Municipalities: Manuel steps in

Pretoria - The National Treasury, led by Minister Trevor Manuel, has become embroiled in attempts to resolve disputes with municipalities about poor service delivery and associated tax boycotts.

Gerhard van Schalkwyk of Kroonstad and Danie Eichstadt of Bethlehem, who led protest marches in their respective towns, were both recently informed about the Treasury's intervention.

In both towns residents last year declared disputes over poor service delivery, and municipal taxes are currently being withheld from the municipality and paid into trust accounts.

These two towns are among 60 already withholding tax under the direction of the National Taxpayers Union (NTU), while another 200, the organisation reports, are preparing to do the same.

In Bethlehem the National Treasury's intervention has already led to a meeting between residents and delegates of the municipality, the Free State Treasury and the Department of Local Government.

In Kroonstad, where residents have had to take turns to get water since Saturday because of alleged poor maintenance, residents have cited inter alia the Auditor-General's poor report on the local council's finances as the basis of their dispute.

The action taken by the Treasury is the latest sign that the government is taking increasing note of this type of protest action spreading throughout the country.

Minister of Provincial and Local Government Sicelo Shiceka recently acknowledged that the residents' grievances were valid, although holding tax was illegal.

He appointed a coordinator in each province to try and resolve the disputes.

- Sake24.com

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