PRESENTATION TO THE NATIONAL COUNCIL OF PROVINCES

SELECT COMMITTEE ON COOPERATIVE AND TRADITIONAL AFFAIRS

Ms NOMUSA DUBE NCUBE (MPL)

MEC FOR COOPERATIVE GOVERNANCE AND TRADITIONAL AFFAIRS

KWAZULU NATAL PROVINCIAL EXECUTIVE COUNCIL

INTERVENTION IN TERMS OF SECTION 139(1)(b) AT

UMKHANYAKUDE DISTRICT MUNICIPALITY

16 FEBRUARY 2016

TABLE OF CONTENTS

1. PURPOSE

2. FORMALITIES

3. BACKGROUND

4. BASIS FOR INVOKING SEC 139 AT UMKHANYAKUDE

5. RESOLUTIONS OF THE PROVINCIAL EXECUTIVE COUNCIL

6. SUMMARY PROGRESS REPORT ON THE RECOVERY PLAN

7. DROUGHT RELATED MATTERS

1

The purpose of the this report is present to the Select

Committee on Cooperative Governance and Traditional

Affairs (the Select Committee) the reasons for the

intervention in terms of section 139 of the constitution

at Umkhanyakude DM as well as ancillary matters

1. PURPOSE

2

4

2. FORMALITIES

• On 7 October 2015 the Provincial Executive resolved to

intervene in Umkhanyakude District Municipality in terms

of section 139(1)(b) of the constitution

• On 08 October 2015 the Minister and the NCOP were

notified of the decision to intervene in line with section

139(2) of the constitution

• The Minister approved the intervention within the

prescribed timeframe of 28 days

• The NCOP on the other hand has until the 6th of April

2016 to either approve or disapprove the intervention

3

3(a) BACKGROUND

UMKHANYAKUDE DM AND FAMILY OF MUNICIPALITIES

POLITICAL REPRESENTATION

MUNICIPALITY

NUMBER

OF SEATS

2011

NUMBER

OF SEATS

2016

EXCO

SEATS

2011

POLITICAL PARTY

REPRESENTATION ON COUNCIL

ANC IFP NFP

Umkhanyakude DM 29 31 5 14 10 5

Umhlabuyalingana LM 34 35 6 22 8 4

Jozini LM 40 40 8 21 15 4

Big 5 False Bay LM* 725

Plenary 3 3 1

Hlabisa LM* 16 3 4 9 3

Mtubatuba LM 38 40 5 16 15 7

* Municipalities merging after the 2016 local government election

Notes

• As can be seen above, no party obtained sufficient majority to govern on its own at the District

Municipality, thus the municipality is governed by a coalition between the ANC and the NFP

• The UKDM ExCo is constituted as follows: 2 ANC, 2 IFP and 1 NFP.

4

6

3(b) BACKGROUND (cont.)

• For a number of years, the municipality was limping from one

problem to another. The problems were indicated by persistent

governance, financial and service delivery challenges that the

municipality was unable to resolve despite provincial and national

government support.

• During the first quarter of 2015 several indicators from the

municipality itself, from KZN Cogta, from the DWS and from

Provincial Treasury showed that the municipality was experiencing

serious governance, financial and service delivery problems.

• As a consequence, on 27 March 2015 Cogta proposed a self-

imposed Recovery Plan and Payment Plan which was accepted by

the municipal council. However management failed to implement

the Recovery Plan and Payment Plan between April and June 2015.

5

7

3(c) BACKGROUND (cont.)

• In July and August 2015 KZN Cogta and Provincial Treasury

deployed a Support Team comprising of financial, technical and

governance experts at the municipality in line with Sec 154 of the

Constitution.

• Engagements were held with different stakeholders on the 8th , the

21st and the 24th of September 2015 including the municipality

itself, DWS, Salga, Provincial Treasury, Political Leadership and

Labour Unions.

• It was at these engagements where it became apparent that the

Support Team was unlikely to succeed in turning around the

municipality unless the intervention was elevated to a section 139

constitutional intervention. This course of action was then

recommended to the Provincial Executive by the MEC for CoGTA

6

8

4(a) BASIS FOR INVOKING SEC 139 AT UMKHANYAKUDE

GOVERNANCE AND INSTITUTIONAL MATTERS

• The Council and the Executive Committee were meeting regularly, however the

implementation monitoring (oversight) and lack of consequence management pointed to poor

performance on the part of ExCo and Council.

