Share

ETHEKWINI NEWSFLASH

FOR IMMEDIATE RELEASE

CITY REINFORCES COMMITMENT TO CONSEQUENCE MANAGEMENT

EThekwini Municipality has reaffirmed its commitment to strong consequence management, particularly in financial governance.

This comes after the Human Resources (HR) Directorate presented the draft Consequence Management Policy (CMP) at the Municipal Public Accounts Committee (MPAC) meeting held yesterday, 3 February.

The CMP originates from a National Treasury recommendation, with MPAC further directing the HR Directorate to develop and implement the policy.

The CMP provides a comprehensive framework for:

• Managing and mitigating risks related to financial misconduct

• Ensuring officials understand the consequences of noncompliance

• Outlining clear investigative and disciplinary procedures

• Addressing financial irregularities and recovering losses.

Chairperson of MPAC, Councillor Thami Xulu said: “The Consequence Management Policy will promote a culture of accountability and integrity within the Municipality, safeguard public resources and minimise and eradicate unauthorised, irregular, fruitless and wasteful expenditure.”

Executive Director at the Office of the City Manager Sipho Cele added: “By implementing this policy, the City reaffirms its commitment to good governance, accountability and continuous improvement in service delivery. This will ultimately contribute to the wellbeing and prosperity of the community.”

WHAT THE POLICY REQUIRES

Once financial misconduct is reported:

1. An investigation must be conducted

2. A report with findings and recommendations must be submitted

3. Disciplinary proceedings must commence

4. Matters requiring criminal investigation must be reported to SAPS

5. Financial recovery processes must be pursued

6. Final reports must be referred to MPAC.

AUDIT OUTCOMES SHOW IMPROVEMENTS

During the MPAC meeting, the Auditor-General of South Africa presented the City’s 2024/25 audit outcomes, noting improvements from the previous year. 

Key recommendations included:

• Stronger planning and coordination

• Better alignment of infrastructure budgets

• Increased scrutiny of projects

• Firm enforcement of consequence management.

NON-REVENUE WATER DECLINES

MPAC members also heard that there has been a notable reduction in non-revenue water levels. 

Figures decreased to 52.8 percent, a 5.8 percent improvement from the 58.6 percent recorded in quarter 2 of the previous financial year.

ENDS

Issued by eThekwini Municipality’s Marketing and Communications Directorate