The Nelson Mandela Bay Municipality Council has approved the rollover of around R53 million in disaster relief funding into the 2025/26 financial year.
This comes days after DA Councillor Rano Kayser wrote to Nelson Mandela Bay Executive Mayor Babalwa Lobishe, National Treasury, the Auditor-General, and the MEC for CoGTA, claiming alleged financial misconduct involving the unauthorised use of R52.3 million in unspent Municipal Disaster Recovery Grant (MDRG) funds.
In the letter, dated July 21, Kayser said the grant funding was allocated to the municipality in November 2024; however, due to “municipal incompetence” the funds were not spent within the required timeframe.
“The money will now be subjected to a rollover application, with the outcome expected only in October 2025,” he said in a statement.
“In the meantime, the communities of Kariega and KwaNobuhle continue to wait for critical recovery work to begin – despite suffering significant damage during the June 2024 floods.
“The Municipal Disaster Recovery Grant was at the time intended for vital post-disaster recovery projects, including repairs and reconstruction of the Jabavu Foot Bridge, upgrading of the De Mist Canal, and restoration of the Moeggesukkel Access Road.
“However, delays due to legal disputes and administrative failures have stalled progress and spending,” said Kayser. He termed it a gross failure of governance.
“This is completely unacceptable given the urgent need on the ground,” Kayser commented. “Urgent intervention is required to ensure accountability and that the community is not further failed.”
Meanwhile, on Thursday, July 24, in a statement, the Municipality said the rollover had now been approved.
“The rollover will be used to repair and restore critical infrastructure damaged during the June and October 2024 floods,” the statement read.
While the official rollover application will be submitted to the National Treasury by August 31, the Municipality has confirmed that projects falling within the current budget allocation will start immediately.
“This ensures that urgently needed repairs and upgrades won’t be delayed,” the statement continued. “This is a crucial step in restoring dignity, safety, and services to residents hardest hit by the storms. We will keep residents informed as implementation begins and the full funding process progresses.”