• Portfolio committees and the Municipal Public Accounts Committee (MPAC) were not meeting

as they were supposed to, thus failing to exercise effective political oversight over

management.

• The municipality did not have an Audit Committee following the expiry of contracts of the

previous committee. An Interim Audit Committee was appointed for three months pending the

appointment of the Audit Committee proper. Their contracts had also expired before the Audit

Committee proper could be appointed.

• The municipality admitted that its organogram was bloated and could not be funded on a

sustainable basis and that the municipality had in past years hired and absorbed staff in non-

core functions. The municipality was failing to rectify this matter.

• Despite numerous attempts by KZN Cogta to support the municipality and family of

municipalities, intergovernmental structures as well as the associated technical support

structures remained dysfunctional. 7

9

4(b) BASIS FOR INVOKING SEC 139 AT UMKHANYAKUDE (cont.)

FINANCIAL VIABILITY AND MANAGEMENT

• The cash flow situation at the municipality had deteriorated to the point where the

municipality was persistently failing to meet its financial commitments . Thus the ability

to pay back its short term liabilities, was 0.65:1 against the norm of 1.5–2:1 (circ. 71

National Treasury, 17 January 2014).

• Although management had developed a cash flow plan, there was no commitment and

urgency to take decisions that were critical to the sustainability of the institution

• The 2014/15 AFS of the municipality showed that the municipality had only about R12.6

million in cash and cash equivalents against unspent conditional grants of R31.5m as at

30 June 2015 pointing to the use of conditional grants to fund operating expenditure

• The Municipal Manager had admitted that the municipality had outstanding creditors of

R130m as at 30 June 2015 which indicated poor financial and project management

10

4(c) BASIS FOR INVOKING SEC 139 AT UMKHANYAKUDE (cont.)

FINANCIAL VIABILITY AND MANAGEMENT

• The Provincial Treasury found both the operational and capital budget of the municipality

to be unfunded / in deficit to the amount of R117m, this was later reduced to R57m.

• The internal control environment remained weak. The management persistently failed to

implement policies and procedures of the municipality leading to the ballooning of

Unauthorized, Irregular or Fruitless and Wasteful (UIWF) expenditure.

• The municipality adopted cost cutting measures at the beginning of 2015 but

management failed to implement the measures.

• During the 4th quarter (ending 30 June 2015) the KZN Cogta quarterly assessment found

that the municipality’s poor revenue collection record persisted at 44% against the

norm/benchmark of 95% (circ. 71 National Treasury, 17 January 2014).

8

4(d) BASIS FOR INVOKING SEC 139 AT UMKHANYAKUDE (cont.)

BASIC SERVICE DELIVERY FAILURES

• The municipality remained one of the poorest performers in terms of the “blue

drop” assessments conducted by DWS.

• The municipality remained one of the poorest performers in terms of the “green

drop” assessments conducted by DWS.

• Project management and supervision of consultants was poor.

9

4(e) BASIS FOR INVOKING SEC 139 AT UMKHANYAKUDE (cont.)

FINANCIAL VIABILITY AND MANAGEMENT

• The municipality consistently failed to produce an updated audit action plan to

track the progress being made in addressing the issues raised by the AG in the

2013/14 management letter and audit report.

• Due to cash flow challenges the the municpaltiy is struggling to pay its creditors.

• Persistent poor audit outcomes: Qualified (2012/13), Qualified (2013/14) and

Disclaimer (2014/15)

10

4(f) BASIS FOR INVOKING SEC 139 AT UMKHANYAKUDE (cont.)

BASIC SERVICE DELIVERY FAILURES

• The municipality was utilizing conditional grant funds, MIG funds in particular, to

meet operating expenditure, in contravention of the grant conditions as prescribed in

sec 17 of the Division of Revenue Act, 2015

• The absence of a revised Water Service Development Plan (WSDP). According to

DWS, the last revision was dated February 2012

• Under-spending on the 2014/2015 Municipal Infrastructure Grant (MIG) programme

resulted in R40m of the original allocation of R206m being stopped in terms of

section 19 of the Division of Revenue Act (Act 10 of 2014)

• The municipality had lost the 2014/2015 implementing agent status for the Municipal

Water Infrastructure Grant (MWIG)

• The municipality also lost their Accelerated Community Infrastructure Programme

(ACIP) funding for 2015/16 which was given to Mhlathuze Water to implement the 3

waste water treatment works (WWTW) refurbishments for uMkhanyakude (R13m)

11

4(g) BASIS FOR INVOKING SEC 139 AT UMKHANYAKUDE (cont.)

