MOPANIDISTRICT MUNICIPALITY

PROFILE

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TABLE OF CONTENTS

EXECUTIVE SUMMARY 31. INTRODUCTION 41.1 Overview 41.2 Municipalities within the District 51.3 Political and Administrative Leadership and Seat of District 51.4 Political Representation 62. SERVICE DELIVERY 82.1 Household Infrastructure 82.2 Sanitation 82.3 Water 82.4 Electricity 92.5 Refuse Removal 92.6 Service Provider 93. AUDIT OPINIONS 94. STATE OF LOCAL GOVERNMENT ASSESSMENT 104.1 Overview of findings on assessment in the Municipality 104.1.1 Governance 104.1.2 Financial Management and Viability 104.1.3 Service Delivery 105. INFRASTRUCTURE PRIORITIES IN TERMS OF THE MUNICIPAL

TURN-AROUND STRATEGY11

6. MIG PROJECTS 117. VULNERABILITY CLASSIFICATION 14

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EXECUTIVE SUMMARY

Mopani District Municipality has low levels of urbanisation. Other than Ba-Phalaborwa Municipality where nearly 66% of the population can be classified as urbanised, the level in the other municipalities is below 15%. The mining sector contributes 30% to the GDP, Agriculture is the most important economic sector in Greater Tzaneen, Greater Giyani, Maruleng and Greater Letaba. There are five local municipalities within the district. The steadily growing population places an additional strain on current resources. Formal employment is scarce and unemployment and poverty levels remain very high. More than 50% of the adult population is functionally illiterate. The low education levels and concomitant lack of skills needed in the formal labour market further compound the problem.

The towns and their extensions have well-developed water services while most rural villages do not. The majority of settlements are in the rural areas where the lack of water services it’s the delivery of sanitation. The dispersed nature of the settlements makes provision difficult and the majority of dwellings use pit latrines or simply have no sanitation facilities at all.

An overview of household access to infrastructure in the district shows an improvement from a lower level of 40% in 1996 to a higher level of 53% in 2009. The main contributor to the increase in access is electricity infrastructure.

From 2005/6 to 2006/7 Mopani district municipality and all the local municipalities within its jurisdiction did not register any improvement in audit outcomes. Letaba local municipality was the only municipality to achieve financially unqualified with findings audit results in 2008/9 and 2009/10.

The State of Local Government Assessment found that in the Mopani District there is a contestation of powers and functions between the District and some of its local municipalities. The Greater Tzaneen and Ba-Phalaborwa municipalities applied for the water service authority functions, and are of the view that the district is prolonging timeframes for service delivery. The District is of the view that the powers allocated to them did not allow for interventions in local municipalities. The Mopani District municipality is still having a serious challenge with the waste management function.

In terms of its Municipal Turn-Around Strategy the District identified access to water and sanitation as still a huge priority in this District.

Three of the five local municipalities in the Mopani District have been classified as in the category of most vulnerable by DCoG in terms of functionality, socio-economic profile and backlog status. This profile confirms that infrastructure prioritisation in Mopani District should focus on access to clean water and sanitation.

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1. INTRODUCTION

1.1 Overview1

The Mopani District Municipality (MDM) is located in a region where there are spectacular natural resources, including forests, bushveld, sweeping plains and wild life. The district was named due to the abundance of the nutritional Mopani worm in the area.

Mopani District Municipality comprises five local municipalities: Ba-Phalaborwa, Greater Giyani, Greater Tzaneen, Maruleng and Greater Letaba. Maruleng was incorporated as a result of demarcation changes instituted in March 2006.

The three major towns in the district are Tzaneen, Phalaborwa and Modjadjiskloof. Other substantial towns are Giyani, Nkowankowa, Lulekani, Ga-Kgapane, Lenyenye, Gravelotte, Hoedspruit and Namakgale. Levels of urbanization are low. Other than Ba-Phalaborwa Municipality where nearly 66% of the population can be classified as urbanised, the level in the other municipalities is below 15%.

The mining sector contributes 30% to the GDP, followed by the general government services sector (17%) and finance and business services (15%).

