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You are here: Home / News / Ekurhuleni Squanders Money While Service Delivery Collapses

Ekurhuleni Squanders Money While Service Delivery Collapses

30 January 2026 by Guest

The Ekurhuleni Metro’s quarterly report for October to December 2025 paints a disturbing picture of squandering, misguided priorities and a metro that spends tax money without delivering services. The Freedom Front Plus (VF Plus) had warned during the budget process that constant tariff increases are unsustainable, because residents simply cannot afford them. The latest report […]

The post Ekurhuleni squanders money while service delivery collapses appeared first on Freedom Front Plus.

The Ekurhuleni Metro’s quarterly report for October to December 2025 paints a disturbing picture of squandering, misguided priorities and a metro that spends tax money without delivering services.

The Freedom Front Plus (VF Plus) had warned during the budget process that constant tariff increases are unsustainable, because residents simply cannot afford them.

The latest report confirms this: the Metro’s projected revenue collection was R12,5 billion, but it only managed to collect R10,74 billion. This means R1,76 billion never reached the Metro’s bank account.

The collection rate of 85,93% falls well below the National Treasury’s target of 90% and clearly shows that residents are not unwilling to pay, but are financially overburdened.

If the target had been met, the funds could have been used for road repairs, park maintenance, sewerage works and basic upkeep.

Instead, the Metro’s cash flow is under severe pressure, with overdrafts needed to keep daily operations going.

Creditors total R10,49 billion, of which R6,46 billion is owed to Eskom and R900 million to the Ekurhuleni Water Care Company (ERWAT).

The biggest red flag remains electricity: the collection rate on Eskom electricity is only 23,24%. The Metro buys power, but does not recover the money.

While services keep deteriorating, overtime expenditure sky-rocketed to 46% above budget. Where R171,8 million was budgeted, R250,3 million was spent – an overrun of R78,5 million.

The Departments of Community Safety, ERWAT, Roads and Transport, Waste Management and Energy recorded the largest overtime overruns.

In addition, contracted services exceeded the budget by R517 million, while “other expenditure” overshot by R103 million.

The Metro’s exorbitant spending delivers no visible value, while residents experience decay on a daily basis.

Moreover, only 42,4% of the infrastructure budget had been spent by December, delaying projects and postponing maintenance. Infrastructure decays at an alarming rate and residents see no improvement.

Clearly, Ekurhuleni does not suffer so much from a lack of money as from a lack of management, discipline and accountability. A low collection rate, uncontrolled overtime, inflated contracts and misguided priorities lie at the heart of the crisis.

The Freedom Front Plus will keep pressing for improved revenue collection, less wasteful expenditure, proper maintenance and service delivery so that residents will finally receive value for money.

Freedom Front Plus Crime Prevention: The party emphasizes the need for effective crime prevention strategies.

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Category: NewsTag: Budget, community, Ekurhuleni, Electricity, Energy, Eskom, Freedom Front Plus, infrastructure, Johannesburg, Money, Politics, Waste, waste management, Water

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Reader Interactions

Comments

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