by Cllr. Ofentse Mokae – DA Member of Sol Plaatje Council Committee on Local Economic Development, Urban Renewal and Tourism
Date: 31 August 2017
Type: Press Statement
The Democratic Alliance is concerned that some of the local SMMEs that participated in the 2017 Annual Diamond and Dorings Music festival have not been paid yet, four months after the event.
Small, medium and micro enterprises (SMMEs) play an important role in the local economy of our city, providing much-needed opportunities for employment.
It is completely unacceptable that the municipality, through its implementing agent, Macronym 37, has not ensured that local service providers have been paid for services rendered.
During a committee meeting this week, it emerged that a number of local businesses are yet to receive payment for participating in this event.
Treasury Regulation 8.2.3 provides that “Unless determined otherwise in a contract or other agreement, all payments due to creditors must be settled within 30 days from receipt of an invoice or, in the case of civil claims, from the date of settlement or court judgement”.
While government wants to build small businesses, it is doing more harm than good through late payments for their services.
As committee members we are often inundated with complaints from local businesses that despite supplying goods and rendering services satisfactorily, are not paid timeously.
I have therefore written to the Chairperson of the Portfolio Committee on Local Economic Development and Tourism, Cllr Mpho Moshweu, to instruct the Chief Financial Officer to speed up the process of ensuring that these payments are effected.
If the payments are not made, I will call for the CFO to be hauled before the committee to answer and provide reasons why this has not taken place.
Cllr. Ofentse Mokae
DA Member of Sol Plaatje Council Committee on Local Economic Development, Urban Renewal and Tourism
076 108 3264