GOOD statement by Bongani Sonqwenqwe,
GOOD Overberg District Councillor
30 June 2025
The Overberg District Municipality’s decision to write off R198,646 in irregular expenditure without consequence or accountability sets a dangerous precedent for fiscal governance and transparency.
During today’s Ordinary Council Meeting, GOOD voted against the recommendation to write off irregular expenditure, as disclosed in the 2023/24 Annual Financial Statements under Case 6, Kawyderskraal Upgrade. In 2023, a tender was issued for the upgrade of the existing access road and installation of a borehole pump, pipeline, and switchgear. However, the work performed went beyond the original scope of the contract. Critically, no competitive quotations were obtained, and as such, it cannot be proven that the goods and services were procured at market-related prices, as required by Regulation 74 of the Municipal Budget and Reporting Regulations.
Despite these serious shortcomings, the Municipal Public Accounts Committee recommended that the expenditure be declared irrecoverable and written off. GOOD strongly disagrees.
Section 62(1)(d) of the Municipal Finance Management Act (MFMA) places a legal duty on the accounting officer to maintain effective systems to prevent irregular expenditure. Writing off this amount without exhausting accountability measures undermines that duty.
We believe that:
- Greater scrutiny is required before any amount is declared irrecoverable;
- Every effort must be made to recover the scrap value from the replaced equipment;
- The municipality must undertake a full review of its procurement practices to prevent recurrence.
Our vote against this write-off reflects GOOD’s commitment to clean governance, fiscal accountability, and the rule of law in local government.
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