Forum shuts down NC municipality over lack of economic opportunities

MAGARENG Municipality in Warrenton was closed this week as no senior management official or political leader was available to receive a memorandum from local small, micro and medium enterprises (SMMEs) regarding a lack of economic opportunities.

The Magareng Local SMME and Magareng LED Forum stated that they also halted a fibre project, where workers were instructed to put down their tools as the municipality had apparently excluded local contractors and SMMEs from participating in the roll-out.

A resident, Dineo Moleko who lives in Voortrekker Street, has meanwhile threatened the municipality with legal action as she believes that there was no consultation over the fibre project.

"The pole (that was installed for fibre purposes) is an eyesore and I did not give permission to have it erected in my front garden," said Moleko.

“There is a power box right next to the pole and what will happen in the event of an explosion?”

She added that she was not interested in having fibre.

The irate resident has given the municipality seven days in which to remove the pole, failing which she would take legal action.

The Magareng Local SMME and Magareng LED Forum stated that the municipality had an obligation to facilitate procurement opportunities for local businesses and contractors.

“The municipality has a duty to promote the social and economic development of the community. Warrenton in particular is faced by the triple challenges of inequality, poverty and unemployment. The municipality should structure its budget to improve the quality of life of its communities and uplift local businesses and SMMEs.”

The forum stated that Magareng Municipality had one of the biggest budgets for the procurement of goods and services in the area.

“Some of the procurement projects within the Magareng district where local contractors were marginalised include Doernhof, Ikhutseng stadium, RDP houses and the water purification treatment plant. These projects were awarded to the outside contractors while the community did not benefit.

“Magareng contractors are relegated to being permanent sub-contractors with little room for growth.”

The local businesses stated that the sub-contractor at the water purification treatment plant had received an appointment letter almost two years ago without being given any work.

“Local sub-contractors abandoned their jobs because there were never any monetary benefits.

“The RDP houses, Amandla, was identified as one of the main contractors while local sub-contractors were unable to improve their gradings.

“Out of the R90 million and the extensions at the water purification treatment plant there was no skills transfer for local contractors.”

The forum added that site managers who were brought on-site at Ikhutseng stadium and for the construction of RDP houses, were sub-contractors who were brought to Warrenton to improve their gradings at the expense of local sub-contractors.

“The failure of outside contractors to transfer skills to the locals and the poor relationship between outside main contractors and local sub-contractors has made us realise that we need to stand up and fight for what is ours here in Warrenton. We will mobilise local SMMEs and the local community to take radical action against the enemy that is against local upliftment and empowerment.”

The businesses insisted that they should be awarded work on the internal water reticulation network in Ditshotswaneng, Rabatji and Sonder Water phase 2 and 3 as well as the upgrading of Ikhutseng sporting facility phase 2.

“The work will not be carried out by any contractor other than the ones from Warrenton who have the capacity and the ability to do the work.

“The continued outflow of money from Warrenton is having a negative impact on our communities. Poverty and unemployment are at their highest, our people are depressed and anxious. The people from outside only come here to profit and spend our money elsewhere.”

The acting municipal manager of Magareng Municipality, Tumelo Thage, said the Speaker, Bonakele Plata, received a memorandum from the Magareng Local SMME and Magareng LED Forum on August 10.

“Our omission to deal with each and every aspect of the memorandum at this stage must not be interpreted as an admission to the matters raised in the memorandum. The municipality seeks to consult further on the legality of some of the demands made by the Magareng Local SMME and Magareng LED Forum,” said Thage.

He condemned the unfortunate incident that ensued where municipal officials were instructed to vacate their offices at the main office building on Wednesday.

“This action, which was a safety concern for employees, and the risk of property damage led to the closing of the municipality for the day. The municipal offices will be opened on August 11.”

Thage stated that if there were any further disruptions, they would request the assistance from the SAPS and other law enforcement agencies to manage the situation.