Gauteng municipalities owed over R262 million by Gauteng state schools while struggling to deliver services

11 November 2024

Gauteng municipalities, many of whom are struggling to render quality services to Gauteng residents, are owed over R262 million by Gauteng state schools.

This information was revealed by the MEC for Education, Matome Chiloane, in a written reply to the questions posed by the Democratic Alliance (DA) in the Gauteng Provincial Legislature (GPL).

According to MEC Chiloane, state schools in Gauteng are divided into two categories: Section 21 schools and non-section 21 schools. The Gauteng Department of Education is responsible for the payment of services for non-section 21 schools, while the School Governing Bodies (SGB) are responsible for the payment of services for Section 21 schools.

MEC Chiloane further reveals that a total of 1332 non-section schools owe municipalities R69 973 724 million (average of R52 532 per school), while 269 Section 21 schools owe R192 900 245 (average of R717 101 per school). This money adds up to a staggering R 262 873 969 million owed by 1601 state schools across Gauteng.

The overdue debt as per the MEC ranges between 30 and 120 days of ageing analysis.

It is concerning that the Gauteng Department of Education has allowed schools under its watch to rake up such huge deficits, given the financial crisis most municipalities are facing. Furthermore, it is worrying how schools can amass such debt. This suggests inadequate monitoring of these schools by the department and poor financial management within our schools.

The DA will be submitting follow-up questions to the MEC to find out how the department plans to resolve this alarming situation that is further weakening our municipalities.

Under a DA government, all schools would be kept in check to ensure they pay for all municipal services and do so on time.

The DA will continue to advocate for all users of municipal services, including schools, to pay for them.

Statement issued by Michael Waters MPL - DA Gauteng Spokesperson for Education, 11 November 2024