Retail is an important secondary economic sector, especially in the Giyani area which serves a large rural area. There is currently a lack of wholesalers in the municipality which results in shop owners having to travel to Tzaneen, Polokwane and even Johannesburg to obtain stock.

Agriculture is the most important economic sector in Greater Tzaneen, Greater Giyani, Maruleng and Greater Letaba. In addition to citrus fruits, sub-tropical fruit, including mangoes, avocadoes and bananas are grown. Mining is the most important sector in Ba-Phalaborwa. Copper is mined and further processing of by-products and phosphates is undertaken. There are ample opportunities for small-scale mining of vermiculite, onite, gold and emeralds.

Land ownership in the district is a contentious problem. There are 349 land claims in the district, representing 26.85% of the total land area. Restitution and redistribution could lead to improved living standards or result in large-scale sterilisation of productive land in agricultural, mining and conservation areas. The unresolved claims are preventing exploitation of land for productive agricultural activities and agro-processing. This poses a serious economic threat in a district heavily reliant on agriculture. The unsettled claims impact on service delivery by municipalities as, for example, they hinder the identification and formalisation of land for refuse sites and township establishment.

1 Source: Gaffney’s, November 2009: Local Government in South Africa 2009 – 2011, Official Yearbook: p 931 - 933

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The steadily growing population places an additional strain on current resources. Provision of good primary health care, social welfare and education becomes more complex as resources are strained. Formal employment is scarce and unemployment and poverty levels remain very high. More than 50% of the adult population is functionally illiterate. The low education levels and concomitant lack of skills needed in the formal labour market further compound the problem.

The towns and their extensions have well-developed water services while most rural villages do not. The majority of settlements are in the rural areas where the lack of water services it’s the delivery of sanitation. The dispersed nature of the settlements makes provision difficult and the majority of dwellings use pit latrines or simply have no sanitation facilities at all.

Many people are not properly housed and, in general, the quality of housing is poor. People live in informal housing and in traditional dwellings. Town planning is non-existent in the informal settlements and has resulted in communities sometimes settling in flood plain areas.

Energy distribution in the district is an issue of great concern. Local municipalities provide Eskom electricity to urban areas and towns. Rural areas, however, are not provided for and villagers continue to use unsafe paraffin lamps and candles. A major concern to the district is the absence of street lights on major streets in urban areas such as Giyani, which results in dangerous driving conditions and safety concerns for pedestrians. Street lighting is absent in most rural areas. Municipalities undertake refuse removal in urban areas and towns. There are five waste disposal sites in the district municipality which serve the urban areas. The Tzaneen waste disposal site is the only one that has a permit to operate and is well managed. In rural areas there is no refuse removal. Residents’ disposal sites are unprotected.

There are insufficient hospitals, health centres, clinics and mobile clinics available to serve the needs of the whole population, especially those residing in remote rural areas.

Health services provision is further hindered by the extremely scattered nature of the many small settlements. The lack of qualified personnel remains a problem. HIV/AIDS, malaria and tuberculosis continue to be major challenges to the health sector.

1.2 Municipalities within the Mopani District

The details of the five local municipalities within the District is tabled below:

Table 1: Statistics of the Mopani District and Local Municipalities

Municipalities within the District Area (km²)

in 2009

Area (km²) after 2011Local Govt Elections

& % change

Population No. of Households Poverty Rate

Mopan i D i s t r i c t Mun ic ipa l i t y 24,486.25 20,010.94 -18 28% 1,061,815 263,862 57.50%

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Da-Phalahorwa Local Municipality

3,004.38 7,461.57 148.36% 126,504 33,578 45.73%

Greater Giyani Local Municipality 2,985.12 4,171.61 39.75% 246,102 57,175 68.46%

Greater Letaba Local Municipality 1,890.69 1,890.89 - 246,181 59,163 48.68%

Greater Tzaneen Local Municipality 3,242.57 3,242.57 - 346,878 89,265

60.73%

Maruleng Local Municipality 3,244.30 3,244.30 - 95,165 24,43563.84%

Mopani District Management Area (KrugerNational Park)

10,119.00To be incorporated into the local municipalities 986 246 57.50%

1.3 Political and Administrative Leadership and Seat of District

Political Leadership: Executive Mayor: Mr L J MatlouAdministrative Leadership: Municipal Manager: Mr M T Maake

The head office of the District is located in Giyani.

