South Africa Local Government Reform: Minister Hlabisa Warns Some Municipalities Will Cease to Exist by 2031

PRETORIA, GAUTENG — As South Africa local government reform enters a critical implementation phase, Cooperative Governance and Traditional Affairs Minister Velenkosini Hlabisa has announced that several municipalities will likely cease to exist or be amalgamated by 2031. Following the Cabinet’s approval of the revised White Paper on local government on September 23, the focus has officially shifted from policy review to actionable delivery, aiming to build a financially sustainable and responsive municipal system.

Key Policy Reforms and Differentiated Funding
The revised framework introduces sweeping changes to how municipalities operate, primarily targeting the root causes of service delivery failures. Minister Hlabisa emphasized that the new policy strictly addresses the recruitment of senior managers, who are responsible for driving council decisions.

“Most of the challenges we have emanate from wrong recruitment,” Hlabisa explained, noting that the era of employing friends, relatives, and politically connected individuals must end. Moving forward, senior management appointments will be strictly merit-based and fit for purpose.

Additionally, the White Paper dismantles the “one-size-fits-all” funding model. Recognizing that municipalities have vastly different revenue bases, the new framework introduces a differentiated approach. Municipalities will be classified and treated differently regarding funding, with previously disadvantaged areas receiving top priority for resource allocation to advance basic services.

Management Transition Body and 24-Month Mandate
To ensure the White Paper does not merely “sit on shelves and collect dust,” the President is scheduled to officially launch the policy on October 22. Concurrently, a specialized management transition body will be announced.

This body will operate for a strict 24-month period and will be composed of highly skilled experts drawn from the Presidency, the National Treasury, and the Cooperative Governance and Traditional Affairs (COGTA) department. The Presidency will identify governance experts, Treasury will provide financial specialists, and COGTA will focus on sustainable service delivery.

The transition team will monitor implementation on a daily basis, offering focused attention to distressed municipalities and those flagged by the Auditor-General for financial mismanagement. Hlabisa noted that this expert intervention model has already proven successful in turning around municipalities facing severe operational challenges, including critical sewage crises.

Municipal Reconfiguration Ahead of 2031
Looking toward the long-term goals of the White Paper, Hlabisa confirmed that the municipal landscape will look significantly different by the time of the next local government elections in 2031.

“In 2031, it is likely there are municipalities that must cease to exist,” Hlabisa stated. He clarified that a municipality not fit for purpose should not continue beyond this date. However, he noted that immediate amalgamations or closures cannot be executed in 2026 due to the necessary legal consultation and demarcation processes required to reconfigure municipal boundaries.

Councillor Competency and Political Accountability
With Independent Electoral Commission (IEC) candidate list nominations closing on August 28 and councillors scheduled to be sworn in on November 4, the issue of leadership competency is paramount.

While the White Paper does not prescribe specific academic degrees or diplomas for councillors, it elevates the standard of competence. Hlabisa stressed that individuals occupying critical roles—such as mayors, deputy mayors, speakers, executive committee members, and finance committee chairs—must possess demonstrable experience in governance.

The onus, according to the Minister, is on political parties to deploy competent leaders. “Incompetent councillors cannot introduce consequence management because you need to know better in terms of law and procedures in order to hold officials accountable,” he warned, adding that there is a general consensus among parties that proper deployment is essential for the White Paper’s success.

Election Readiness and Logistical Preparations
Addressing the logistical readiness for the upcoming elections, Hlabisa confirmed that the IEC is currently printing approximately 78 million ballot papers and is finalizing the recruitment of election staff.

The electoral process currently faces eight pending court matters: five in the Electoral Court, two in the Constitutional Court, and one in the High Court. While Hlabisa declined to comment on active litigation, he expressed confidence in the judiciary’s ability to make reasonable decisions that consider the tight IEC timetable if rulings are delivered before the November 4 deadline.

Furthermore, an interministerial committee, which includes the IEC and key departments, recently reviewed the operational plans. To mitigate potential weather-related disruptions, including El Niño-induced heat waves, the South African Weather Service will provide a precise weather forecast briefing on October 16. This will guide authorities and communities on what to expect during both the special voting periods and the main election day.

 

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