DA calls for urgent debt recovery plan as debt cripples fleet entity

Issued by Gizella Opperman MPL – DA Northern Cape Provincial Spokesperson on Roads and Public Works
09 Apr 2026 in Press Statements

The Democratic Alliance (DA) is demanding a comprehensive debt recovery plan from the Northern Cape Fleet Management Trading Entity (NCFMTE), as provincial departments collectively owe a staggering R619 million in unpaid rental accounts.

This escalating debt is severely compromising the entity’s ability to effectively manage and deliver fleet services to client departments.

Of serious concern is that NCFMTE achieved only 33% in technical services targets during the 2024/25 financial year, while reporting a deficit of nearly R17 million. This underperformance is largely driven by weak revenue collection and growing debt due to non-payment by departments for the provision of affordable and reliable vehicles.

By December 2025, all provincial departments had accumulated significant arrears, with the Departments of Agriculture, Education and Health alone owing R121 million in overdue invoices.

Given the entity’s precarious financial position, the DA insists that NCFMTE present the relevant committee with a clear debt recovery plan and firm assurances of its ability to recovery and grow, rather than becoming yet another drain on public resources at the expense of critical service delivery.

The Department of Roads and Public Works must ensure that NCFMTE is able to fulfil its mandate by strengthening debt collection processes and maintaining reliable transport support to departments.