TZANEEN – The Greater Tzaneen Municipality (GTM) has announced a projected revenue of R2.188 billion for the 2025/26 financial year, an increase of R126 million from the previous year’s budget.

The announcement was made by Mayor Gerson Molapisane during the State of the Municipality Address (Soma) held at the Evangelical Lutheran Church in Flora Park on Thursday, June 12.

According to the mayor, the growth in revenue is due to improved collections from property rates and service charges, as well as increased allocations from government grants. Of the total revenue, R555 million will come from the municipality’s equitable share from the national government. An additional R202 million will be generated from property rates, while user service charges are expected to contribute R1.127 billion.

Molapisane also outlined the national grants allocated for operational purposes, which include R2 million from the Finance Management Grant, R4.8 million from the Expanded Public Works Programme (EPWP), R6 million from the Municipal Infrastructure Grant Operating Grant, and R10 million from the Integrated National Electrification Programme.

Operational expenditure for the upcoming year is projected at R1.99 billion.

The main cost drivers include R492 million for employee-related expenses, R107 million for inventory consumed, and R763 million allocated to bulk electricity purchases.

Molapisane provided updates on community development projects across all 35 wards. Although he expressed satisfaction with most of them, he, however, voiced concern over poor attendance by residents at the municipality’s quarterly public consultation meetings.

He also introduced a new 24/7 call centre designed to improve service delivery but acknowledged ongoing challenges with its effectiveness. “I’m told that residents are experiencing problems when reporting issues through the call centre. Municipal manager Donald Mhangwana, please look into this. This is the first point of contact with our residents,” said the mayor.

EFF Cllr Amanda Mondlana criticised the mayor’s optimism, pointing out that in Ward 24, the Petanenge Walking Bridge is only 11% complete, despite being scheduled for completion in April.

DA Cllr Chrisma Bredenkamp also voiced opposition to the speech, arguing that the municipality should focus on recovering over R1 billion in outstanding debt from residents before celebrating progress.

Despite these criticisms, several other political parties expressed support for the mayor’s address. The event was also marked by vibrant cultural performances, including traditional dances and music by local artist Mapula.