Municipalities underspending

Many municipalities face difficulties in spending their infrastructure grants due to a lack of infrastructure and planning, members of the South African Local Government Association (Salga) heard at a meeting in Thoho-yandou last week.

Salga Limpopo chairman, Motalane Monakedi, said municipalities that did not spend their grants would loose the money to other municipalities or other provinces.

He cited bureaucratic red-tape when registering projects as another cause of municipalities underspending their infrastructure grants.

Monakedi said of the R821million allocated to Limpopo for the 2006-07 financial year only R431million had been spent so far. - Chester Makana