[Webinar] Restructuring Powers and Functions: Expanded Role of Local Government

Powers, Functions and the Future Shape of Local Government | 2026 White Paper Series, Webinar 2 Hosted by Future Cities Africa and The Municipal Edge Platinum sponsor: Business Engineering This webinar focused on Chapter Two of the draft White Paper on Local Government - arguably its most consequential chapter - which proposes a fundamental restructuring of how municipalities are organised, what powers they hold, and how those powers relate to provincial and national government. Three panelists with direct knowledge of the system engaged in one of the most candid exchanges in the series: a member of the drafting team, a seasoned municipal practitioner, and SALGA's financial resilience advisor. SPEAKERS Prof. Jaap de Visser - National Research Chair in Multilevel Government, Dullah Omar Institute Prof. de Visser presented the two proposals in Chapter Two. Proposal One is radical: a single tier of local government with new constitutional categories, each carrying a predefined set of functions - from a reduced rural mandate to an expanded metropolitan one. Requires constitutional amendment and a 10 to 15 year horizon. Proposal Two is less radical: keep current categories but broaden the definition of Category A to allow secondary cities like Polokwane and George to become standalone municipalities, and reorient districts back to their original support and coordination role. Anton Groenewald - Group Head Regional Operations, City of Tshwane Anton challenged the premise that restructuring the system will fix what is broken. South Africa is changing the playing field, the rules and the referee - but the problem is the players. The AG's March 2026 report found only 53% of municipalities had competent senior managers. Weak political leadership appoints weak management. Weak management produces weak performance. No structural reform changes that equation. He also argued that R51 billion in unfunded mandates sits alongside R50+ billion in irregular and unspent expenditure - a resource reallocation opportunity that requires no constitutional amendment. Good performance must be rewarded. The current system incentivises failure. Mr. Nkosinathi September - Senior Advisor: Financial Resilience, SALGA SALGA will not support any reform that dilutes municipal constitutional status or perpetuates unfunded mandates. Funds must follow functions. The current equitable share allocation of 9.7% of nationally raised revenue is based on 1998 assumptions and must increase to 17-18% to close the fiscal gap. Provincial oversight must shift from compliance enforcement to structured support and early warning. KEY TAKEAWAYS Structural reform alone will not fix the crisis - weak leadership and weak oversight will reproduce the problem in any new system The legislation already contains many solutions - intermunicipal agreements and MFMA provisions are underused Differentiation must apply to grant allocations, not only powers and functions R51 billion in unfunded mandates represents a reallocation opportunity requiring no legislative change Provincial oversight must be rebalanced from compliance to support Municipal functions need clearer regulatory definition - mandates have been interpreted unevenly CPD points available - contact [email protected] Hosted by Dan Claasen, MD, Future Cities Africa Moderated by Mr. Zolani Zonyane, Editorial Director, The Municipal Edge