Ilembe water tariff hike looms
This price hike is intended to help pay for one of SA's biggest new water supply schemes, the uMkhomazi Water Project - seven years in advance.
Water bills in the Ilembe district municipality are likely to go up by 15% in July next year in a pre-payment drive for the uMkhomazi Water Project.
Umgeni Water met with eThekwini, Msunduze, Umgungundlovu, Ugu and Ilembe municipalities last week to propose the 15% increase in water tariffs.
This price hike is intended to help pay for one of SA’s biggest new water supply schemes, the uMkhomazi Water Project – seven years in advance.
The uMkhomazi Water Project is a plan to transfer water from the uMkhomazi River 32km underground to Durban, water that will only be available in 2024 at the earliest.
The project also involves the building of a new dam – the Smithfield Dam, on the uMkhomazi River that will be even bigger than Midmar Dam – as well as treatment works South of Pietermaritzburg.
According to reports the Water Affairs Department, the scheme, which is projected to cost more than R16.5 billion, would require tariffs to rise by as much as 59% if government doesn’t subsidise at least 25% of the costs.
This is apparently the reason why Umgeni wants to spread the costs by making customers start to pay so long in advance.
Umgeni Water’s Shami Harichunder says that this proposed price hike is still in the early stages.
“There are still multiple steps to be followed – including engagement with our stakeholders and customers – before this proposal is finalised,” said Harichunder.
Without the uMkhomazi Water Project areas of KZN could possibly experience water shortages for years to come.
“The final figure for the proposed increase will likely only be confirmed in March of next year, before coming into effect in July,” said Harichunder.
“The proposed 15% increase will include Umgeni’s existing bulk water tariffs, the new drought levy and the capital cost of both the new Smithfield dam and the existing Spring Grove dam.”
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