Stiff tariff hikes imposed in Tshwane

23/05/2013 Executive Mayor of Tshwane Kgosientso Ramokgopa before delivers his 2013/23014 medium-term revenue and expenditu police statement at Sammy marks Council chambers. Picture: Phill Magakoe

23/05/2013 Executive Mayor of Tshwane Kgosientso Ramokgopa before delivers his 2013/23014 medium-term revenue and expenditu police statement at Sammy marks Council chambers. Picture: Phill Magakoe

Published May 24, 2013

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Pretoria - Tshwaneresidents should brace themselves for an increase in water, electricity, sanitation and waste collection tariffs in this financial year - but a significant property rates cut is also on the cards for residential households.

This is according to the city’s budget presented on Thursday by executive mayor Kgosientso Ramokgopa in the Tshwane Metro Council chambers.

Ramokgopa announced that tariffs for electricity would increase by 8 percent, solid waste by 25 percent, and water and sanitation each by 10 percent.

However, he also announced what amounted to a 37 percent reduction on residential property rates, with the poor, elderly and those with disabilities poised to benefit from significant rebates.

The budget, welcomed and described by some opposition party members as progressive, also unveiled an aggressive approach to infrastructure development, with a capital budget of R4.3 billion.

Overall pay increases for municipal employees amount to 6.58 percent in 2013/14 and 6.4 percent for the 2014/15 financial year.

The budget also provides for the roll-out of 800 000 prepaid electricity meters over 24 months in a move to secure revenue for the city and encourage the cautious use of electricity.

Funding of R445.1 million has been allocated for infrastructure projects around the city, including the Bus Rapid Transit project, in the financial year starting on July 1.

A total of R45m has been budgeted for the roll-out of CCTV cameras in the eastern part of the city, while R373.3m has been allocated for the improvement of internal roads in the northern areas, including Winterveld, Mabopane and Ga-Rankuwa.

A further R154m has been allocated to reduce flooding by improving drainage canals and networks.

Ramokgopa said the budget had to be seen in the context of challenging financial times in the country and globally.

Money was being channelled towards improving the lives of all city residents, he said.

“Every cent in this budget remains payable to our citizens through the materialisation of improved roads, health and emergency services; secure and affordable electricity; recreation and education for our youth; efficient transportation networks and the safety of our communities and elderly.”

Significant amounts of money have also been allocated for housing-related projects, with nearly R100m set aside specifically to buy land to build more low-cost housing.

“We’ve always said we need our people to live closer to where they work. For that purpose we have allocated this money. If people are in Pretoria North because that is where they work or it is closer to where they work, we must buy them land and create low-cost housing there,” Ramokgopa emphasised.

Developing roads and stormwater infrastructure for low-cost housing has been allocated R383.8m in the next financial year. A further R50.6m has been allocated for water provision at project-linked housing and sewerage for low-cost housing.

“The budget reaffirms our commitment to redressing the imbalances and prejudices of the past and to rebuilding a Tshwane we want to live in today and inherit tomorrow.”

Ramokgopa’s budget speech, delivered to the packed chamber and televised live on a screen at Church Square, has received mixed reactions, with the DA and Cope welcoming it with caution.

“I like what I was hearing. I like that he is going to give attention to basic services we’re lacking in the city. For instance, street lights, power outages and potholes - but (Ramokgopa) didn’t go that big on potholes,” said DA spokeswoman on finance Adrianna Randall.

“I was glad with the property rates, because R100 or R120 makes a difference (to) a family in these trying financial times.

“I like what (Ramokgopa) said about the capital budget, but the concern is about projects that do not get finished.

“If we are going to have infrastructure projects, we need to finish them so that we avoid massive backlogs.”

But Cope’s leader in the council, Katlego Mathebe, was not convinced, saying the mayor had the opportunity to ensure long-term human development in the city.

“Today’s budget speech is no different from other budget speeches that the ANC government has delivered all these years,” Mathebe said.

“However, from the speech we are able to see that the budget will be intensely focused on infrastructure development, which is good, but not adequate.

“The ANC is continuing to miss the opportunity to develop the people of the city to ensure long-term human development that will ensure an economically independent citizenry.

“The budget will create only a few short-term and unsustainable jobs, which will not uproot poverty and unemployment.”

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