BASIC SERVICE DELIVERY FAILURES

• The expenditure on Repairs and Maintenance in 2013 / 2014 was 2.46% of PPE

(Property, Plant and Equipment), as extracted from the AFS for that financial year.

• The 2014/15 budget for repairs and maintenance for the year was slightly higher

at 2.52% of PPE. The norm is 8% (circ. 71 National Treasury, 17 Jan 2014).

• The municipality did not have a planned and preventative maintenance

programme in place, nor funds to finance such a programme. Consequently, this

had a negative impact on confidence levels in the value placed on PPE.

12

4(h) BASIS FOR INVOKING SEC 139 AT UMKHANYAKUDE (cont.)

OTHER MATTERS

• Back To Basics Support Plan - The municipality took too long to adopt

their Back to Basics Support Plan. The assessment of the programme

in the municipality as at end of quarter four (30 June 2015) showed

that the municipality had to be re-categorised from being challenged

to being a municipality requiring intervention.

• Labour Disputes – The municipality was experiencing persistent

unprotected labour strikes due to the failure by management to

address labour matters.

• Service Delivery Protests - All service delivery protests recorded by

Cogta’s Rapid Response Unit in municipalities within the

Umkhanyakude family of municipalities during the period 1 January

2014 to 31 August 2015 were about water supply issues in the main.

13

5(a) RESOLUTIONS OF THE PROVINCIAL EXECUTIVE COUNCIL

• Intervention in terms of section 139 (1)(b) of the constitution be implemented and Cogta

assumes the functions specified in sections 51, 54a, 56 and 67(1)(h) of the municipal

systems act and the District Municipal functions in terms of the Intergovernmental

Framework Relations Act, 2005

• Directed that a Recovery Plan aimed at securing the municipality’s ability to meet its

obligations to provide basic services or its financial commitments be imposed on the

municipality, which Recovery Plan will

- (i) be prepared in accordance with national legislation; and

- (ii) binds the municipality in the exercise of its executive authority, but only to the

extent necessary to solve the crisis in its financial affairs and service delivery failures

• A Ministerial Representative be appointed at Umkhanyakude District Municipality (Mr MM

Sithole) Chapter 9 of the Municipal Finance Management Act, 53 of 2003 as amended as

well as becoming a compulsory signatory on the municipality’s bank accounts.

14

5(b) RESOLUTIONS OF THE PROVINCIAL EXECUTIVE COUNCIL (cont.)

- Ensure implementation of financial systems, policies and procedures

- Undertake all steps prescribed in sections 54A and 56 of the Municipal Systems Act, 2000

and associated regulations

- Undertake all functions listed in section 51 of the Municipal Systems Act 32 of 2000, as

amended;

- Ensure the implementation of all governance systems and procedures, including oversight

mechanisms; and the functionality of all Council structures, including the Local Labour

Forum

- Ensure implementation of findings of any forensic investigations undertaken by the

municipality, agency or the relevant MEC in terms of section 106 of the Municipal Systems

Act, 2000 or any other relevant legislation;

- Undertake the functions referred to in section 67(1)(h) and Schedule 2 of the Municipal

Systems Act, read with any other relevant legislative provisions dealing with disciplinary

matters, including criminal and civil action;

15

5(c) RESOLUTIONS OF THE PROVINCIAL EXECUTIVE COUNCIL (cont.)

- Ratify all decisions of the Municipal Council and its committees, prior to

implementation;

- Ratify all decisions taken by the Municipal Manager and section 56 Managers in terms

of delegated or original authority;

- Implement a system to control and approve all expenditure including a system to

reduce and contain operating expenditure (cost curtailment);

- Review the organizational structure of the municipality, and implement remedial

actions which may be required;

- Prepare and implement a strategy to deal with service delivery failures with particular

focus on water and sanitation including a strategy to deal with service delivery

protests;

- Ensure the municipality complies with the requirements of the Intergovernmental

Framework Relations Act, 2005.

