ETHEKWINI NEWSFLASH

FOR IMMEDIATE RELEASE

18 JUNE 2025

  

The most recent auction held by the City this month generated an impressive R19.8 million in revenue for eThekwini Municipality. A variety of goods, vehicles, and mixed scrap were available to purchase. The City’s auction team has raised over R100 million from 15 online auctions over the past two financial years which was revealed during a close-out meeting on 17 June. Most of the funds are redirected back to the unit that submitted the goods for disposal, to enhance service delivery. For the most recent auction there was a total of 529 people that came to view the goods on auction, with female potential buyers increasing by three percent.

 

While it is the norm to register between 90 and 120 participants per auction, this auction saw an impressive 259 approved buyers. Furthermore, 327 vehicles, 77 lots of goods and 11 lots of mixed scrap were sold. Mduduzi Tenza, Manager in the City’s Supply Chain Management (SCM) Unit, said: “The auction went well, and delivered the expected revenue given the number of items we auctioned. Raising over R19 million is an achievement where we sold most vehicles at over 80 percent of the reserved recommended price.”

 

Tenza said this was the second biggest auction in terms of figures, with the highest being a bus auction where R23 million was raised. He explained how the money collected is directed. “It is distributed to the relevant departments that submitted the goods for disposal. Once collection has been done, 75 percent is allocated back to line or user department and 25 percent is allocated to SCM for admin fees. The auctioneer also claims their commission as per their contract,” said Tenza. Auction Specialist Online Project Manager Phumzile Xaba said one of the key values they share with eThekwini Municipality is a commitment to the economic growth of previously disadvantaged communities. She said they have also witnessed a major shift in the industry post-COVID 19, with auctions moving to digital platforms.

 

Through this transition, eThekwini Municipality, in partnership with Auction Specialist, has created a safe and inclusive environment where previously disadvantaged individuals are supported and empowered to participate in online bidding. These digital auctions have also offered a fair and intimidation-free space, particularly for smaller buyers who may have been hesitant to participate in traditional auction settings.

 

Xaba said: “It has been rewarding to witness the confidence and growth of these buyers as they expand their businesses through assets acquired from eThekwini auctions. This visible economic transformation is one of the most meaningful outcomes of our collaboration.”

 

Five auctions in the 2024/25 financial year have been hosted by the Municipality. 

 

For more information on the next online auction, keep an eye on the City’s social media platforms.

 

ENDS