Provision of a Municipal Service through an external mechanism: The Local Government: Municipal Systems Act No.32 of 2000 (‘MSA’)- sections 76 - 78
16 January 2018, Perino Pama
Section 76 of the MSA states that a municipality may provide a municipal service through either an internal or external... mechanism. An external mechanism includes a municipal entity, another municipality, an organ of state, a community-based organisation or other non-governmental organisation (NGO), or “any other institution, entity or person legally competent to operate a business activity. Thus, it is permissible to provide a municipal service through a public-private partnership (PPP) agreement with a private sector entity.