RATEPAYERS in the Nelson Mandela Bay Metro could soon be digging deeper into their pockets as proposed tariffs will increase, according to the proposed budget delivered in council last week.
However, in order to pass the proposed budget, a majority agreement of the council members will be needed. A council meeting to discuss the proposed budget will be held today.
The Nelson Mandela Bay Executive Mayor, Mongameli Bobani, presented the proposed budget with the majority of funded projects aimed at supporting development in the poorest areas of the city.
According to the proposed budget, of the R1.8 billion apportioned in the Capital Budget, R835 million is allocated to poorer wards.
The proposed tariff for property rates tax could increase with 7.7%; water, sanitation and refuse with 7.5% each; and electricity with 13.04% (on average pending NERSA approval).
“To take our city forward, it requires sacrifice from all of us. Unfortunately, increases must be effected to comply with national requirements and to enable us to implement our vision,” Bobani said.
Bobani said during his proposed budget speech that a safety and security summit was in the pipeline.
“This summit will comprehensively look at crime prevention, law enforcement and other aspects of criminality. A prosperous city cannot continue to flourish if crime is not addressed efficiently,” Bobani said.
To this end, R29 million was allocated to acquire specialised vehicles and equipment in the fight against crime.
The proposed budget allocated R200 million for Human Settlements, which will go towards the servicing of 2 000 housing sites and land acquisition to all qualifying residents.
PROPOSED TARIFF INCREASES
Water, sanitation and refuse – 7.5% each
Property rates tax – 7.7%
Electricity – 13.04%
PROPOSED SPENDING OF CAPITAL BUDGET
R29 m – Fight against crime
R49.5 m – Upgrade of three cemeteries, develop public open spaces and develop more waste disposal facilities
R44 m – Sport and Recreation: Construction of multi-purpose centres in Wards 17, 21, 34 and 42; upgrades to main library and some sporting facilities
R482 m – Infrastructure and Engineering: tarring of gravel roads, resurfacing of existing roads and construction of sidewalks
R223 m – Upgrading and construction of substations, electrification of houses and other important deliverables
R1 m – Improve current infrastructure at municipal pound in Uitenhage
In addition, Bobani allocated R27 million to electrify 1 297 RDP houses and R30 million to electrify 2 500 informal dwellings.
However, according to ACDP councillor, Lance Grootboom, the ACDP submits that the increase in tariffs would definitely eat into the already reduced incomes of the poor and lower income groups in NMB.
Grootboom added, “It is clear from the way this budget is structured, and various other ways this metro is being run, that the current administration do not care about the people of this metro and believe they are above the long arm of the national Treasury’s law and regulations. Therefore, the ACDP cannot support a budget that will economically oppress residents and businesses in NMB due to mismanagement of this ANC/UDM/EFF led coalition.”
Marlon Daniels from the PA told PE Express that they will not be supporting the budget simply because the PA is not happy with how the money is being spent in the metro.
“We cannot just raise our hands in support if our own constituents are not the direct beneficiaries thereof. What the PA asked for the northern areas, has not been granted and is also very vaguely being dealt with. The PA will not support the budget, which will be tabled today,” Daniels commented.
DA councillor, Athol Trollip, said that the DA would also not be supporting the budget.
“The budget processes are extensive and compliance of all requirements is not negotiable.
“This coalition has not fulfilled these requirements. What’s more is the fact that this budget simply ignores the economic realities of the country and this city and it will lead to economic shrinkage and more job losses which will be catastrophic. The DA has made the most comprehensive submissions on this budget’s shortfalls and they have been ignored,” Trollip said.
Nelson Mandela Bay Proposed budget 2019/20 speech by Tanya van Zyl on Scribd
