Board members of the Amatola Water Board, which supplies bulk water to various municipalities across the Eastern Cape, raked in R2.8m in excess payments over the past three financial years, according to water and sanitation minister Pemmy Majodina.
In her recent response to parliamentary questions posed by uMkhonto weSizwe Party (MKP) MP Visvin Reddy, Majodina shed light on the hefty fees involving the water utility.
Reddy asked Majodina to provide a list of all water boards where board members had been paid in excess of the approved maximum amounts during the past three financial years without her prior approval as required by legislation.
In her response, Majodina listed Amatola and Magalies water boards as the culprits.
She revealed that Amatola Water Board members received R151,198.32 in 2024/2025, R656,860.09 in 2023/2024 and R2,013 214.42 in 2022/2023.
Magalies Water members received R671,465.85 in 2024/2025, R49,466.53 in 2023/2024 and R 239,093.82 in 2022/2023.
With its headquarters based in Rustenburg, Magalies Water Board serves parts of the North-West, Limpopo, and Gauteng.
“Amatola and Magalies water board members were paid in excess of the maximum allowable hours during the past three financial years without prior approval,” Majodina said.
The minister pointed out that steps were being taken to address non-compliance.
In May 2024, she wrote to the chairs of the water sector entities, informing them that remuneration for additional work would not be approved retrospectively.
“This was prompted by DWS [department of water & sanitation] discovering that there was non-compliance with the policy regarding board practices and remuneration of board members,” Majodina said.
“The ministry further indicated that permission for additional hours would only be considered under extraordinary circumstances, and that boards were required to seek approval in each instance from the executive authority prior to any additional work being undertaken.”
An investigation into governance challenges at Amatola Water, including non-compliance with the policy regarding board practices and remuneration of board members, has been completed and the report is being considered.
“Appropriate action will be taken based on the recommendations of the report,” Majodina said.
Reddy also asked Majodina whether she intended to institute disciplinary and/or criminal charges against members of water boards who allegedly authorised the payment of board fees beyond the approved maximums without her approval.
Majodina said the ministry would take necessary steps based on the investigation’s outcomes.
Amatola water spokesperson Nolitha Mbangcolo said the department of water & sanitation’s guidelines permitted water boards to have six meetings in a financial year but all water boards had requested additional meetings from the minister.
“The rate per hour for board members is R899.99 and for the chair it is R1,240.03,” Mbangcolo said.
“There is no total remuneration package for board members, but an hourly rate, and board members are paid per hour on meetings attended.
“There are no additional allowances, nor benefits.”
Mbangcolo said there was no remunerative rate for Amatola Water Board members as the utility followed the department’s guidelines.
“To date, Amatola Water stands as an institution that has significantly strengthened its governance and administrative controls.
“With the current interim board, the organisation has embraced a culture of accountability, efficiency, and ethical leadership,” she said.
“Board meetings are now highly structured, focused, and concluded within two hours — reflecting a disciplined approach to decision-making and oversight.
There is a significant reduction in board fees due to the more efficient governance
“There is a significant reduction in board fees due to the more efficient governance.”
While board members pocketed hefty fees, taps have run dry in various parts of the province served by Amatola Water — including the Buffalo City metro, Makana local municipality, the Great Kei and several rural communities in the Amathole district municipality.
Reddy raised the the issue of exorbitant fees with Majodina a few months ago after he was reportedly tipped about alleged shenanigans.
In September, the Sunday Times reported that senior members of the country’s troubled water boards were earning almost R50m a year in board fees, with some pocketing as much as R100,000 per meeting.
The publication detailed fees spent on the water boards’ officials.
Former Amatola Water board chair Pam Yako was reportedly paid R934,000 for 21 meetings, with R70,000 spent on travel and accommodation.
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