Emnambithi/Ladysmith Municipality, according to the proposed Draft Budget 2016/17, has an operating revenue of R759 million. Of that, R236 million is for salaries alone.

Councillors draw a whopping R17m from the town’s coffers in salaries, with an extra R1.1m in increases budgeted for.

Normal council staff take up the lion’s share of the salaries budget of R194m, with R12m allocated for increases later in the years.

To fund these increases, rates will be increased by 6%, refuse removal by 10% and electricity by 7.64%. Bulk electricity users will receive a 7.86% tariff increase.

The municipality cannot afford to fully fund its depreciation, as it would cost the ratepayer further tariff increases. The unfunded depreciation for this year is R57 million.