AbaQulusi Local Municipality recently hosted its Integrated Development Plan (IDP) and Budget consultation meetings for the 2026/27 financial year, which runs from 1 July 2026 to 30 June 2027. Municipal officials and council members engaged with stakeholders and communities across various wards to outline plans and gather input.

Revenue projections exceed R1 billion

Addressing residents from Wards 8, 9 and 10 at Cecil Emmett Hall, Mayor Sifiso Mkhwanazi revealed that the municipality is projecting to collect over R1 billion in revenue.

“We are anticipating revenue of R1,122,811,516. However, we cannot guarantee full collection due to ongoing challenges such as illegal electricity connections and tampering. A significant portion of our revenue depends on water and electricity payments.’’

Breakdown of projected revenue

The mayor provided a detailed breakdown of the expected revenue streams:

• Electricity: R407,468,172
• Water: R62,072,196
• Sanitation: R36,120,408
• Waste management: R37,111,812
• Interest on investments and bank accounts: R1.8 million
• Licences and permits: R8,299,992
• Rental of fixed assets: R1,708,706
• Property rates: R181,834,728
• Other operational revenue: R104,233,908

Capital funding and grants

Mkhwanazi also outlined expected capital funding, including:

• Municipal Infrastructure Grant (MIG): R46 million
• Integrated National Electrification Programme (INEP): R20 million
• Disaster relief funding: R21 million

He further raised concerns about the municipality’s equitable share allocation, stating that it is lower than expected.

“Voter registration plays a role in how the equitable share is determined. While voting is optional, we urge residents to register so that we are part of the voters roll that is being used by the central government when dispatching the equitable share.’’

Infrastructure upgrades planned

Among key infrastructure projects, the mayor highlighted the planned upgrade of the Mason Street Substation.

“Electricity demand has increased significantly, and we have no option but to upgrade the Mason Street Substation and its transformers to meet the growing demand,” he explained.

Community input welcomed

Following discussions, questions and input from community members, the draft budget was accepted, with the mayor addressing concerns raised by residents.

The news provided to you in this link comes to you from the editorial staff of the Vryheid Herald, a sold newspaper distributed in the Vryheid area.