‘This cannot continue’: Ramaphosa unveils a bold reset of South Africa’s failing municipalities

President Cyril Ramaphosa has launched the revised local government White Paper, admitting that too many municipalities are failing the people they serve.

We must therefore acknowledge, without qualification, that too many of our municipalities are failing to meet the needs and expectations of the people they are meant to serve. This cannot continue.

Ramaphosa highlighted that the current system is failing to provide basic services like water and electricity. He noted that revenues from the sale of these utilities are often diverted to other functions instead of being reinvested into the necessary infrastructure.

Going forward, revenues from the sale of electricity and water will be ring-fenced and used to maintain infrastructure before anything else.

The new policy document proposes a major overhaul of the local government system, including a differentiated model that links powers and functions to a municipality’s size, capability, and performance. Where municipalities cannot deliver, responsibilities would be assigned elsewhere, likely at a regional level. The plan also aims to professionalize municipal administrations to combat corruption and lack of accountability.