Merit-based appointments key to fixing failing municipalities, say Hlabisa

By Akani Nkuna

The Local Government Indaba (LGI) has called for merit-based appointments in municipalities to attract experienced professionals, strengthen administration, and ensure resources are used efficiently to deliver services to communities.

Minister of Cooperative Governance and Traditional Affairs (CoGTA), Velenkosi Hlabisa, told delegates at Gallagher Convention Centre in Midrand on Thursday that merit-driven appointments would “uproot complacency, increase accountability and inspire confidence within communities that municipalities have their interests at heart.”

Hlabisa said weak monitoring and enforcement mechanisms had created an environment where maladministration thrives unchecked.

He urged decisive action to confront the systemic challenges undermining municipalities.

“These themes converge around systemic and institutional roots of failure. The current system is not failing by accident; it produces these outcomes by design. Technocratic solutions alone are insufficient; we must address political, cultural, and operational factors,” he said.

The minister also called for stronger ethical values within local government to combat corruption and instill integrity.

He urged that traditional leaders be involved beyond ceremonial roles, providing guidance on service delivery, policy, and community development, particularly in rural areas.

On financial mismanagement, Hlabisa pointed to weak revenue collection, poor budgeting practices, and widespread non-payment of services as major contributors to municipal collapse.

“To address these challenges, a large majority of contributors call for improving revenue management systems, for example, through modernised billing, debt collection and prepaid utilities. Similarly, respondents support reforming the local government funding model – adjusting equitable share allocations and grant formulas – to ensure municipalities have sustainable finances,” he said.

Auditor-General Tsakani Maluleke echoed these concerns, highlighting the scale of corruption and maladministration.

Only 16% of municipalities received clean audits in the 2023/24 MFMA cycle, with R31 billion in unauthorised expenditure recorded.

She noted that municipalities had spent R1.47 billion on consultants for financial statements and VAT returns, funds