Dear Editor
The Democratic Alliance (DA) has requested a formal investigation by the Eastern Cape Provincial Government into the Buffalo City Municipality’s Kiwane Resort near Kidd’s Beach, that has evolved into a bottomless money pit.
The municipality has shown a continued lack of transparency, accountability, and oversight regarding the Kiwane Resort, which is a public project.
Following my recent oversight visit with DA Buffalo City Caucus Leader, Cllr Sue Bentley, to the resort, it has become even more evident that the Kiwane development is plagued by mismanagement, illogical design choices, unresolved environmental compliance issues, and continued budget overruns.
I have now formally submitted a set of parliamentary questions to the MEC for Cooperative Governance and Traditional Affairs in the Eastern Cape Legislature, Zolile Williams, requesting an investigation of the Kiwane Resort project. This includes the appointment of contractors, budget allocations, occupancy figures, and whether the municipality has incurred any penalties for environmental non-compliance.
Kiwane Resort has been operational since 2019, yet unlike other municipal resorts, no consistent or reliable data has ever been provided on occupancy rates. Repeated attempts by the DA to obtain this information, including numerous questions submitted to Council and a Notice of Question (NoQ) in March 2024, have been ignored, delayed, or, in one case, dismissed entirely.
During the past several years, over R40 million has been pumped into upgrading the 4km access road owned by the Buffalo City Municipality, with consultants charging up to R6 million per kilometre. Meanwhile, the remaining 10km provincial stretch of road continues to deteriorate, rendering the facility largely inaccessible and unsustainable.
[see pictures here and here]
Compounding this is the questionable installation of Information and Communication Technologies (ICT) infrastructure, including a mast erected without the necessary Environmental Impact Assessment (EIA), a serious breach that remains unresolved.
Despite these serious concerns, no cost-benefit analysis was ever conducted before the resort was taken on by the municipality under former Mayor Xola Pakati. To date, there has been no clear business case, no clarity on revenue collection, and no realistic plan to make the resort viable, all while basic services across Buffalo City suffer, from collapsing road infrastructure to sewage crises in our communities.
The DA will not allow politically protected vanity projects to drain municipal resources unchecked while residents continue to live in undignified conditions. The DA will continue to fight for honest, transparent governance. Let’s rescue BCM together.
Regards
Leander Kruger MPL
DA Buffalo City Constituency Leader