Gauteng MEC for Finance, Barbara Creecy has given a stern warning to municipalities that are not spending their full budget on infrastructure.
Answering questions during the media briefing at the Gauteng Legislature on Tuesday, 05 March 2019, after delivering the provincial budget speech for 2019/20 financial year MEC Creecy said it was worrisome that municipalities continued to ignore their infrastructural commitments through underspending their budget allocations.
She said it must be noted that the National Treasury was government’s instrument that dealt primarily with metropolitan municipalities.
“The National Treasury has effected certain budget cuts for infrastructure for all those municipalities that are underspending on infrastructure,” said Creecy.
that the matter of infrastructure development across Gauteng Municipalities has long been overdue as there have been numerous discussion centered around the matter.
“I think that from our perspective as the provincial government, especially in this climate whereby there is an ever-increasing demand in Gauteng for government services and infrastructure, it is beholden on all of us to do our absolute best. We also know that infrastructure spending is one of the ways in which you can create jobs in a poor economic climate,” said Creecy.
She further emphasised that it was not excusable for municipalities to fail to sort out their infrastructure spending.
“You cannot start to plan this year’s infrastructures spending now, you must plan it in the previous year. Therefore, my advice to all municipalities is that they must sort out their planning processes so that when the financial year starts, you are ready to hit the ground running,” she said.
The Department of Infrastructure has been allocated a whooping R33.7 billion which will be budgeted for infrastructure development of the province’s five corridors as follows:
- The Southern corridor: R2.942 billion
- The Western corridor: R4.955 billion
- The Eastern corridor: R3.498 billion
- The Central corridor: R7.044 billion
- The Northern Corridor: R4.178 billion