1.4 Political representation2

Table 2: Local Government Election 2006 / Provincial and National Elections 2009 comparison:

Leading Parties in the Elections

Local Government Elections 2006 Provincial Elections 2009 National Elections 2009Party Party Votes and

%Ward Votes and %

Councillor Seats Party Votes and % Party Votes and %Party Seats %

1st ANC 173,479 84.3% 170,858 82.8% ANC 39 88.6% ANC 288,632 87.2% ANC 298,212 87.6%2nd DA 9,529 4.6% 9,503 4.6% DA 2 4.5% COPE 21,237 6.4% COPE 20,948 6.2%3rd ACDP 5,310 2,6% 4,567 2.2% ACDP 1 2,3% DA 10,250 3.1% DA 11,193 3.3%4th PAC 4,048 2.0% 4,492 2.2% PAC 1 2.3% ACDP 3,027 0.9% ACDP 2,804 0.8%

Other 13,370 6.5% 16,828 8.2% Other 1 2.3% Other 7,755 2.3% Other 7,166 2.1%Totals 205,736 100% 206,248 100% Totals 44 100% 330,901 100% 340,323 100%

2 UPDATE Aug'09: DC40 seats – ANC (83%) 15 seats, ACDP (6%,) 1 seal, DA(6%) 1 seat, PAC(5%) 1 seat, Total 18 0040 seats

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Figure 1: 2011 Local Government Election results and seat allocation:

The ANC is the leading party in terms of proportional DC40 Seats in Mopani, with 17 out of 20 seats.

2. SERVICE DELIVERY3

3 Sources: HIS Global Insight Regional eXplorer version 574 and Municipal Demarcation Board, 2008: National Report on Local Government Capacity, District and Local Municipalities, MDB Capacity

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2.1 Mopani District Municipality Household Infrastructure

1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 20090.00

0.10

0.20

0.30

0.40

0.50

0.60

0.70

0.80

Household Infrastructure OverviewLIM - DC33 Mopani District Municipality

LIM - DC33 Mopani ...

Inde

x

Source: IHS Global Insight Regional eXplorer version 574

Mopani has got the third highest access to infrastructure amongst other districts in the province. An overview of household access to infrastructure in the district shows an improvement from a lower level of 40% in 1996 to a higher level of 53% in 2009. Main contributor to the increase in access is electricity infrastructure.

2.2 Sanitation

With regard to access to sanitation, the district municipality’s household access to hygienic toilets has gone up from 21% in 1996 to 35% in 2009. The improvement in access to sanitation in general in the Municipality is mainly due to the increase in the use of pit latrines which was at 45% by 2009.

2.3 Water

Access to piped water above RDP level increased in the district remained the same over the years at 62%. Similarly, there has not been an increase as well in access to piped water below RDP level.

2.4 Electricity

Assessment, 2007/2008.

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The increase in electricity connections is the biggest infrastructure achievement in the municipality. In 1996, household access to electricity connections was below 50%. Access has, however, increased over the years reaching 78% by 2009.

2.5 Refuse removal

There has been a slight increase in access to formal refuse removal service from 1996 to 2009 in the Municipality. Access has gone up from 11% in 1996 to 13% in 2009. Personal refuse removal also went up slightly over the years reaching 65% in 2009. The district is rural and the low levels of formal refuse removal must be taken in the context of low settlement densities, where on-site disposal or backyard burning of waste is sometimes appropriate.

2.6 Service provider

Mopani district does not perform the electricity reticulation. The district does have authority and is performing potable water and sanitation. However, it does not perform refuse removal, refuse dumps and solid waste disposal functions.

