City gives nod to electricity, water plans to secure grant

ETHEKWINI councillors have approved the Business and Investment Plans and Performance Improvement Action Plan Version 2 (PIAP V2) for the Electricity and the Water and Sanitation Trading Service at a council meeting yesterday.

- ZAINUL DAWOOD

They were warned that failure to approve the plans would undermine the intended institutional reform trajectory and weaken accountability arrangements for the National Treasury Metro Trading Services Reform Programme (MTSRP). The city also could have been excluded from the MTSRP and lost about R1 billion in performance-based incentive grant funding.

The municipality, in its report, has progressed through the initial compliance requirements of the MTSRP and has received the first tranche of incentive funding.

The programme milestone requires the municipality to submit council-approved documentation by today as evidence of compliance with commitments for electricity and energy, and water and sanitation trading services.

The municipality explained that the business and investment plan provides the annual planning framework for each trading service to ensure financial sustainability, business turnaround and performance improvement.