The metro’s budget speech was presented to council in the Germiston Council Chambers on Thursday.
Clr Moses Makwakwa, a member of the mayoral committee responsible for the finances of the metro, presented all the facts and figures.
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“I am humbled by the opportunity to once more present the Medium Term Revenue and Expenditure Framework for the period 2014/2015, in a year in which we are celebrating 20 years of a democratic government,” began Makwakwa.
Continuing in the theme of the mayor’s State of the City address, he described the “good story” of the past 20 years of service delivery, saying the budget has been crafted with the following view:
- To continue providing sustainable services, with much more improved quality.
- To accelerate the broadening of services to areas where there are none.
- To ensure that the city’s outlook enables us to be a preferred destination for growth and development.
“Today’s budget presentation is, indeed, a continuation of a journey that seeks to accelerate social, economic and infrastructure development,” Makwakwa said.
This maturing budget model is not only limited to responding to ward priorities, but to the metro’s developmental strategic priorities, underpinned by:
- Broadening of basic services, as the core area of focus.
- Intensification of job creation activities, as one of the building blocks of a livable city, including support for the development of youth, women and people with disabilities.
- Development of a more efficient and competitive Infrastructure, through the flagship projects.
- Good governance and clean administration.
- Social cohesion in pursuit of a prosperous city.
While the local economy has shown resilience in the wake of recent economic difficulties, it was and is still not immune from the consequences of the unstable global economy.
“Like the country’s economy, the metro’s economy is still characterised by slow economic growth,” said Makwakwa.
“Despite our skills, job creation, as well as economic empowerment initiatives, the unemployment rate remains a major concern, particularly the 36.9 per cent youth unemployment.”
The metro stated that they will strive to contain their operating costs by focusing on the following cost elements:
- Consultancy and legal fees.
- Uncontrolled overtime.
- Printing and production of t-shirts.
In terms of cash flow management, the metro will initiate quarterly budgeting and cash flow management as part of driving capital expenditure.
The capital investment of R12-billion will be spent in the following manner:
Transport:
- R441-million for the Integrated Rapid Public Transport Network of which construction has commenced.
- R93-million for the construction of intermodal transport facility in Germiston in support of PRASA, taxi ranks such as a new Natalspruit Hospital, Bluegumview, Palm Ridge.
- R40-million for the replacement of municipal buses.
Roads and Storm water:
- R135-million for the continued rehabilitation of roads.
- R78-million for roads infrastructure in the low cost housing areas.
- R63-million for the construction of tertiary roads.
- R100-million storm water upgrades.
Energy:
R1.9-billion will be spent on the electricity network infrastructure and the main projects are:
- R26-million increasing the provision of public lighting covering street and 72 high mast lighting.
- R161-million towards corporate electrification.
- R47-million for the installation of protective structures and pre-payment meters to prevent electricity theft, vandalism and for safety.
- R92-million for substation and to minimise network downtime and unnecessary electricity outages.
Water and sanitation:
R1.3-billion will be spent on water and sanitation network infrastructure, main projects are:
- R150-million water loss programme.
- R100-million upgrading water networks.
- R66-million for human settlements essential services.
- R9-million in respect of emergency water and sanitation services to informal settlements.
Human settlement:
R1.2-billion will be spent:
- R7-million for land acquisition.
- R94-million for development of social housing and upgrading of council rental stock.
- R102-million was budgeted for urban renewal; this will include, among others, Tembisa, Germiston.
- R80-million for mixed use housing development.
Real Estate:
- R266-million has been allocated for development and renewal of public facilities such as densification of council buildings, Germiston Civic Precinct, upgrading of community parks and cemeteries.
Community safety:
- R235-million is set aside for the safety of residents.
Ekurhuleni Metropolitan Police Department (EMPD):
- R14-million for the construction and upgrading of Benoni, Edleen, Tokoza, Tembisa and Kempton Park Precinct.
- R92-million for additional vehicles.
Disaster and Emergency:
- R57-million for fire stations, this will cover among others Albertina Sisulu Corridor, Duduza, Kwa-Thema, Germiston, Thokoza and Katlehong.
- R29-million for specialized vehicles.
Information and communication technology:
R177-million is allocated in the following ways:
- R78-million towards the digitising of Ekurhuleni, providing youth with broadband connectivity.
- R97-million allocated for the system enhancement such as network and server.
Environmental resources management and waste management:
R138-million has been allocated in the following ways.
Environmental Resources Management:
- R6-million towards rehabilitation of Payneville Ext 3,Boksburg Lake, Natalspruit Catchment and degraded Wetlands.
- R4-million for upgrading the Ambient Air Quality Monitoring Stations.
Waste Management:
- 63-million for the upgrading of the Simmer and Jack and Platkop waste fill sites as well as and other public offloading facilities.
- R49-million for waste removal trucks.
Health and social development:
- R423-million has been allocated of which R329-million will be for construction and upgrading of the clinics in the following areas among others Villa Lisa, Dukathole, Selope Thema, Esangweni ,Tsietsi, Chief Albert Luthuli, Crystal Park, Khumalo, Motsamai and Bonaero Park.
Sports, recreation, arts and culture:
The metro have allocated R122-million:
- R46-million for the construction and rehabilitation of sport, art and other recreational facilities. It includes among others Duduza, Tembisa, Zonkizizwe, Eden Park and OR Tambo Precinct Narrative Centre.
- R20-million towards the construction of Germiston Theatre.
- R31-million for the construction of new libraries in Tsakane and Brakpan as well as rehabilitation of other libraries.
City planning and economic development:
The metro has allocated R63-million to spearhead planning and to facilitate the City’s economic development, growth and job creation.
The following form part of the broader economic development trajectory:
- The Integrated Aerotropolis development.
- Utilisation of strategic land to increase investments.
- Facilitation of Extended Public Works Programme and increasing public and large scale private sector investment through efficient investment facilitation processes.
Part of the total budget has been allocated as follows:
- R13-million has been allocated for the refurbishment of Springs Fresh Produce Market.
- R10-million will be invested towards the development of township economy.
- R8-million towards township enterprise hubs.
- R11-million for township industrial parks.
“The investment will be used towards skills development programme and the mainstreaming of small business as well as co-operatives into economic opportunities, all of which must largely target youth, women and people with disabilities.
“A piece of exciting news in this regard is that we have allocated R120-million for skills development and bursaries,” said Makwakwa.
“Our people will be pleased to know that we shall continue with the Lungile Mtshali Community Development Programme as part of closing service delivery gaps, improving social urbanisation and job creation.
“In this regard we are allocating R330-million towards this programme.”
Customer relations management was the last topic addressed:
“The manner in which we interface with our communities is important for the image of our municipality.
“This requires professionalism and customer relations facilities that are properly resourced.
“In response to this we have allocated R44-million.”
- R33-million for upgrading and construction of Nigel, Tembisa Extensions One and Two, Vosloorus, Benoni, Brakpan, Boksburg, Germiston, Kempton Park, Daveyton and Springs customer care centres.
- An additional R25-million is allocated for the Unified Command Centre.
“It is through our collective wisdom and unity of purpose that we can serve our communities much better,” said Makwakwa in closing.