3. AUDIT OPINIONS

Table 3: Audit Opinions of the District and Local Municipalities

Municipality Audit Opinion 2005/6

Audit Opinion2006/7

Audit Opinion2007/8

Audit Opinion2008/9

Audit Opinion2009/10

Mopani DM Disclaimer Disclaimer Disclaimer Financially unqualified with findings

Audit not finalised at legislated date

Ba-Phalaborwa LM

Audit outstanding

Audit outstanding

Adverse Disclaimer Disclaimer

Giyani LM Disclaimer Disclaimer Qualified Qualified QualifiedLetaba LM Audit

outstandingAudit outstanding

Qualified Financially unqualified with findings

Financially unqualified with findings

Tzaneen LM Disclaimer Disclaimer Qualified Qualified QualifiedMaruleng LM Disclaimer Disclaimer Disclaimer Qualified Financially

unqualified with findings

Source: Auditor-General 2009 and 2011, see www.agsa.co.za

From 2005/6 to 2006/7 Mopani district municipality and all the local municipalities within its jurisdiction did not register any improvement in audit outcomes. Letaba local municipality was the only municipality to achieve financially unqualified with findings audit results in 2008/9 and 2009/10.

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4. STATE OF LOCAL GOVERNMENT ASSESSMENT

4.1 Overview of findings on assessment in the municipality

4.1.1 Governance

The State of Local Government Assessment of 2009 identified a number of governance issues in Limpopo including that oversight roles and management of council secretariat needs improvement and that there is limited input on council items by traditional leaders. On public participation it was found that there are low levels of participation due to vastness of wards areas and lack of clear understanding of issues. The functionality of Ward Committees and the role and accountability of CDWs to local municipalities remain a challenge.

4.1.2 Financial Management and Viability

The following were common emerging issues in terms of financial management and viability listed in the Provincial Report on Limpopo: poor revenue collection, grant dependency within municipalities, limited allocations for maintenance and operations budget, recurring audit queries which were not rectified over the years, the billing system with an unreliable data resulting in poor debt collection compounded by the high Indigent rates.

In the Mopani District a district wide shared Audit Committee was established, but a number of local municipalities indicated that the arrangement was not adding sufficient value as to the depth of audit reports on local matters. The Mopani District received disclaimers for the 2007 and 2008 financial years.

4.1.3 Service Delivery

Service delivery issues raised in the Provincial Report includes poor planning capacity, aging infrastructure, land claims, and slow progress with achievement of MDGs.

In the Mopani District there is a contestation of powers and functions between the District and some of its local municipalities. The Greater Tzaneen and Ba-Phalaborwa municipalities applied for the water service authority functions, and are of the view that the district is prolonging timeframes for service delivery. The District is of the view that the powers allocated to them did not allow for interventions in local municipalities.

The Mopani District municipality is still having a serious challenge with the waste management function. Only the Greater Tzaneen local municipality has authorized waste management facility and landfill sites.The role of Traditional leaders in land allocation and upgrading of land tenure rights also need to be resolved. In some cases such as Greater Giyani many traditional leaders allocate land to communities without consultation with municipalities.

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5. INFRASTRUCTURE PRIORITIES OF THE MUNICIPAL TURN-AROUND STRATEGY

The Mopani District Municipality identified a number of priorities for basic service delivery in the Mopani Municipal Turn-Around Strategy. Access to water and sanitation is still a huge priority in this District.

Table 4: Infrastructure delivery in terms of the MTAS

Access to water Access to sanitation

Access to Electricity

Challenges 198 323 hh with access to water

194 830 hh access sanitation

239 085

Municipal Actions

Implement and upgrade water schemes

To supply a total hh of 10 000 with VIP latrines by Dec 2010

To supply a total hh of 7619 with electricity

Other support and interventions

Engage DWA, Cogta and Lepelle Northern Water

Engage DWA and Cogta for sanitation funding arrangements

Engage Eskom and DE

6. MIG

Table 5: MIG projects

Municipality Project name Registered MIG funds

Total actual expenditure in the 2010/11 financial year on MIG funds

Project status (Registered/design/tender/construction)

Project category (e.g. water, sanitation, PMU)

