SA’s local government system is buckling under fiscal strain, crumbling infrastructure and lost public confidence, and co-operative governance and traditional affairs minister Velenkosini Hlabisa says the only way out is a radical overhaul, starting with the basics: clean streets, capable leaders and long-term planning.
The Eastern Cape was the final stop in a national consultation tour aimed at overhauling local government, Hlabisa told a packed meeting in East London on Wednesday.
The event, hosted at the International Convention Centre and co-organised by the National Business Initiative and the Border-Kei Chamber of Business, brought together municipal officials, business leaders and national government representatives as part of Cogta’s White Paper National Consulting Tour.
In a frank and wide-ranging address, Hlabisa outlined both the structural failures plaguing local government and his vision for a more capable, accountable and service-orientated system.
He confirmed that the feedback from all nine provinces would be consolidated into a new White Paper to be presented to parliament in March 2026.
The first White Paper on local government, developed in 1995, was no longer fit for purpose.
“The goals had to change,” he said, pointing to fiscal strain, a crisis of trust, poor collaboration and general inefficiencies across both the public and private sectors.
High on Hlabisa’s list of concerns are the visible and fixable failures that have come to define many municipalities.
“One of the biggest problems, yet easy to fix, [is] the deplorable state of cleanliness in many metros, cascading down to the humblest of villages.”
Tourism, business investment and public confidence, he said, were all undermined by “filthy tourist destinations”, potholed roads, and even raw sewage flowing in the streets.
“This deters new businesses from setting up in inefficient municipalities,” he said.
He urged greater collaboration between local government and the private sector and said skilled retirees should be brought in to help transfer knowledge to municipal staff.
“There has to be both trust and accountability in the process.”
Hlabisa also called for an end to cadre deployment and unqualified staff in key municipal positions.
“Political parties need to smarten up their selection choices of municipal officials.”
He described the widespread adoption of unfunded budgets as “a chronic problem that was in fact fraud” and criticised part-time councillors who “hold private sector jobs” and “must be made accountable”.
He called for them to be trained in detecting and acting on fraud and corruption.
“Cogta must enable them to deliver services across the range.
“Assist them in setting targets for income and all actions that would enable them to function, including paying salaries timeously.
“Insist on all employees having the right qualifications for their roles.”
Hlabisa also proposed extending municipal directors’ five-year terms to 10 years to allow for continuity and meaningful change.
On a broader social note, he said: “The time has come to see more women in government leadership roles because they set the right example.”
Buffalo City Metro mayor Princess Faku, in her welcoming remarks, said the focus locally had been too heavily skewed towards the automotive sector and that agriculture and other industries needed greater attention.
She said the metro had signed a business compact with the Border-Kei Chamber of Business aimed at addressing the city’s deteriorating condition.
“The aim [is] cleaning the city and fixing one of the biggest eyesores, that of huge potholes.”
Discussion themes at the event included systemic strain, service breakdowns, long-term planning beyond political cycles, the role of public-private partnerships, and the need to review funding models while setting tangible, measurable outcome targets.
“The White Paper, the final outcome from the nine-province tour, could be the country’s solution to the multitude of problems that face it,” Hlabisa said.
“Once accepted by parliament ... it must be sent back to the people.”
Daily Dispatch






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