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Matjhabeng rejects claims of defying financial recovery plan

───   ZENANDE MPAME 16:11 Tue, 20 Jan 2026

Matjhabeng rejects claims of defying financial recovery plan | News Article
Matjhabeng rejects claims of defying financial recovery plan. Photo: Youtube/Screenshot

Matjhabeng municipality has reaffirmed its commitment to financial recovery and improved service delivery amid growing scrutiny over its intervention plan.

The municipality addressed concerns and allegations at a media briefing on Friday (16/1), over its alleged failure to implement the Financial Recovery Plan (FRP). Matjhabeng was placed under administration in June 2025 in terms of Section 139(b) of the Municipal Finance Management Act (MFMA) after years of financial instability and governance failures.

Political parties, civil society organisations, and the National Treasury warned that ongoing resistance to administration efforts was deepening the municipality’s financial and service delivery crisis.

Acting municipal manager Thabo Panyane said the municipality remains committed to the implementation of the mandatory recovery plan. He explained that the FRP is not a municipal policy document drafted at the discretion of the municipality.

“The FRP is a mandatory plan imposed in terms of the Municipal Finance Management Act and overseen by the National Treasury,” said Panyane. “Financial management reforms, revenue enhancement measures, and governance controls are currently underway.

“All revenue, expenditure, and budget decisions are taken within the framework of the approved recovery plan. Assertions that the municipality has refused to implement the FRP are misleading and lack proper context.”

The municipality disputes claims that it has declined to submit reports or information to intervention structures. The municipality remains committed to implementing the recovery plan “lawfully and responsibly”, he said.

It was explained at the briefing that the monitoring of the FRP is a multi-layered process within the intergovernmental framework. FRP reporting is a formal governance process requiring credible data, reconciled records, and verifiable evidence.

While the municipality remains the implementing authority in terms of Section 146(1) of the MFMA, the provincial executive oversees the intervention under the Constitution, with National Treasury and MFRS providing technical support.

Part of broader strategy

The municipality also addressed allegations of financial mismanagement following the procurement of new specialised fleet vehicles. The municipality stated the fleet is crucial to resolving the region’s long-standing sewage crisis.

The municipality allegedly purchased two vacuum jet sewer trucks for approximately R10.8 million each. “Claims on social media that the units were procured at inflated prices are misleading and based on inaccurate and incomplete quotations,” said Panyane.

“The new fleet forms part of a broader strategy to restore service delivery. The trucks allow for simultaneous high-pressure jetting to clear blockages and vacuum suction to remove sludge, significantly speeding up repairs in areas plagued by spills.”

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