LettersOpinion

One for the price of three

Not so long ago Ballito was a small holiday town with sand roads and basic amenities. Development is inevitable and acceptable, but why should we pay over two times the price for a basic municipal service? The UIP letter (A better Ballito together) in  the Courier last week explained their relationship with KDM. What we …

Not so long ago Ballito was a small holiday town with sand roads and basic amenities. Development is inevitable and acceptable, but why should we pay over two times the price for a basic municipal service? The UIP letter (A better Ballito together) in  the Courier last week explained their relationship with KDM. What we now have is three companies performing the services of one.
The maths is quite simple: If we take the hypothetical number of R3000 per month for KDM to employ a gardener, then we add the cost of an outsourced subcontractor appointed by the UIP (minimum of 100% mark-up) = R6000, then the cost of the UIP management fee (conservative 15% on subcontractor cost) = R900, therefore total: R3000 + R6000 + R900 = R9900 p/m. This is more than double the price with three companies and a middle man.
If KDM worked with the property owners, they would be able to employ three staff at R3000 each, providing more jobs and not enriching a labour company and middle man.
It’s a known fact that in Nigeria, you will pay seven times the actual price for a commodity or service due to all the middle men and it looks like Ballito is going down the same road. Who takes accountability for service delivery in this integrated service plan, the UIP or KDM?
RICKY ROSSI
Salt Rock


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