The troubled department of water & sanitation has received yet another qualified audit opinion, amid a water crisis in some of SA’s provinces. The department, which has a budget of R15.5bn for the 2018/2019 financial year, tabled its annual report in parliament last week. It showed that little improvement had been made in its financial management. In the department’s annual report, auditor-general Kimi Makwetu pointed out that the Water Trading Entity had incurred fruitless and wasteful expenditure of over R1bn and irregular expenditure amounting to R4.9bn for the year ended March 2018. It incurred an overdraft of R1.4bn, down from R2.1bn in the previous year. "As stated in … the accounting policies, these events or conditions, along with other matters … indicate that a material uncertainty exists that may cast significant doubt on the entity’s ability to continue as a going concern," said Makwetu.
Effective steps were not taken to prevent irregular expenditure, as well as fru...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.