Home South Africa News Mpumalanga Steve Tshwete Municipality and SAMWU Clash Over R23 Million Waste Truck Lease

Steve Tshwete Municipality and SAMWU Clash Over R23 Million Waste Truck Lease

The South African Municipal Workers Union condemns the Mpumalanga municipality's three-year leasing deal as a waste of public funds, while the local government defends the contract as a necessary move to improve service delivery.

Steve Tshwete Municipality and SAMWU Clash Over R23 Million Waste Truck Lease
Mpumalanga news: Steve Tshwete Municipality and SAMWU Clash Over R23 Million Waste Truck Lease. AI-generated image for illustrative and fair representation purposes only.

MIDDLEBURG, Mpumalanga — A fierce dispute has erupted between the Steve Tshwete Municipality and the South African Municipal Workers Union (SAMWU) over a controversial three-year lease agreement for waste collection trucks. While the local government insists the deal is essential for reliable service delivery, the labor union has strongly condemned the move, labeling it a massive waste of public funds.

According to a spokesperson for SAMWU, the municipality’s decision to outsource the service is unnecessary and financially irresponsible. The union highlighted that out of the 14 compactor trucks currently owned by the municipality, only seven are operational. Instead of signing a new lease, the union argues that the local authority should invest in repairing its existing, non-functional fleet. The spokesperson estimated that servicing the broken-down trucks would cost roughly R1 million or slightly more.

In stark contrast, the new leasing agreement will cost the municipality over R600,000 a month—specifically cited as R630,000—totaling nearly R23 million over the 36-month period. SAMWU maintains that the local authority could have purchased its own trucks outright using the millions of rands that will now go straight to the private service provider.

However, a spokesperson for the Steve Tshwete Municipality strongly defended the leasing agreement, arguing that it will significantly strengthen waste collection capabilities and improve overall service delivery for residents. Explaining the rationale behind the hybrid operation, the municipal spokesperson noted that the seven currently operational trucks are aging infrastructure—over seven years old—and frequently break down due to insufficient maintenance.

To mitigate these disruptions, the newly leased trucks will be used to augment and capacitate the existing fleet. The municipality emphasized a key financial benefit of the lease: the maintenance of the new vehicles will be the sole responsibility of the service provider. Over the 36-month contract, any damages, mechanical issues, or maintenance costs associated with the leased trucks will be absorbed by the service provider, shielding the municipality from unexpected repair expenses.