City of Tshwane mayor unveils a robust financial rescue plan

The City of Tshwane is embarking on a robust financial rescue mission that is aimed at  turning around its fortunes.

The metro, which is governed by the DA, aims to achieve great goals through unlocking potential resources and building a sustainable finance structure to service the residents of Tshwane.

Tshwane mayor Cilliers Brink said that his administration is aiming to increase revenue and reduce expenditure in the range of R1-billion a month in the next six months.

Debtors’ book

“What we have to our advantage is a R23,3-billion debtors’ book that we aim to turn into cash. If a quarter of this debtor’s book is collectable, it is collectable in the next six months. If we succeed, we improve our cashflow our Eskom account as well as our credibility and creditworthiness,” Brink.

He also stated that the city will also get an opportunity to fix problems with tariffs. It also aims to achieve better value for money in supply chain management.

Alternative plans

“If we do not succeed, we will have to make a number of fundamental changes to the way we deliver services by the end of June 2024. [This is] when a new budget must be adopted. You can draw a series of five concentric circles. This is in order to understand each of the aspects of the City’s financial rescue mission,” he said.

Brink also highlighted that his administration has also made management changes. These are in the supply chain management division.

“Tender awards in the city will now be granted based on a market assessment. Systems and controls in acquisition and stock management will be tightened up. We will be looking very carefully at officials in the supply chain function of the city. This is check those who try to undercut or undermine the systems and controls we are installing,” Brink.

ActionSA supports move

ActionSA’s Gauteng leader Funzi Ngobeni said that his party  supports the financial rescue mission. His party is in coalition with the DA

“ActionSA is fully behind Tshwane’s efforts to stabilise the financial standing of the city. With the debtor’s book of R23-billion, the city plans to collect R6.2-billion over the next six months. This will be done by bringing back the #Tshwaneyatima campaign. This campaign will see accelerated revenue collection efforts targeting the top 1,500 large debtors.

“We will continue to support this government’s financial recovery plans. It is only through revenue generation that the city will be able to continue to drive service delivery,” said Ngobeni.

Visit SW YouTube Channel for our video content

Latest News