Makhanda has no permanent water provision, crumbling roads and poor sanitation. The government infrastructure grant should be spent on fixing these issues.
The order by National Treasury has also thrown the finances of the municipality into even more disarray than usual, as they do not have the cash reserves to comply. This raises the likelihood of the money being taken from the municipality’s equitable share transfer, which will impact their abil.
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Civil society organisations are furious at the Makana Municipality for its inability to spend more than R60m intended to upgrade its decrepit public infrastructure money that the National Treasury now wants returned to its coffers.