A municipality must review and decide on the appropriate mechanism to provide a municipal service in the municipality or a part of the municipality—
| (a) | in the case of a municipal service provided through an internal mechanism contemplated in section 76, when— |
| (i) | an existing municipal service is to be significantly upgraded, extended or improved; |
| (ii) | a performance evaluation in terms of Chapter 6 requires a review of the mechanism; or |
| (b) | in the case of a municipal service provided through an external mechanism contemplated in section 76, when— |
| (ii) | the service delivery agreement is anticipated to expire or be terminated within the next 12 months; or |
| (iii) | an existing municipal service or part of that municipal service is to be significantly upgraded, extended or improved and such upgrade, extension or improvement is not addressed in the service delivery agreement; |
| (c) | when a review is required by an intervention in terms of section 139 of the Constitution; |
| (d) | when a new municipal service is to be provided; |
| (e) | when requested by the local community through mechanisms, processes and procedures established in terms of Chapter 4; or |
[Section 77 substituted by section 41 of Act No. 51 of 2002]
