SHOCKER: 13% bill hike

Following last Tuesday’s approval of Polokwane Municipality’s 2019/2020 budget, the city’s already cash-strapped residents will pay 13,07% more for electricity and 7,5% more for water with effect from 1 July, while tariffs for sanitation and refuse removal as well as assessment rates will increase by 6%.
Communications and Marketing Manager of the municipality, Matshidiso Mothapo explained that the municipality has considered socio-economic factors in the region to avoid sharp increases. The increases in bulk purchases of water and electricity by Lepelle Northern Water and Eskom have also been considered as influential factors when determining the tarrifs adjustments, according to Mothapo.
“However, it should be noted that the increase in water tariffs of 7,5% has been the lowest in the last two financial years which recorded increases of 10% and above. Of all the metros and secondary cities Polokwane Municipality’s total monthly account which includes assessment rates and services is still one of the lowest even after the proposed tariff increases were applied,” Mothapo said.
Mothapo added that the increases were approved in consideration of the indigent members of the community.
“As in previous years, there is provision to render free basic services to indigents. These include six kilolitres of water per month, 100 kWh electricity per month, free sanitation and free refuse removal services.
The 100 kWh free electricity per month is above the national norm of 60 kWh,” Mothapo stated.
Operating and capital budget
The Council also approved a R5,4 billion budget to accelerate key service and infrastructure development with a focus of improving the lives of the communities in Polokwane.
The budget for the 2019/2020 financial year is made up of an operating budget of R3,6 billion and a capital budget of R1,8 billion with the bigger portion geared towards critical services as per the mandate received from communities during the public participation period.
In terms of the capital budget, R522 million is budgeted for roads and storm water, R507,9 million for sewer reticulation, R386,7 million for water supply and reticulation, R159,4 million for Leeto la Polokwane infrastructure and R62,2 million for electricity infrastructure while R61,1 million goes towards sport and recreation infrastructure.
Executive Mayor Thembi Nkadimeng is quoted to have said that this budget will enable acceleration of basic service delivery to all the communities, contribute towards job creation, acceleration of economic development and ensure financial sustainability.
She added that this budget must realise its objectives towards accelerated services and Council will continue to play its oversight role to ensure that there is good governance and accountability.
According to Mothapo, the National Treasury conducted a benchmarking exercise with all the metros and secondary cities, the so-called non-delegated municipalities and the funding compliance assessment done confirmed that the budget of Polokwane Municipality is not only a balanced but also a funded budget.
“The journey for the massive development of a smart city as part of the Re aga Polo­kwane campaign has begun and must benefit all residents of Polokwane,” Nkadimeng said.
The budget breakdown will be presented with its impact on service delivery at a later stage during the State of the City Address by the Executive Mayor, according to Mothapo.

Story: BARRY VILJOEN
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