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Cogta warns municipalities against wasting R1.2 billion disaster relief

Posted on July 8, 2025

Batches of disaster relief funding will be paid to affected municipalities who will be tasked with coordinating relief efforts.

A hefty sum has been allocated to several municipalities ravaged by flooding and severe weather in June.

Minister of Corporate Governance and Traditional Affairs (Cogta) Velenkosini Hlabisa announced a R1.2 billion disaster relief fund on Monday.

At least 107 people were killed in the Eastern Cape and bordering provinces, while the areas suffered an estimated R6.3 billion in infrastructure damage.

Eastern Cape flood relief

The disaster relief funding will be released in three batches, starting with a R151.3 million provincial response grant on 11 July.

A R395 million municipal response grant will be released on 18 July, with the final release of R708.9 million scheduled for 28 August.

The Eastern Cape suffered the loss of at least 103 lives, with the OR Tambo municipality being the hardest hit with 79 casualties.

The province will receive the largest portion of the funds, including R504 million from the final August payment.  

Hlabisa asked municipalities to begin preparing their disaster relief efforts and warned that future grants would be suspended should these funds be wasted.

“We want all municipalities to know ahead that this money is coming, and they must activate their project processes,” said Hlabisa.

“Recipients of the funds must follow established reporting protocols and use the required templates to ensure accountability in their financial disclosures,” he explained. 

Waste warning

Hlabisa was aware of the tactics used by those who abused state resources, recognising the potential for price inflation and mismanagement.

To guard against this, Cogta will deploy teams to the affected areas to verify infrastructure damage and associated rebuilding costs.

He also warned against inadequate workmanship, poor infrastructure planning and the diversion of funds from intended projects.

“If there is no accountability, money will not be released. It will be as simple as that,” he cautioned. 

“By ensuring transparent, accountable, and strategic fund allocation, government aims to not just repair infrastructure, but to restore hope and dignity to communities devastated by natural disasters.”

NOW READ: WATCH: Another tragic twist in Eastern Cape flood tragedy

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