As the Msukaligwa Local Municipality (MLM) unveils its proposed budget for the 2025/26 financial year, concerns from multiple political parties are mounting. Among the most vocal critics is the Freedomfront Plus (VF Plus), which describes the budget as “a recipe for collapse unless serious action is taken.” According to VF Plus Councillor Shobie Arnoldi, the municipality is heading for disaster if it continues down its current financial path.
The budget reveals a stark mismatch between income and expenditure. MLM has projected an income of R1.326 billion, while planned spending totals R1.382 billion, resulting in a budgeted deficit of R55.7 million. “No responsible household, business, or government entity can sustainably operate at a loss, yet MLM seems to have accepted this as the norm,” Arnoldi stated. “This is not just financially irresponsible — it’s unsustainable.”
Even more alarming are the statistics that paint a picture of long-term financial decay:
- Projected income: R1.326 billion
- Planned expenditure: R1.382 billion
- Projected deficit: R55.7 million
- Outstanding municipal debt: R1.475 billion
- Residents: R1.062 billion
- Businesses: R280 million
- Government departments: R94 million
-Debt owed by MLM to suppliers:
- Department of Water and Sanitation: R1.120 billion
- Eskom: R712.6 million
Arnoldi argues that this crisis has been enabled by years of weak governance, poor financial discipline, and a lack of consequences for non-payment. “The ANC-controlled administration has, over the past 31 years, cultivated a culture of non-payment,” he said. This, in turn, has placed immense pressure on the few who do pay for services — mostly law-abiding residents and businesses who now carry an unfair burden.
One of the most concerning dynamics is that even as residents and businesses default on payments or illegally connect to services, the municipality remains liable for full payments to service providers like Eskom and the Department of Water and Sanitation. This growing shortfall is crippling the municipality’s ability to provide reliable basic services.
To address the crisis, the VF Plus has tabled several practical solutions, including:
- Better monitoring of water and electricity billing
- Immediate disconnection of services where bills go unpaid or no arrangements are made
- Installation of prepaid water and electricity meters in all households and businesses
- Harsher penalties and criminal prosecution for illegal service connections
- Fines and legal action against cable thieves causing outages and financial damage
The VF Plus stresses that these proposals are not new and should have been implemented years ago. Their repeated calls for a comprehensive debt management plan have, however, gone unanswered by MLM officials.
Now, the party is demanding a formal review meeting to overhaul the municipality’s ineffective debt collection strategy. “Without decisive action, the collapse of basic services in Msukaligwa is not a question of if, but when,” said Arnoldi. “The time for excuses has passed.”
The VF Plus has reaffirmed its commitment to fight for residents — especially those who pay their dues — and to hold MLM accountable for its financial stewardship.