Earlier, metro executive mayor Thabo Manyoni announced that the metro’s assessments rate, which determines property rates, would increase with eight percent across the board. The sewerage tariffs will increase by 8.2 percent for both residential and non-residential in 2016-17. Manyoni said water tariffs will increase by eight percent and the electricity tariffs by 11.29 percent on average. Manyoni said even with these increases the city remains the cheapest compared to other metros.
The Democratic Alliance’s James Letuka said his party could not support the budget. He said several National Treasury Notices including Notice 82, which includes the national directive to implement cost containment measures were not adhered to.
Letuka said the rise in tariffs announced by Manyoni does not consider the current economic conditions residents find themselves in. “All tariff increases for basic services are above inflation and National Treasury guidelines,” said Letuka.
He said the metro’s payroll is also too excessive. Letuka said for every one rand, 42 cents goes towards salaries and contracted services. This leaves only 58 cent in every Rand for service delivery and infrastructure development and maintenance. – André Grobler
