Joburg crisis cannot be solved without competent City leadership
Finance minister Enoch Godongwana announced this month that the National Treasury is developing an “intensive intervention” to help rescue Johannesburg. The Treasury intends to work with the City for three years, irrespective of which party emerges from the local government elections on 4 November.
The city of Johannesburg is grappling with a severe financial crisis that is exacerbated by a lack of competent leadership at the municipal level. Finance Minister Enoch Godongwana announced that the National Treasury is developing an intensive intervention to help rescue the city, but this is only a temporary fix. The crisis stems from a combination of factors, including poor infrastructure investment, unpaid bills, and a management crisis that has persisted since 2016.
Johannesburg has seen nine mayors and eight coalition administrations in the past seven years, leading to frequent turnover of boards and a reliance on political allegiance over the necessary skills and experience for the job. This has resulted in the creation of fiefdoms within municipal entities, controlled by different political factions. For instance, the Johannesburg Water board lacks professionally qualified engineers, while several senior management positions remain vacant.
The Centre for Development and Enterprise (CDE) highlights that Johannesburg's management crisis is severe and that the incoming administration must prioritize getting the right people into the most important jobs. This includes appointing a highly capable City Manager through a rigorous, transparent, and competitive process. The chairs of utility boards, such as City Power and Johannesburg Water, must also be replaced with individuals possessing strong engineering and energy sector credentials, as well as technical expertise.
Board members should be appointed on three-year contracts, replacing the current annual renewals that make boards vulnerable to political interference. Additionally, a city-wide audit should be conducted to identify mission-critical positions and fill any vacancies or acting appointments in critical roles, such as engineering, finance, ICT, project management, and procurement.
The incoming administration must break the link between political changes and personnel turnover to break the cycle of instability that has characterized Johannesburg's management for years.
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