The chairperson of the KwaZulu-Natal ANC, Siboniso Duma, criticised the leadership of the eThekwini Municipality, saying the metro was "not led well", both politically and administratively.
He said National Treasury had already warned it would take back R1.2 billion if the municipality didn't use it for flood disaster-related projects before the end of the financial year.
In March, the metro lost R100 million from the Urban Settlements Development Grant and another R122 million from the Neighbourhood Development Grant because officials had failed to spend the money.