Mopani DM Namakgale Sewage Works   R 0.00 Construction SanitationPhalaborwa Upgrading of Sewage System R 6,071,885.00 R 1,965,810.00 Design & Tender SanitationBoyelang Water Supply R 5,534,400.00 R 0.00 completed WaterGiyani System N ( Mapuve ) R 47,264,001.92 R 31,653,736.23 Construction WaterWater Reticulation GGM R 25,764,000.00 R 2,003,923.35 Construction WaterExtension of Middle Letaba R 17,514,141.00 R 10,585,922.03 Completed WaterSekgosese Ground Water Development Scheme R 39,535,575.00

R2,204,623.20 Construction Water

Upgrading of Water Reticulation GLM R 32,639,051.00 R 0.00 Construction WaterModjadji Outfall R 16,333,375.00 R 389,815.25 Construction Water

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SewerModjadji Sewer Reticulation R 39,384,886.00 R 1,012,207.73 Construction WaterExtension of Modjadji Water Works R 17,649,800.00 R 1,356,144.66 Completed WaterUpgrading of Kgapane WTP R 56,000,000.00 R 9,134,157.76 Completed WaterUpgrading of senwamokgope Sewage plant R 13,974,428.00 R 4,248,886.92 Design & Tender SanitationThapane RWS R 44,794,909.00 R 0.00 Design & Tender WaterLenyenye Sewage Works R 13,154,475.00 R 16,405,713.95 Construction WaterTours Bulk Water Scheme R 13,789,887.00 R 8,810,492.33 Construction WaterMametja Sekororo RWS R 55,224,240.00 R 3,392,687.63 Construction WaterHoedsspruit Bulk Water Supply R 59,019,988.80 R 0.00 Design & Tender WaterKampersus Bulk Water Supply R 27,659,428.00 R 7,234,748.39 Construction WaterMopani Rural Household Sanitation

R173,998,800.00 R 43,334,254.86 completed Sanitation

PMU management Mopani DM     No status PMU

Ba-Phalaborwa LM

Gravelotte RDP streets phase 1 R 1,500,000.00 R 0.00 Completed StormwaterQugga culverts and storm water control phase 2 R 3,000,000.00 R 164,280.13 Completed StormwaterTipeng Stomwater Control Culverts phase 2 R 1,500,000.00 R 134,965.09 Completed StormwaterLulekani OR street tarring phase3 R 3,000,000.00 R 0.00 Completed Roads & s/waterNamakgale phase 3 Upgrading of streets R 3,000,000.00 R 2,692,663.40 Completed Roads & s/waterNamakgale phase 4 Upgrading of streets R 6,000,000.00 R 707,918.01 Construction Roads & s/waterPHB Taxi Rank CBD Streets, Pick-up and Drop Points R 3,000,000.00 R 2,778,950.58 Construction Roads & s/waterGravelotte RDP streets paving phase 2 R 3,000,000.00 R 2,580,290.17 Completed Roads & s/waterKurhula streets paving phase 1 R 5,000,000.00 R 296,650.14 Design & Tender Roads & s/waterMakhushane/Patamedi streets paving phase 1 R 3,000,000.00 R 2,629,937.66 Construction Roads & s/waterMajeje Subsoil Drainage

R 3,000,000.00 R 506,397.69 Design & Tender Stormwater

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SystemsThepe Trust Bridge R 3,000,000.00 R 1,522,913.97 Construction StormwaterPMU Management Fees Ba-Phalaborwa LM R 675,000.00 Function PMU

Giyani LMKheto Bridge R15,341,310.00

R3,701,243.78 completed Roads & s/water

Mashavela regravelling and stormwater R5,250,000.00 R - completed Roads & s/waterMninginisi B3 regravelling and stormwater R6,000,000.00 R1,162,068.08 completed Roads & s/waterGiyani Section F Upgrading of Gravel to Tar Phase II R6,090,000.00 R11,327,456.99 Construction Roads & s/waterGiyani Section A road Phase II R3,800,000.00 R447,612.28 Design & Tender Roads & s/waterMuyexe sport facility R5,000,000.00 R3,949,071.99 Construction Sports facilitiesKremetart and Siyandhani Highmast