• Endorsed the appointment of a financial expert to assist the Ministerial Representative in

the implementation of the terms of reference including acting as Chief Financial Officer as

may be necessary.

16

5(d) RESOLUTIONS OF THE PROVINCIAL EXECUTIVE COUNCIL (cont.)

• Cogta requested further support from the Provincial

Executive Council to identify R40million required for the

operations and maintenance (at Umkhanyakude DM) as a

matter of urgency to attend to operational and

maintenance challenges

17

20

6. SUMMARY PROGRESS REPORT ON

THE IMPLEMENTATION OF THE

RECOVERY PLAN

18

6.1 SUMMARY PROGRESS REPORT ON THE IMPLEMENTATION OF THE

RECOVERY PLAN AS AT 28 JANUARY 2016

Focus Area/KPA Remedial

Actions

Targets met

/completed

Targets

not met

Percentage

Progress

(completed)

Basic Services & Infrastructure 11 2 (18%) 9 18%

Financial Viability and Management 43 13 (30%) 30 30%

Good Governance and Public Participation 11 3(27%) 8 27%

Local Economic Development and Planning 4 0 4 0%

Institutional Development & Transformation 18 0 18 0%

OVERALL TOTAL 87 18 (21%) 69 21%

The main area of challenge is with regards to provision of Basic Services & ageing

infrastructure. Various reasons for poor performance have been put forward by the

Ministerial Representative leading the intervention team at Umkhanyakude.

19

6.2(a) UMGENI WATER INTERVENTION

PROJECT SCOPE

• The aim of the intervention is to rehabilitate existing Water Supply (and Sanitation) Schemes as

prioritized by the UKDM WSA.

PROJECT FOOTPRINT

• Umkhanyakude District Municipality is a Water Services Authority (WSA). It consists of five local

municipalities (LM’s) and one District Management Area (DMA). These local municipalities are

Umhlabuyalingana (KZ271), Jozini (KZ272), Big Five False Bay (KZ273), Hlabisa (KZ274) and Mtubatuba

(KZ275) and St Lucia Park (KZDMA27). The respective coverage of the local municipalities is illustrated in

the Figure below.

20

6.2(b) UMGENI WATER INTERVENTION

IMMEDIATE INTERVENTION BACKGROUND

• During the course of October 2015, UW undertook a visual assessment of water and sanitation infrastructure. The findings of the report were then discussed and subsequently prioritized by the WSA.

• Thereafter UW had implemented immediate interventions. Work is currently being undertaken in all LM’s. The implementation (water and sanitation) covers the following system components:– Raw water source;

– Raw water conveyance line;

– Water treatment plant/ waste water treatment plant unit processes;

– Potable water storage;

– Distribution network;

– Safety/Health issues; 21

6.2(c) UMGENI WATER INTERVENTION

WATER SOURCES AND IMMEDIATE INTERVENTIONS

• The main rivers are the Pongola, Umfolozi, Mkuze, Hluhluwe, Msunduze and Ngwavuma. The major dams are the, Hluhluwe and Jozini dams and Lake Sibayi, which is a freshwater lake. Furthermore there are a large number of production boreholes or handpumps for a rudimentary level of service.

• Immediate Interventions for all Local Municipalities (1-3 months)

• Rehabilitation of ground water sources (production boreholes, hand pumps, windmills etc);

• Shemula bulk line rehabilitation;

• Jozini rising main to the command reservoir to feed the Machibini area;

• Sewerage treatment ponds in Mtubatuba, St Lucia, KwaMsane and MosvoldtHospital;

• Various leaks within the bulk reticulation;

• Installation of 107 Jojo tanks;

• Repairs to moveable assets viz the water tankers and;

• Supply of diesel generators -single and three phase for areas where there is no power supply or where there was a conversion from hand pumps to production boreholes.

