As the preliminary municipal audit outcomes suggests that municipalities struggle with sound fiscal judgement and discipline, the Democratic Alliance (DA) in the Northern Cape will continue to fight for intensified oversight by the relevant committees of the Northern Cape Provincial Legislature.
A recent briefing by the Auditor-General confirms that 29 municipalities spent more than R180 million on consultants for financial reporting in the 2024/25 financial year. At a time when municipalities struggle to settle bills and to fund adequate services, spending on consultants appointed to do the work of salaried officials increased by 20%. This is a pattern of financial irresponsibility that repeats at 90% of provincial municipalities.
While spending on consultants increase, questions remain about the real value for money. Material misstatements were identified in 90% of financial reports submitted for auditing, including work done by consultants. This happened because work done by consultants was not adequately reviewed and could not be supported by the necessary documents, confirming that the right municipal systems are simply not in place. Consultants cannot be a panacea for the ills of poor planning, poor project management, and poor consequence management.
Ultimately, residents bear the brunt of poor financial choices made by uncaring municipal administrations.