Water, and Pikitup. We acknowledge the effort made to strengthen governance, improve accountability, and align our municipal entities with the National Treasury's Metro trading

07:34:46service reform program.

07:34:53XitsongaSwi na nkarhi wo leha swinene vaaki va doroba ra Joni va xaniseka hi ku tsandzeka ka mavandla ya GLU. Va tiyiserile leswi ringaneke: ku pfumaleka ka vukorhokeri byo tani hi mati, nkavanyeto wa gezi, ku tsandzeka ku basisa thyaka, ku hunguteka ka vukorhokeri ni mafambiselo yo biha ya mfumo, na ku pfumala vutihlamuleri eka vurhangeri bya doroba.

07:35:25XitsongaKu sunguriwa ka maendlelo mantshwa ya vutihlamuleri bya ndhawu yin'we ya vufambisi i goza lerinene. ActionSA yi seketela na ku pfumelelana na nawu wa leswaku vutihlamuleri bya mphakelo wa vukorhokeri, ku hlengeletiwa mali leyi nga nghenaki, matirhelo na vufambisi

07:35:54Xitsongabya swa timali swi fanele ku fambisiwa kahle endzeni ka tindzawulo hinkwato. Vaaki va fanele ku swi tiva leswaku i mani loyi a nga na vutihlamuleri loko vukorhokeri byi tsandzeka ku fikelela vaaki va doroba. Hi ya emahlweni hi amukela na ku twisisa ka swikombiso swa nkoka swa matirhelo leswi vekiweke eka this report, scorecard swa nkombiso wa matirhelo lama hlanganisiweke

07:36:24Xitsongana pulani ya vuhluvukisi, swilavekiso swo tiya swo va erivaleni ka swa timali, na ku boheka ka varhangeri va bodo ku tumbuluxa na ku hlamusela tindlela ta ku cinca ka mafambiselo ya tindzawulo. Hambiswiritano, Speaker, ActionSA a yi tshembi leswaku swivumbeko swa vulawuri ntsena swi tiyisisa mimbuyelo, kambe hi ri vandla ra ActionSA,

07:36:58we adopt and approve

07:37:00Xitsongana swivilelo leswi hi swi hlayeke. Inkomu.

07:37:05Councillor Radebe, EFF. Councillor Radebe, EFF.

07:37:24Thank you, Councillor.

07:37:31Thank you, Speaker. The EFF notes the purpose of this compact, which is to regulate the relationship between the City of Johannesburg and the three entities' boards. And it aims to strengthen boards' accountability, provide role clarity, promote transparency, good governance, and alignment with applicable laws. The compact sets the framework, but effectiveness hinges on whether quarterly reports are honest,

07:38:04whether consequence management actually happens, and if the remedial action is enforced.

07:38:20Before you go further, Councillor Mabunda, switch off your mic, please.

07:38:32Can I continue, Speaker?

07:38:33Thank you, Councillor.

07:38:35Okay. We can see the obligation created, but can't guarantee the political will. Speaker, we need to have key performance indicators that are realistic and speak to the needs of our people. As the City, we need to use our oversight powers and make sure the boards follow through consequence management. The compact mentions breach and interventions in the table of contents, but the actual steps, timelines, and escalation paths are not mentioned. Is it a 30 days,

07:39:0660 days to fix, or can even the City dissolve the boards? A compact of MFMA, Systems Act, Companies Act all have prescribed stages before you can intervene. Our laws are outdated or either conflicting as the municipality entities' landscape has changed. For example, Speaker, the MFMA is 2003 and the Systems Act is 2000.

07:39:36The compact chose broad powers over precise ones, and that protects the City legally, but makes enforcement slower and more contestable. We need to put specific interventions, triggers, and timelines directly in the compact. For example, Speaker, if two quarterly reports miss KPI X by 20%, the City may appoint an interim CEO within 14 days

07:40:09close suggestion. Then we don't wait for MFMA processes. That way we can increase performance management, we can increase accountability, transparency, and good governance and service delivery. Speaker, the EFF notes and approves this report with the concerns that it has raised. Thank you.

07:40:32Thank you so much, Councillor Radebe. Councillor Tabane from the ANC. Councillor Tabane.

07:40:45Thanks, Speaker. As ANC, we are noting the report. Thank you.

07:40:50Thank you. Councillor from the DA, Councillor Marais.

