MMC delivers ‘People’s Budget’ speech
R274.5m will be dedicated to the re-blocking and electrification of 12 additional informal settlements within the remainder of the term.
Kwa-Thema – Delivering what is dubbed as the ‘People’s Budget’, the MMC of Finance, EPMO (Enterprise Project Management Office) and ICT, Nkululeko Dunga, has assured the residents of Ekurhuleni that the budget will cater to their needs.
He delivered his budget speech at the OR Tambo Government Precinct. The metro has been plagued with service delivery protests and instability with the DA-led administration voted out of leadership two months ago in council.
The budget is said to priories the issues that were raised during the consultative meetings, which were carried out throughout the metro which include electricity, drinkable water, refuse collection and crime.
Dunga said the budget and everything else depends on the availability of electricity.
“As it stands the city dependents on Eskom for electricity, which currently does not have a believable and concrete plan to end load-shedding and bring about electricity supply stability.”
In his budget speech, Dunga allocated R277.5m towards the upgrading of substations, network enhancement program, bulk services to new developments programme, broadening the service to new developments and informal settlements, and also upgrading of the ageing backbone electrical network.
John Dube and Daggafontein are two such developments earmarked to benefit from such upgrades.
A further R274.5m will be dedicated to the re-blocking and electrification of 12 additional informal settlements within the remainder of the term.
To address the electricity blackouts, the metro has committed to providing solar panels to people in informal settlements.
“In 2022, we were able to achieve an annual economic growth of 2, 9%, which was higher than the Gauteng one of 2,7% and that of South Africa’s growth rate of 2%,” he said.
“The proposed revenue of the overall budget is R55,3b, which is made up of R22b from the sale of electricity, R8,6b from property rates, R6,7b from water revenue, and R3,2b from sanitation revenue.
“A further R1,8b has been collected from refuse revenue, R1,3b from interest earned on outstanding debts and just under R5b from interest earned on investments, rental of facilities and equipment, licences and permits, and other sources of revenue.
“We also receive R6,2b from other revenue sources such as national and provincial governments in the form of equitable share and conditional grants.”
Dunga added that they are going to take steps to contain revenue leakages to ensure that there is a maximum collection of rates and taxes from those who should and can pay for rates and taxes.
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“We are going to switch off electricity for people who are using electricity but can afford it, yet choose not to pay.
“We are introducing Operation Siyacima Manje–Namhlanje directed at companies, SOEs and government departments that owe the city millions.
“They must make payments within seven days after this speech or risk being cut off, in line with our credit control policies,” he said.
The metro has allocated R256m to prioritise roads and stormwater construction. Part of this money will be used to rehabilitate roads and clean stormwater drainage.
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To fight the waste backlog, the metro has allocated R2.8b for environment and waste management and will use R54m of the allocated budget to buy waste collection trucks.
Twelve trucks have been bought, of which two were delivered at the beginning of the month, two will be delivered next week and eight will be delivered in July.
A total of R47m has been allocated to ensure that waste disposal and landfill sites are always operational and clean to avoid unnecessary disruption of waste collection.
To revive the bursary scheme that was operated in the mayor’s office, R15m has been allocated.
