Water and sanitation contractors staged a picket outside the eThekwini Municipality’s water department offices on 9 July 2026, demanding the settlement of outstanding invoices stretching back several months. The service providers, who handle critical repairs for burst pipes and sewerage systems, allege that administrative failures and a contentious new digital invoicing system have left them in severe financial distress.
Administrative Hurdles And Financial Distress
The protest follows a series of disputes regarding the City’s transition from manual processes to a digital procurement platform, which contractors claim is difficult to use and fundamentally flawed. Many small-to-medium enterprises (SMEs) report that the resulting payment delays have led to the repossession of essential business vehicles and equipment, alongside an inability to meet staff payroll obligations.
The City is not telling the truth. As SMMs, we are facing huge challenges because we are not paid.
Nozipho Mteshane, a member of the contractors’ task team, highlighted these frustrations during the demonstration. The group also raised concerns regarding the appointment of five ‘managing contractors’ tasked with allocating work, alleging the process lacked transparency and marginalised local service providers.
Municipality Response And Ongoing Verification
The eThekwini Municipality maintains that its payment processes are functional and part of a broader push to improve municipal governance and fiscal efficiency. EThekwini Chief Financial Officer Dr Sandile Mnguni stated that payments are being processed continuously across the city’s departments.
Payments are ongoing; since the beginning of April, over 6000 invoices, amounting to approximately R800m, have already been paid.
City officials have confirmed they are currently working to verify the specific details of contractors reporting payment delays to ensure accuracy in the settlement process. Contractor representative Zakes Ndlovu has warned that further industrial action is on the table if the municipality fails to address their grievances. The outcome of these discussions will likely determine whether essential maintenance services continue without further disruption in the coming weeks.