The City of Ekurhuleni approved a R44.4-billion budget at its annual budget meeting on Thursday.For the 2018/19 financial year, the budgeted operating expenditure is expected to be R37.5 billion, comprising of revenue generated internally (R29.2 billion), operating grants (R6 billion) and capital grants (R2.3 billion).Spending on capital and infrastructure projects is expected to be R6.9 billion in 2018/19, an increase of R300 million from the 2017/18 financial year.
The capital budget will comprise of revenue generated internally (R976.1 million), government grants (R2.3 billion) and loans (R3.6 billion).The City of Ekurhuleni’s Finance MMC, Clr Doctor Xhakaza, tabled the city’s budget in Eden Park.
He said expenditure on capital projects increased from 87% in 2016/17 to 92% in 2017/18. He also announced that the City intends to reduce unauthorised expenditure from R65-million to zero.
“The City’s cash position remains above the R5-billion mark at R5.2 billion,” he said.
Tariffs increases
• Assessment rates to increase by 6.9%, after no increase was effected last year to ease the burden on ratepayers.
• Electricity will increase by between 5.32% and 8.5% – subject to usage, while the National Electricity Regulator of South Africa (Nersa) has announced a bulk electricity purchase tariff increase of 7.32% for municipalities.
• Water will increase by 12.96%, the same percentage increase pronounced by Rand Water.
• Sanitation will increase by 9%, which is informed by the cost of sewer purification processes undertaken by ERWAT.
• Refuse removal will increase by 7.5% for all users.
