Committee welcomes water dept’s plan to deal with irregular expenditure

12th November 2019 By: Marleny Arnoldi - Deputy Editor Online

The Portfolio Committee on Human Settlements, Water and Sanitation has welcomed the Department of Water and Sanitation’s (DWS’s) financial recovery plan, which includes initiatives to deal with R16-billion in irregular expenditure.

The committee said in a statement on Tuesday that it was sure the current leadership could overcome the department’s long-standing challenges.

One of the major areas of improvement for the DWS has been the reduction in accruals and payables, from R16-million in March to R808 460 in October.

The committee said the payments for services rendered ensured that service providers remain viable and that projects were completed.

The committee further welcomed the DWS’s consequence management initiatives to deal with R16-billion in irregular expenditure, as consequence management was a “necessity to deter wrongdoing”.

“We welcome the 86 guilty verdicts, 13 dismissals, one demotion and various suspensions meted out against errant officials.”

In respect to debt owed to the department and its entities, the committee emphasised the need for constructive discussions, coupled with strong implementation in areas of agreement, to deal effectively with the debt and to assist water agencies to improve their balance sheets.

This was necessary if the DWS entities were to achieve their mandate and ensure water provision.

The committee noted the intention to exit the War on Leaks programme, which had burdened the department owing to planning inefficiencies.

While the committee acknowledged the need to conclude the programme, it said the department should improve on its planning capacity, as the intentions of War on Leaks were noble and much could have been achieved.

For example, especially in relation to decreasing nonrevenue water, which is at 41% and an estimated R9.9-billion in lost value.

The committee would await a concrete strategy from the department on how to exit the War on Leaks programme.

The committee had also requested regular updates from the department on its financial recovery plan.