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Not spending disaster funds
27 June, 2025   Governance

When disasters strike, the National Disaster Management Centre, under the Department of Cooperative Governance and Traditional Affairs, can disburse two types of grants: response grants for emergency relief – such as urgent repairs to infrastructure and emergency provision of goods and services – and recovery grants to support the longer-term rehabilitation and reconstruction.

In the 2023/24 financial year, R873-million rand in disaster response grants was allocated to 75 municipalities. Yet only 25 municipalities spent 80% or more of their funding. Thirty municipalities didn’t spend a cent. By year-end, just R220.5-million – 25% of the total available – had been used.

King Sabata Dalindyebo local municipality, where Mthatha is based, was one of 22 municipalities in the Eastern Cape that received disaster relief funding in the 2023/24 financial year. It was granted R5.4-million and spent 94% of it, which is encouraging.

Unspent funds may be reallocated by the National Treasury unless already committed to projects.