NMB Municipality plans to write off R23 billion in UIFWE without proper investigation

Statement by Cllr Gert Engelbrecht – DA NMB MPAC Spokesperson:

The Democratic Alliance has written to the Auditor-General (AG) and National Treasury to request urgent intervention in the Nelson Mandela Bay Municipality’s plan to write off billions in Unauthorised, Irregular, Fruitless and Wasteful Expenditure (UIFWE).

From 2009 to 2021, the Municipality lost R23 billion to UIFWE. Despite this massive amount, the ANC/EFF coalition used its majority at a meeting of the Municipal Public Accounts Committee (MPAC) to rush the matter to Council without the proper scrutiny and investigation.

The proposed write-off was presented at yesterday’s (13 August 2026) MPAC meeting as a late item/flyer. Members were only afforded 30 minutes to consider the documentation regarding this massive write-off. A supporting affidavit exceeding 500 pages was not even presented.

The failed ANC/EFF coalition wants to write off more than a decade of accumulated UIFWE in one bulk amount. Why is it refusing to first investigate each case and apply the required reporting, accountability, consequence management, and preventative measures?

The most problematic issue is that the committee has not received the legally required Section 32 reports from the Municipal Finance Management Act (MFMA). Without these reports, the committee cannot see what the money was spent on or hold anyone to account.

The DA requested that the matter be deferred to allow MPAC members sufficient time to properly examine the documentation, establish where the money was spent and determine who should be held accountable. The request was rejected and the matter was subsequently put to a vote and referred to Council.

We have therefore asked the AG and National Treasury to intervene and ensure this R23 billion UIFWE matter is handled properly, with full oversight and accountability.

This write-off cannot go to Council, which sits on 25 August, until the necessary oversight and investigative processes have been properly completed.

The DA will not stand by while billions of rands of taxpayer money are potentially written off without proper investigation.

We will fight for stable, accountable government in Nelson Mandela Bay that gets the basics right. This means working financial controls and consequence management.

On 4 November, voters can get rid of this incompetent coalition government at the ballot box and vote for a DA government that will get Nelson Mandela Bay working again.