07:41:01Thank you, Speaker. Madam Speaker, fellow councillors, Council officials, ladies and gentlemen. It is gratifying to see that the City has responded to the National Treasury's Metro trading reforms. In particular, it has proposed updated shareholder compacts which purport to ensure that the boards remain accountable for providing governance direction and oversight over management, also ensure that the City's shareholder oversight is exercised through structured reportings,

07:41:31performance monitoring, intervention mechanisms, and enforceable undertakings. However, these compacts have not been referred to the relevant councillor oversight committees so that they can be fully interrogated and scrutinized. Accordingly, comfort has not been provided to councillors that the shareholder compacts will ensure that proper oversight will be provided over the entities by the directors and that the requirements of National Treasury's Metro trading reforms will be met.

07:42:08Moreover, nothing is said in regard to the process of selection of board members and particularly of non-executive directors. This is where the problem lies. Without directors of integrity, with the appropriate skills and expertise in place, these changes will have no impact on the effectiveness of these boards. It is notorious that persons have been appointed to these boards with no relevant skills and expertise. This has attracted adverse comment both from the Auditor-General and in the media.

07:42:38This is despite the fact that sections 93E to 93G of the Municipal Systems Act prescribe various requirements for directors, and the City has a specific policy in place dealing with the appointment of directors to municipal entities. This policy provides that boards must collectively cover financial and audit, legal and governance, engineering and technical, human resources, and risk management expertise and experience. It is only the DA

07:43:10which will ensure that the directors have relevant skills, expertise, and experience, and that the persons who oversee our trading entities are persons of integrity. The DA does not support this item. I thank you.

07:43:34MMC Masuku.

07:43:38Thank you, Speaker. Speaker, this review was undertaken as part of a broader reform process aimed at clarifying the relationship between the shareholder, boards, and executive management. Under the SPOMA framework, accountability for operational performance, revenue management, and service delivery is located within the entity, while the City exercises structured shareholder oversight without assuming operational responsibilities. The revised compacts and the entire

07:44:12framework that we are looking at actually now gives us structured oversight, explicit board and CEO accountability, and additional refinements actually strengthen the financial transparency, treasury disclosures, revenue reporting, system access, shareholder intervention mechanism, and governance arrangements. The other critical point about this report is that it encompasses the revised compacts, they actually support National Treasury's commitment to strengtheningclaim

07:44:46governance alignment, performance-based accountability, and financial sustainability. Importantly, the revised compacts have already been approved by the respective boards of City Power, Joburg Water, and Pikitup, and are now submitted to Council for approval. And this confirms that there is nothing hidden. We're actually bringing this so that it's a reform that is supported by Council to strengthen accountability,claim

07:45:16and we ask Council to support this report. Thanks, Madam Speaker.

07:45:21Thank you so much, Deputy Executive Mayor. Recommendations are on page 85.8 to 85.9. Is the item agreed to?

07:45:30Agreed!

07:45:38Thank you so much. The yeses have it. Councillor Christians.

07:45:54Thank you, Speaker. Speaker, I stand in terms of rule 86, no, no, sorry, 84, just to record our opposition. Thank you.

07:46:05Point of order, your thing is flawed. Thank you. STC.

Item 89: Year Planner and schedule of meetings July 2026 to June 2027

07:46:12Item 89 is a Year Planner and Schedule of Meetings of the City of Johannesburg Council and Section 79 Committees for July 2026 to June 2027.

07:46:24Councillor C Avant-Smith.

07:46:36Thank you very much, Speaker. Speaker, this is very interesting, and looking at the Year Plan, thank you to the committees that put it together because they took into account a lot of the queries that we had, especially around when we're sitting and to look at the religious holidays, etc. So thank you very much, and we accept this. Thank you.

07:47:07Thank you, Councillor Smith. Councillor M Van Wyk, ActionSA.

07:47:17Speaker, not a lot. Good evening, colleagues. We just have a concern that we used to have two times where there's Questions to the Mayor, and we see that one is taken away. We just want to know the rationale behind it. We know we don't debate the Year Planner, but that was just a concern that was raised by caucus. Thank you.

07:47:51Chair of Chairs, it's your duty.

07:47:59Thank you very much, Honourable Speaker. Like, through you, Speaker, Councillor Avant-Smith has indicated that it has been a, you know, tremendous work in trying to make sure that you juggle around the times and all that. It wasn't going to be an easy thing to try and get it all 100%. But I stand to ask Council to note and approve this report. Thank you.

07:48:34Thank you, Chair of Chairs. Colleagues, recommendations are on page 89.2. Is the item agreed to?

07:48:41Agreed.

07:48:43Thank you so much. STC.

