Minister Dean Macpherson has requested a council resolution from the eThekwini Municipality regarding the Auditor-General’s findings on the EPWP.
Image: Independent Newspapers Archives
Time is running out for the eThekwini Municipality to respond to Department of Public Works and Infrastructure Minister Dean Macpherson’s request for a council resolution to investigate, implement a corrective action plan, and institute disciplinary and criminal proceedings following the Auditor-General of South Africa’s (AG) findings on material irregularity identified in the municipality’s administration of the Expanded Public Works Programme (EPWP) in the 2021/22 financial year.
Speaking at the launch of the EPWP’s Working on Infrastructure pilot on Monday, Macpherson announced a strong stance against EPWP mismanagement, citing action taken in eThekwini.
“To date, I have had no response from eThekwini to my request for a council resolution that commits to this action as requested by the AG,” Macpherson said.
“This is unfortunate, and I urge the leadership of the municipality to do so to avoid losing this grant.”
On April 14, Macpherson held a media briefing and shared that he directed to withhold EPWP fund transfers to the eThekwini Municipality in the new 2026/27 financial year until the municipality takes the necessary corrective action and the department is satisfied that public funds will be protected - and that the council implements urgent action to protect the programme and hold those officials responsible for non-compliance.
Macpherson gave the municipality 30 days to pass a council resolution which must endorse, at a minimum, three things: investigate all allegations and findings identified by the AG, implement a detailed remedial action plan with clear timeframes, responsibilities, and reporting lines to address systemic failures, and support disciplinary and, where appropriate, criminal action against responsible officials or individuals.
Minister Dean Macpherson addresses attendees at the Working on Infrastructure pilot launch on the urgent need for action from eThekwini Municipality regarding EPWP mismanagement.
Image: Doctor Ngcobo / Independent Newspapers
DA eThekwini councillor Andre Beetge said that last Tuesday, the mayor’s office tabled a report to the executive council (Exco) indicating certain measures that have, since the AG’s findings, been put in place, ahead of the council sitting last Thursday.
He said they were hoping that exco could make some recommendations and that they would serve before council on April 30, bringing them in line with the expectations of the 30-day window.
However, the city manager withdrew that report from the Exco agenda and said that there is still some input that needs to come from his office and the administration towards the matter.
“Following that, and because we are in this timeframe of 30 days, I, seconded by councillor Thabani Mthethwa, tabled an urgent motion on Wednesday morning, 24 hours before the council meeting in terms of Section 20 of the rules of order to have it placed on the agenda so that we could take certain decisions to remain compliant or to appease the demands from the minister,” Beetge said.
“The speaker found that there was no urgency for the motion, and then subsequently, it was not included in the agenda, which now leaves us in a situation where we need to comply to a certain measure.”
Beetge said they now had nine days to respond.
“We are very concerned on behalf of those most vulnerable who could lose that employment, those few rands that put food on the table, because an administration does not feel compelled to comply,” Beetge said.
eThekwini Mayor Cyril Xaba’s spokesperson, Mluleki Mntungwa, referred to the statement issued by the municipality after the minister’s briefing, and added that “the matter is still going to be deliberated upon by the executive council”.
The municipality detailed its aggressive remedial actions following an audit irregularity, including investigating, recovering losses, taking disciplinary action against implicated officials, and strengthening internal controls.
This follows a 2025 investigation by the City Integrity and Investigations Directorate into EPWP payments to deceased and currently employed individuals, which resulted in recommendations for disciplinary action, recovery processes, and termination of irregular beneficiaries.
It also centralised and tightened its expenditure controls for the EPWP, implementing strict verification processes, in-person identity checks for banking details, supervisor-verified time records, and physical headcount verifications.
Furthermore, three criminal cases related to potential criminal conduct have been opened with the SAPS and are currently under investigation.