A growing municipal debt crisis is threatening basic services at 138 schools in Ekurhuleni, where unpaid bills exceeding R81 million have placed institutions at risk of water and electricity disconnections, with some schools already left in the dark as the municipality moves to enforce service cuts.
The scale of the crisis was revealed in a written reply by Gauteng MEC for Education Matome Chiloane to questions posed by the Democratic Alliance (DA) in the Gauteng Provincial Legislature.
Responding to questions about responsibility for the mounting debt, Chiloane said the liability rests with the schools themselves.
“The schools have been allocated Section 21(1) (c) functions as per the South African schools Act, 1996 (Act No.84 of 1996). These schools are responsible for the payment of municipal services.”
He said several factors have contributed to the escalating debt, particularly the financial strain faced by schools serving low-income communities.
“Reasons for non-payment include misalignment between National Norms and Standards allocations and escalating municipal tariffs and limited capacity of SGBs in no-fee and low-income communities to supplement state funding,” he added.
Chiloane also clarified that public schools are not subject to Treasury compliance regulations, as they are not recognised as public entities under the Public Finance Management Act.
He further revealed that the Gauteng Department of Education itself also owes the City of Ekurhuleni money.
“As from 31 January 2026, the Gauteng Department of Education owed the City of Ekurhuleni R314,613.75 for electricity accounts for schools under its direct administration.”
Amid fears of further service disruptions, Chiloane said the department had implemented urgent measures to prevent additional disconnections. These include prioritising allocations for municipal services, strengthening district monitoring of school payments, and participating in the Provincial Debt Management Committee to address outstanding accounts.
Despite the province’s financial constraints, he said the department had prioritised allocations intended to cover municipal services and issued directives to schools on how to manage and administer their funds during the country’s uncertain economic climate.
However, DA Gauteng education spokesperson Michael Waters said the party had repeatedly warned that forcing schools to carry operational costs that should be managed by the department would lead to exactly this kind of crisis.
“These warnings have largely been ignored, with the Gauteng Department of Education (GDE) instead placing unnecessary pressure on schools to cover basic operational costs.”
Waters warned that the consequences could be devastating for learners if services are cut.
“If schools are disconnected from electricity or water due to unpaid municipal accounts, teaching and learning will come to a halt. Any responsible government would recognise that schools require reliable access to electricity, water, and sanitation services to operate effectively,” he added.
He said the situation highlights the widening gap between the funding allocated to schools and the real cost of running them, particularly as municipal tariffs continue to rise.
“The DA urges GDE MEC Matome Chiloane to urgently address this crisis before learners pay the price for financial mismanagement and chronic underfunding,” he said.
The Star
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