Housing Development Agency Act, 2008
R 385
Municipal Systems Act, 2000 (Act No. 32 of 2000)Chapter 8 : Municipal ServicesPart 2 : Provision of services82. Municipal entities |
| (1) | If a municipality intends to provide a municipal service in the municipality through a service delivery agreement with a municipal entity, it may— |
| (a) | alone or together with another municipality, establish in terms of applicable national or provincial legislation a company, co-operative, trust, fund or other corporate entity to provide that municipal service as a municipal entity under the ownership control of that municipality or those municipalities; |
| (b) | alone or together with another municipality, acquire ownership control in any existing company, co-operative, trust, fund or other corporate entity which as its main business intends to provide that municipal service in terms of a service delivery agreement with the municipality; or |
| (c) | establish in terms of subsection (2) a service utility to provide that municipal service. |
| (2) |
| (a) | A municipality establishes a service utility in terms of subsection (1)(c) by passing a by-law establishing and regulating the functioning and control of the service utility; |
| (b) | A service utility is a separate juristic person; |
| (c) | The municipality which established the service utility must exercise ownership control over it in terms of its by-laws. |
