Municipal

R10 billion earmarked for eThekwini infrastructure

Although R10 billion has been allocated to address infrastructure damage, focusing on water, electricity, and waste management, southern wards still face service disruptions due to backlogs.

ETHEKWINI Municipality has earmarked approximately R10 billion to rectify infrastructure damage, targeting water, electricity, and waste management.

Also read: Floods cause damage in Amanzimtoti and beyond [Pictures]

This allocation includes a R3.33 billion grant from the national budget, intended to drive service reforms over three years. Southern wards, including Amanzimtoti, Isipingo, and Umgababa, continue to experience service disruptions due to the backlog. The municipality states the funds, including the grant, will ensure self-sufficiency in these key services.

Included in the allocation is the R3.33 billion grant to eThekwini made by Minister of Finance Enoch Godongwana during his budget speech on March 12. The grant is meant for eThekwini to make trading services reforms over the next three years.

EThekwini spokesperson, Gugu Sisilana, said this is a performance grant to be used to upgrade water and sanitation, electricity and solid waste management to ensure that these trading services are self-sufficient.

“The R3.33 billion incentive grant will therefore help the city gear up its existing resources to accelerate the reforms required and reposition the trading services to attract the required investments to improve the business as per the business and investment plans that have been developed for the next five years,” said Sisilana.

These reforms are set to start in the next financial year but the ward allocation of funds has not been finalised.

Also read: R22m from eThekwini 80/20 debt relief unallocated

Sisilana said regarding the eThekwini Water and Sanitation (EWS) Unit, the city has adopted a Water and Sanitation Turnaround Strategy (TAS) and further developed the business and investment plan, as well as an Institutional and Governance Reform Roadmap.

“The latter has the six strategic pillars that underpin the reform of EWS into a ring-fenced commercial business unit as echoed by Minister Godongwana in this budget speech. As the City aligns its budget priorities, the additional funds will be directed to the EWS TAS programmes that seek to reduce water losses, improve customer call centre systems, water metering, as well as intermittent water supply while reducing inefficiencies in all operations,” she said.

Sisilana added that the turnaround strategy, as adopted by the council, is in progress with 22% of the goals achieved to date.

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Vusi Mthalane

Senior Journalist

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