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National Treasury impasse continues

By

Dear Editor

Construction in Nelson Mandela Bay (NMB) is grinding to a halt as most projects that are dependent on grant funding can’t proceed until the Metro’s impasse with National Treasury is resolved.

National Treasury started withholding grant funding after the Mandela Bay Development Agency (MBDA) appointed Anele Qaba as CEO. Qaba was previously the Executive Director for EDTA before he was suspended and disciplined for alleged financial misconduct. The Metro entered into a settlement agreement with Qaba to end his contract after it became clear that the disciplinary procedures were botched. It has subsequently transpired that Qaba’s close friend, NMB Mayor Gary van Niekerk, knew that Qaba was going to apply for the position of MBDA CEO long before the settlement was reached. During the time that the settlement proposal was presented to Council, Van Niekerk was the Speaker of Council and withheld this crucial information.

The DA has reliably learned that no project dependent on grant funding may be commenced with at this stage and that even multi-year projects already under construction now run the risk of being stopped.

Although this can arguably be described as one of the biggest crises that Nelson Mandela Bay has faced in recent years, the political leadership of the ANC/EFF/NA/PA coalition government seems unfazed and ignorant to the effect of this impasse on the Metro.

The DA is committed to ensuring that this impasse between the City and Treasury is resolved. I will therefore request meetings with the City Manager as well as the CFO before engaging with National Treasury.

The governing coalition is making little to no effort to restore the relationship with Treasury. The people must yet again bear the brunt of irresponsible political decisions. Grant funding dependent projects such as informal settlement electrification, RDP-housing top structure construction, tarring of gravel roads, resealing of existing roads, replacing bulk water and sewerage lines, as well as many other projects are all affected.

It is also not just the delay in construction of these projects that is a problem. Critical time is lost where procurement processes are concerned as these can’t proceed until funding has been confirmed. These unfortunate delays will have a severe impact on the ability of the Metro to spend its conditional grant funding for the financial year and will in turn lead to the Metro running the risk of forfeiting millions in unspent grants to the national fiscus.

The DA will not allow the ANC/EFF/NA/PA coalition to bring further destruction to NMB. We are in your corner, fighting for you. Together we can get Nelson Mandela Bay working again.

Regards

Cllr Retief Odendaal
DA NMB Caucus Leader

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