22

6.2(d)(i) UMGENI WATER INTERVENTION

• Progress to date – Jozini Municipality

Project Name Status

(% Complete)

Challenge

Shemula System - parallel line and replacement of

auxiliary valves (Resilient seated and Air Valves)

90 Pipe vandalism and theft

reported to WSA

Machibini – rising main to command reservoir 50 Numerous illegal

connections on the

existing rising main

Jobe Malobeni – pipe leaks and t-piece to feed reservoir 100

Comment:

The fixing of the

infrastructure has

benefited thousands of

households and

prevented service

delivery protests that

were on the rise,

especially in Jozini

Municipal area

Qondile Borehole - Hand pump converted to production

borehole

100

Ophande – repaired vandalized pump station and 100

Hlalanathi - Install dedicated pipeline from package plant

to Hlalanathi

100

23

6.2(d)(ii) UMGENI WATER INTERVENTION

• Progress to date – Mtubatuba Municipality

Project Name Status

(% Complete )

Challenge

KwaBhoboza line - Repair 3No. leaks & broken auxillary services 100

Repair to 350mm ac pipe leak 100

Northdale Township - 1 No Sewer Pump and Electrical Panel

replaced

100

KwaMsane Township leaks 100

Mtuba WTP - 2No. boreholes 100

Nkolokotho WTP – redirect raw water to abstraction point 100

Mtuba WWTP – replace the electrical panels and new

sewerage pumps

100

St. Lucia line- repair auxillary valves 100

Monzi – drilled new borehole 70 PEF to review water

quality and provide

solution for compliance

to SANS 241

St Lucia Town – drilled one borehole 70

Nkombose - Supply and install 2No. Jojo tanks 100 24

6.2(d)(iii) UMGENI WATER INTERVENTION

• Progress to date – Umhlabuyalingana Municipality

Project Name Status

(% Complete)

Challenge

KwaMajola - Replace burnt pump and repair control panel 100

Phelandaba A – diesel supply to Generators for water supply to

community

100

Ngutshane – diesel supply and jojo tanks 100

KwaSonto – replaced burnt pump and faulty panel 100

25

6.2(d)(iv) UMGENI WATER INTERVENTION

• Progress to date – Big Five False Bay Municipality

Project Name Status

(% Complete)

Challenge

To commence with Borehole drilling at the following:

Mnqobokazi, Mduku (Nomtshwiliza), Qomukuphila in 1st week of

February 2016

Project Name Status

(% Complete)

Challenge

Macekeni A – new pump/motor installed, piping cables. 90

Macekeni B – New pump/motor for production borehole.

Temporary motor protection until panels are replaced

70 Jojo Tanks to be installed

Sitezi – New pump motor for production borehole 100

Siyathuthuka - New pump motor for production borehole 100

Siyaphambili - New pump motor for production borehole 100

Mthombeni : re-set panels (previously overloaded) 90

• Progress to date – Hlabisa Municipality

26

6.2(d)(v) UMGENI WATER INTERVENTION

COGTA ALLOCATIONS AND FINANCIAL IMPLICATIONS

BUDGET ALLOCATION VATALLOCATION EX

VAT

UW

OPERATING

EXPENSES

FUNDS AVAILABLE

FOR

IMPLMENTATION

33,000,000.00 4,620,000.00 28,380,000.00 2,000,000.00 26,380,000.00

Nov-15 Dec-15 Jan-16 Feb-16 Total

4,433,130.00 4,433,130.00

3,069,654.57 4,022,453.69 7,092,108.26

3,287,576.00 3,287,576.00

7,502,784.57 7,310,029.69 14,812,814.26 TOTAL EX VAT

RAND VALUE

ENGINEERING DISCIPLINE

MECHANICAL

ELECTRICAL

CIVIL

27

6.3 CASH FLOW PROJECTIONS FOR THE REMAINDER OF 2015/16 FY

• The cash flow situation in the municipality remains

precarious largely due to the fact that at the beginning of

the financial year management used the 2015/2016

Equitable Share revenue to pay creditors of the previous

financial year.

• Efforts to reduce costs will have to be intensified in order to

break this cycle.

28

31

7. DROUGHT RELATED MATTERS

29

DROUGHT

30

33

SOURCE PLANT PLANT

CAPACITY

IN ML/DAY

AVERAGE

PRODUCTION

(ML/DAY) -PRIOR

TO 2014

CURRENT

AVERAGE

PRODUCTION

(ML/DAY)

REDUCTION IN

PRODUCTION %

COMMENTS

uMfolozi River

and Boreholes

Mtubatuba Water Supply

System

20.00 15.00 3.50 82.50% Drought and Treatment

Upgrade failures

Hluhluwe Dam Hluhluwe Phase 1 Water

Supply

10.00 7.50 1.50 85.00% Drought , 20% dam level

Hluhluwe River Hluhluwe Phase 2 Water

Supply System

1.80 1.50 1.40 22.22% Drought , 20% dam level

uMfolozi River Nkolokotho Water Supply

System

5.00 6.50 2.20 56.00% Drought

Manzamnyama

River and

Boreholes

Hlabisa Water Supply System 1.00 0.80 0.40 60.00% Drought and Boreholes

dysfunctional

Boreholes Mpembeni Water Supply

System

0.38 0.22 0.22 43.16% Ageing infrastructure i.e.

