Jo’burg initiates move to control city agencies

JOHANNESBURG mayor Herman Mashaba is moving closer to bringing the city’s agencies under the metro’s direct authority, the mayor revealed in a statement yesterday.

“On Thursday, Johannesburg City Council approved a report proposing the initiation of a process to reintegrate municipalowned entities,” Mashaba said.

He expressed displeasure that the managing directors and CEOs of the agencies reported to boards of directors and not the city.

He said this would save the city R18-million from the salaries of nonexecutive board members.

Mashaba said the proposed changes, expected to be completed in 18 months, were aimed at fostering accountability. He pledged that no jobs would be lost in the proposed restructuring. “We will be extremely sensitive to the issue of employment. There must not be job losses in this process.

“It is about bringing the existing workforce and management into the city structures to improve service delivery to our residents.”

The City of Johannesburg owns 12 entities – including City Power, the Johannesburg Development Agency, the Johannesburg Social Housing Company, the Johannesburg Roads Agency, Johannesburg Water, Metrobus and the Johannesburg Property Company.

“Each of these municipal-owned entities has a board of directors to whom the MDs or CEOs of these entities report.

“It is these boards that direct the activities of MDs or CEOs, and not the City of Johannesburg,” read the statement.

The move towards centralisation is a far cry from what Mashaba, a free market advocate and former chairman of the Free Market Foundation, initially said he would do if elected mayor.

Earlier in his tenure as mayor he threatened to break up waste management company Pikitup into seven segments and consider private partnerships.

However, it would appear that political pressure scuppered his wishes as he has since backtracked following fierce opposition from unions.