R550,000.00 R414,327.17 Construction

Street / Community Lighting

Construction of Giyani section E Road R12,090,000.00 R - Registered Roads & s/waterUpgrading of Shikhumba Access Road R5,000,000.00 R625,441.11 Design & Tender Roads & s/waterGiyani Tourism Information Centre R11,500,000.00 R2,482,685.48 Construction TourismRegravelling of Khashane and Kheyi Road R3,500,000.00 R507,756.23 Design & Tender Roads & s/waterPMU management Greater Giyani LM

R986,000.16 R 1,160,204.00 No status PMU

Tzaneen LM Hweetji Access Road R4,427,200.00 R2,477,510.77 Completed Roads & s/waterMakhefora Access Road R4,037,200.00 R1,758,671.57 Completed Roads & s/waterTzaneen Rural Waste Removal R53,286,243.00 R 25,312,090.36 Completed

solid waste disposal site

Sasekani Access Road R2,371,200.00 R 1,272,809.70 Design & Tender Roads & s/waterRamotshinyadi Internal Street R25,092,540.00 R 2,918,206.25 Construction Roads & s/waterRamotshinyadi to Mokgwathi tar road R38,750,000.00 R2,884,084.98 Design & Tender Roads & s/waterPMU management Tzaneen LM R1,941,950.00 R1,690,528.79 No status PMU

Maruleng LM

Hoedspruit Stormwater Management R 2,953,520.00 R 2,781,553.00 Construction Roads & s/water

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Madeira Access Road R3255000 R 3,210,957.28 Construction Roads & s/waterGa Fannie to Turkey Access Road R 5,580,000.00 R 2,192,832.65 Construction Roads & s/waterMaruleng Indoor Sports R 14,420,082.00 R 0.00 Registered Sports facilitiesMahlomelong Surfacing of Main Access Road R 6,850,000.00 R 1,582,316.19 Construction Roads & s/waterHlohlokwe Low Level Bridges R 2,000,000.00 R 2,000,000.00 Construction Roads & s/waterWillows Sports Field R 5,780,000.00 R 0.00 Construction Sports facilitiesRakgolokoane to Enable Access Road R 16,500,000.00 R 2,013,833.93 Design & Tender Roads & s/waterPMU Management fee Maruleng LM R994309.92 R 994,309.92 No status PMU

Source: All MIG projects, 2011 June

As stated in the 2011 monthly non-financial report on MIG, Mopani district, Ba-Phalaborwa, Giyani, Tzaneen and Maruleng submitted their June 2011 MIG reports. However, these reports do not have the signature of the accounting officer as required. Mopani district, Giyani, Tzaneen and Maruleng did not report the status of Project Management Units in their reports. In Ba-Phalaborwa, Giyani, Tzaneen and Maruleng most projects are about roads and water. Ba-Phalaborwa has completed six of its 13 projects. In Giyani only three of its 12 projects have been completed. Tzaneen has managed to complete three of its seven projects. In Maruleng most projects are at a construction phase.

7. VULNERABILITY CLASSIFICATION

The DCoG Municipal Spatial Classification System was designed to develop municipal profiles according to spatial location, based upon results from indicator sets on functionality, socio-economic profile and backlog status. Its purpose is to inform a differentiated approach to municipalities.

The four municipal classifications developed by DCoG are:Class 1: Most vulnerable (57 local municipalities)Class 2: Second most vulnerable (58 local municipalities)Class 3: Second highest performing (58 local municipalities)Class 4: Highest performing (58 local municipalities)

The five local municipalities in the Mopani District can be classified as follow:

Table 6: Vulnerability Classification

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Local Municipality ClassificationBa-Phalaborwa Second highest

performingGreater Giyani Most vulnerableGreater Letaba Most vulnerableGreater Tzaneen Second most

vulnerableMaruleng Most vulnerable

From this table it is evident that three of the five local municipalities in the Mopani District fall into the most vulnerable category.

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