Borehole pump

7.1 STATUS OF DROUGHT IN MTUBATUBA LOCAL MUNICIPALITY

31

SOURCE PLANT PLANT

CAPACITY

(ML/DAY)

AVERAGE

PRODUCTION

(ML/DAY) -

PRIOR TO 2014

CURRENT

AVERAGE

PRODUCTION

(ML/DAY)

REDUCTION IN

PRODUCTION %

COMMENTS

Jozini Dam Mkuze Water Supply

System

1.50 2.20 2.20 -46.67% The treatment works was modified

to cater for increased production ,

with quality compromise

Jozini Dam Nondabuya Water

Supply System

0.50 0.31 0.31 38.00% Slow Sand filter walls collapsed

Jozini Dam Jozini New Water

Supply System

5.00 4.86 4.90 2.00%

Jozini Dam Jozini Old Water

Supply System

3.00 2.48 2.50 16.67%

Jozini Dam Makhonyeni Water

Supply System

0.80 0.68 0.45 43.75% Ageing infrastructure i.e. pressure

filters and pumps

Jozini Dam Block 6 Water

Supply System

0.50 0.30 0.10 80.00% Dependant on Farmers from water

canal

Jozini Dam Mjindi Central

Water Supply

System

0.35 0.30 0.30 14.29%

Jozini Dam Malobeni Water

Supply

0.50 0.42 0.25 50.00% Ageing infrastructure i.e. abstraction

7.2 STATUS OF DROUGHT IN JOZINI LM

32

7.3 STATUS OF DROUGHT IN UMHLABUYALINGANA LM

SOURCE PLANT PLANT

CAPACITY

(ML/DAY)

AVERAGE

PRODUCTIO

N

(ML/DAY)

PRIOR TO

2014

CURRENT

AVERAGE

PRODUCTION

(ML/DAY)

REDUCTION IN

PRODUCTION

%

COMMENTS

Lake Sibaya Mbazwana

Water Supply

System

2.00 2.30 1.30 35.00% Lake Sibaya level drop

Shengeza and

Gezisa Rivers

Manguzi Water

Supply System

2.00 1.30 0.52 73.85% Borehole dysfunctional ,

Both Manguzi and Gezisa

(1.00 ML and 1 Ml/day)

Nkanini River

and Boreholes

Enkanyezini

Water Supply

System

0.50 0.63 0.57 -13.80% The treatment works

production increased due to

additional borehole

Boreholes Manguzi Airfield 1.00 0.91 0.44 56.50% Boreholes dysfunctional

Boreholes Thengane Water

Supply System

1.00 0.91 0.29 71.30% Boreholes dysfunctional

7.4 CURRENT INTERVENTIONS

• There has been good progress in regards to the procurement and

use of water tanker trucks and water tanks.

• However, the implementation of the boreholes projects and the

refurbishment of existing projects had encountered initial

challenges.

• These interventions are currently being fast tracked in order to

mitigate for the late start.

• Table 5 below provides a summary of both the interventions

funded by DWS and the expenditure to date.

33

SUB-PROJECTS BUDGET AMOUNT

INVOICED

RECOMMENDED/

PENDING

WITH FINANCE

AMOUNT

PAID

SPENT % SPENT

Boreholes 17,101,900 9,481,959 2,945,589 6,536,370 9,481,959 55.4%

Refurbishment & Upgrade 51,746,827 28,749,815 24,658,569 24,658,569 47.7%

Water tanks 2,000,000 1,789,414 1,729,186 1,729,186 86.5%

NWRI Water Tanker

Procurement 22,311,396 22,311,396 22,311,396 22,311,396 100.0%

Phase 2-Interim Water

Tankering 19,651,272 18,130,999 3,522,962 11,782,966 15,305,928 77.9%

TOTALS R 112,811,395 R 80,463,583 R 6,468,551 R 67,018,487 R 73,487,038 65%

7.5 STATUS OF DWS FUNDED INTERVENTIONS

34

• Water Tanks: Table 6 below provides further details in regards to

the number of water tanks (Jojo tanks) installed within the

various wards of each LM.

