Residents of Phola township in Witbank burnt down a municipal office during a protest against a lack of running water on Thursday, Mpumalanga police said.

They also damaged two councillors' houses and four of the water tanks supplied by the local municipality and blockaded roads, said Superintendent Abie Khoabane.

Police had to use rubber bullets to disperse a crowd after residents threw stones at passing cars.

"The situation is now under control as it seems municipal officials have entered into negotiations with the residents."

No arrests were made and no injuries reported. Police were monitoring the area.