Items 45 to 60: oversight visit reports taken together

07:48:55Councillors, we're now moving to those items that we've grouped from item 45 to 60. Starting off with item 45, and that is an Oversight Report of the Development Planning Section 79 Committee on the oversight visit to illegal developments in Bezuidenhout and Bellevue East. Item 46 is an Oversight Report of Development Planning Section 79 Committee on oversight visits to the Development Planning Newtown offices.

07:49:26Item 47 is a Joint Oversight Report of the Development Planning and Economic Development Section 79 Committees on an oversight visit to the Metro Centre Building. Item 48 is an Oversight Visit Report of Section 79 Economic Development to Walter Sisulu Hotel Square in Kliptown, Region D, on the 16th of April 2026. Item 49 is an Oversight Visit Report of the Section 79 Economic Development to Lenasia Extension,

07:49:58Region G, Region D, on the 12th of May 2026. Item 50 is an Oversight Visit Report of the Section 79 Finance Committee to Thuso House Revenue Centre on the 19th of March 2026 and Midrand Customer Service Centre on the 24th of March 2026. Item 51 is an Oversight Visit Report of the Section 79 Finance Committee to Rea Vaya bus stations on the 17th of April 2026 and 23rd of April 2026.

07:50:28Item 52 is an Oversight Visit of the Committee of Gender, Youth and People with Disabilities to Region D, Protea South Clinic on the 17th of April 2026. Item 53 is an Oversight Visit to Elias Motsoaledi Clinic in Meadowlands, Soweto, by the Committee of Gender, Youth and People with Disabilities on the 17th of April 2026. Item 54 is an Oversight Visit to Sinqobile Clinic, Meadowlands, Soweto, by the

07:50:58Committee on Gender, Youth and People with Disabilities on the 17th of April 2026. Item 55 is an Unannounced Oversight Visit Report of the SHSD Section 79 Committee to a homeless shelter at Kotze Street in Hillbrow on the 25th of March 2026. Item 56 is an Oversight Visit Report of the SHSD Section 79 Committee to River Park Clinic in Region E on the 25th of March 2026.

07:51:31Item 57 is an Oversight Visit Report of the SHSD Section 79 Committee to Zandspruit Clinic in Region C on the 25th of March 2026. And item 58 is an Oversight Visit Report of the SHSD Section 79 Committee to Aquaponic System Organic Farm in Soweto on the 26th of March 2026. Item 59 is an Oversight Visit Report of the SHSD Section 79 Committee to Social Development Food Distribution Centre at Johannesburg Market

07:52:07on the 26th of March 2026. And lastly, item 60, and that's the Oversight Visit Report of the SHSD Section 79 Committee

07:52:18to Nokuphila Clinic in Region C on the 26th of March 2026.

07:52:24Colleagues, all these items do not have speakers, so we start off with the recommendations that are on page 45.6 to 45.7. Is the item agreed to?

07:52:44The next one, item 46, eh, yeah, recommendations on page 46.7 to 46.8, item agreed to?

07:52:5647.10 to 47.11, item agreed to?

07:53:0248.5, is the item agreed to?

07:53:0749.4, is the item agreed to?

07:53:1250.7, is the item agreed to?

07:53:1651.7, is the item agreed to?

07:53:2052.7 to 52.8, item agreed to?

07:53:2653.4, is the item agreed to?

07:53:3054.4, is the item agreed to?

07:53:3455.6, is the item agreed to?

07:53:3856.4, is the item agreed to?

07:53:4257.5, is the item agreed to?

07:53:4658.3, is the item agreed to?

07:53:5059.4, is the item agreed to?

07:53:5460.5, is the item agreed to?

07:54:00Thank you so much, colleagues.

Announcements and closure

07:54:04Next item.

07:54:13Item 102.

07:54:24Uh Councillors, we are now on...

07:54:38We're now on announcements and closure.

07:54:40Colleagues, um we will commence tomorrow again at 10 o'clock sharp. We have 42 items to consider tomorrow.

07:54:56So please, let's be here early, and then we can go early. Thank you all for your attendance and the meeting. We will ensure that we deal with IT to ensure we don't have all the hiccups we've had today. I thank you all. Um MMC, uh Deputy Executive Mayor.

07:55:16Colleagues, can we wait? There was a hand.

07:55:20Speaker, we know it's an official council meeting, but we wanted to check if we can be permitted to wear our Bafana Bafana t-shirts for national pride tomorrow.

07:55:33I I I think I think Bafana Bafana is fine as long as it doesn't have the face of any political leader. Bafana Bafana is fine. Thank you so much.