• The total number of Jojo tanks installed in uMkhanyakude DM

(UKDM) by Mhlathuze Water since the start of the drought now

stands at 81.

• Any savings on the drought implementation projects by

uMkhanyakude DM will be used for the procurement of further

Jojo tanks.

7.6 CURRENT INTERVENTIONS

35

MUNICIPALITY NUMBER OF JOJO TANKS ALLOCATED COMPLETION

UMkhanyakude Offices 2 Jojo tanks with Steel Stands Delivered on the 14.07.2015

Umhlabuyalingana 10 Jojo tanks with concrete stands Completed

Umhlabuyalingana Ward 2; 5; 7& 16 10 Jojo tanks with concrete stands Completed on the 08.07.2015

Jozini Ward 17; 10; 08; 07 & 01 10 Jojo tanks with concrete stands Completed on the 10.07.2015

Jozini Ward 18; 20; 09; 12; 15; 05; & 14 10 Jojo tanks with concrete stands Completed on the 14.07.2015

Big 5 False Bay 9 Jojo tanks with concrete stands Completed on the 08.07.015

Mtuba Ward 13; 14;17; 18;19 10 Jojo tanks with concrete stands Completed on the 16.07.2015

Mtuba Ward 3,4,6,8,11,13 10 Jojo tanks with concrete stands Completed on the 09.07.2015

Hlabisa 05 Jojo tanks with concrete stands Completed on the 05.07.2015

05 Jojo tanks with concrete stands Completed on the 03.07.2015

TOTALS 79 Jojo tanks with concrete stands & 2 Jojo

tanks and 2 steel stands

Completed on the 16.07.2015

7.7 STATUS OF INSTALLATION OF WATER TANKS (JOJO TANKS)

36

• Water Tanker Trucks: A total of 15 tankers were originally procured and delivered to

UKDM by DWS. A further 5 additional tankers have since been provided.

• 2 tankers are provided by Mhlathuze Water per week.

• There are currently 3 official Water points for filling up of tankers (Jozini, Shemula

and Mkuze).

• Tankers are no longer filling up at Mtubatuba and Hluhluwe, due to the shortage of

production at Mtubatuba WTW and Hluhluwe WTW.

• Water for tankers is now to be sourced from Empangeni (from uMhlathuze

Municipality).

• However, uMhlathuze Municipality requires a R273 942.00 deposit. UKDM are

having to consider the possibility of filling up tankers at private boreholes in

Mtubatuba, as the prevailing drought continues to minimise the available options.

7.8 CURRENT INTERVENTIONS

37

7.9 CURRENT INTERVENTIONS

• Refurbishment and Upgrade Projects: No less than four water

supply projects were identified for both refurbishment and upgrade,

under the DWS funding as a drought intervention.

• The cumulative budget allocated for the four projects is

• R 51,746,827 and a total of 24,658,569 has been claimed by the DM

to date, all of which has been paid by DWS.

• There were initial delays at the outset of these projects but the

UKDM has agreed to fast track these refurbishment and upgrade

projects funded by DWS as a short to medium term drought

intervention.

38

7.10 LIST OF REFURBISHMENT AND UPGRADE PROJECTS (DWS FUNDED)

Project

Type Intervention

Approval

Date Project Value

5

Mtubatuba - Emergency 15/04/2015 R10 305 857

Mtubatuba Heights to KwaMsane 15/04/2015 R22 766 508

Refurbish and upgrade water supply

infrastructure – Ingwavuma Borehole

Equiping

15/04/2015 R5 497 135

Refurbish and upgrade water supply

infrastructure – Hluhluwe Phase 2A

Refurbishment & Upgrade

15/04/2015 R13 177 327

TOTAL APPROVED FOR IMPLEMENTATION R51 746 827

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7.11 PLANNED MEDIUM TO LONG TERM INTERVENTIONS

• The primary medium to long term intervention is to

fast track the implementation of the bulk water

supply projects (funded by the DWS RBIG grant) and

the reticulation water supply projects (funded by

MWIG and MIG grants).

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