JOHANNESBURG - City of Johannesburg mayor Dada Morero blames the R23 billion irregular expenditure on electricity and water costs.
The City is under pressure to get its finances in order and start delivering proper services to its residents.
Finance Minister Enoch Godongwana wrote a scathing letter to the mayor, warning him to turn things around or face national intervention.
"The R23.6 billion in unauthorised, irregular, and fruitless expenditure is a cumulative figure that has progressively increased in the City’s financial statements over the years," he says.
"During this time, these expenditures were largely unaddressed and not regularised as required by the MFMA," he added.
Morero goes on to explain that most of the unauthorised expenditure is due to bulk purchases of electricity and water that exceeded the approved budget.