Auditor General gives Joburg unqualified audit

2016-01-28 13:54
City of Johannesburg

City of Johannesburg

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Johannesburg - The City of Johannesburg received an unqualified audit from the Auditor General for the 2014/2015 financial year.

"This is a firm indication of the dedicated leadership which drives governance, compliance and strategic financial management," Mayoral Committee Member for Finance, Geoffrey Makhubo, told reporters at the release of the city's 2014/2015 annual report on Thursday.

It was the city’s third unqualified audit in a row.

The city spent 94% of its R10.1 billion budget and successfully redeemed R971 million in debt.

The challenging macro-economic environment and high household debt had made it harder for some customers to pay their utility bills.

Despite this, and because of a new approach to getting customers to pay, the city had achieved a 92% collection rate.

"We will increase payment channels to customers to improve ease of effecting payments for municipal services," he said.

He encouraged those with cash flow problems to enter into payment arrangements.

Unemployment in Johannesburg was still considerably high at 24.5%, with youth unemployment at 34.5%, city manager Trevor Fowler said.

High levels of poverty, backlogs and inequalities in household services, vandalism of public property, cable theft, power outages, and water leaks were some of the biggest problems facing the city, Fowler said.

Water losses from pipe bursts had been reduced because of pipes being replaced. He said the city was having difficulties recording how much water was being stolen, but there had been increases.

"We have put in efforts to ensure that there is no bypassing of [water] meters. Those are areas we are addressing and ensuring that all the water that is consumed is paid for," he said.

South Africa was one of many countries struggling with theft of steel, theft of copper cables as well, he added.

Over 50% of electricity outages were because of cable theft and needed a concerted effort by the city and police to stop, Fowler said.

Read more on:    johannesburg  |  local government

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