[Mafikeng] — The North West Provincial Treasury is pleased to announce significant progress in the audit outcomes of the North West municipalities as highlighted in the Auditor General’s 2022-23 report.
Auditor General Tsakani Maluleke’s recent presentation to Parliament underscores a noteworthy achievement: eighteen (18) municipalities, including several in North West, have successfully moved out of the negative audit category. This progress is a testament to the concerted efforts and enhanced support from provincial and national governments.
Of the twenty-two (22) municipalities, twenty-one (21) submitted Annual Financial Statements for the 22/23 financial year except Ditsobotla Local Municipality. Three (3) municipalities, namely; Dr Kenneth Kaunda, City of Matlosana and Moses Kotane obtained unqualified opinions in 2021/22 and 2022/23 financial years. Moses Kotane obtained Unqualified Audit Opinion in 2021/22 financial year, in 2022/2023 it regressed to Qualified Audit Opinion. Moretele improved to Unqualified Audit Opinion in 2022/2023 financial year.
In 2021/22 Financial Year ten (10) municipalities namely Bojanala District, Moretele, Rustenburg, JB Marks, Dr RSM, Kagisano Molopo, Greater Taung, Mahikeng, Ramotshere and Tswaing received qualified Audit Opinions. In 2022/23 an improvement of two more qualified audit outcomes was registered and these municipalities are Kgetleng-Rivier and Ngaka Modiri Molema District Municipality.
For 2022/23 financial year, the improved audit outcomes were recorded by Moretele from Qualified to Unqualified, Ngaka Modiri Molema District Municipality from Adverse to Qualified and lastly Kgetleng-Rivier Local Municipality from Disclaimer to Qualified Audit outcomes.
In the 2021/22 financial years, disclaimer Audit Opinion was registered in seven (7) municipalities namely, Kgetleng, Madibeng, Maquassi Hills, Lekwa Teemane, Mamusa, Naledi and Ratlou. In 2022/2023, there were improvements which resulted in reduction of disclaimer from seven (7) to four (4), and the four remaining are; Maquassi Hills, Lekwa Teemane, Mamusa and Ratlou Local Municipalities.
In 2022/2023 financial year, only Madibeng and Naledi received adverse Audit Opinions. Notwithstanding that only one municipality did not submit, the number of disclaimers have decreased, number of qualified audit opinion has increased which indicates an improvement and sustained improvements in terms of unqualified audit opinions.
Despite persistent challenges, there have been positive strides. Importantly, the support by the provincial governments has played a crucial role in this improvement, demonstrating our commitment to better financial and performance management. In recognition of the challenges experienced by Ditsobotla, the provincial government through the Provincial Treasury assisted Ditsobotla Local Municipality by preparing and ensuring that the 2021/22, 2022/23 including the 2023/24 financial statements are submitted by August 2024 and this significantly reduces the number of outstanding AFS for Ditsobotla.
The North West Provincial Treasury remains dedicated to supporting municipalities in enhancing their financial health, compliance with legislation, and service delivery. We continue to work diligently to address areas of concern and foster a culture of accountability and performance.
ENDS
Issued by North West Provincial Treasury
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