W Cape government welcomes ruling prohibiting municipality from signing R735m electricity and water agreement



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Western Cape MEC for local government Anton Bredell.

Western Cape MEC for local government Anton Bredell.

Adrian de Kock, Gallo Images, Network24

  • Western Cape Local Government MEC Anton Bredell brought Kannaland Township to High Court.
  • The municipality reportedly signed a R735 million electricity and water agreement.
  • The judge ordered the municipality to desist from signing the deal.

The Western Cape Local Government, Environmental Affairs and Development Planning MEC Anton Bredell has welcomed the Western Cape High Court ruling ordering Kannaland Municipality not to sign a R735 million water and electricity outsourcing agreement .

Bredell approached court in January to prevent the newly reconstituted Kannaland council from honoring the deal.

Acting judge Nobahle Mangcu-Lockwood ruled in favor of the provincial government, ordering the municipality to desist from proceeding with the signing of the agreement and making six new political appointments.

Bredell said:

The provincial department had tried its best to get the council to cooperate, but to no avail. The council was determined to move on, finally leaving us with no choice but to approach the court.

He added that given the financial crisis the municipality was in, there was no justification for the additional costs to the wage bill that would have undermined an economic recovery plan that was underway.

READ | 4 municipalities in the Western Cape owe Eskom an accumulated arrears of R89.7 million

“The province has been working hard since 2018 when the council was placed under financial management to help the council recover financially. We are grateful that the court agreed with the province’s position on this matter,” he said.

Bredell said Mangcu-Lockwood stated that the conduct of the township’s public officials and politicians was detrimental not only to the rule of law, but also to the residents of Kannaland.

The MEC said Mangcu-Lockwood described the council’s actions as “a recipe for chaos in governance.”

Bredell asked the Kannaland board to work with the department to ensure that existing financial recovery plans are seen through to completion.

“It is in the best interest of the people of Kannaland to see the municipality regain its full potential.”


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