MunicipalNews

City of Johannesburg tables proposed tariffs

Tariff hikes in line with city’s pro-poor agenda

In a recent council meeting, the proposed tariffs for the 2017/ 18 financial year were tabled for public consultation.

According to the Executive Mayor of the City of Johannesburg, councillor Herman Mashaba, they have done everything in their power to keep the increases to a minimum while ensuring the city’s financial stability is maintained.

“During this process we have had to carefully balance the cost implications of service delivery incurred by the City with the affordability of services, and promotion of access to services for all our residents, while at the same time maintaining the City’s competitiveness when comparing our tariffs to those of other metros,” he said.

One of the things that will be changing is the allocation of free basic water to residents. According to Mashaba, not all residents will be receiving this benefit anymore. “Given the scarcity of water in Johannesburg, the huge inequality in our city, and the massive infrastructure and service delivery backlog, only indigent (needy) households registered on the city’s Expanded Social Package Programme will receive a free basic water allocation of between 10 and 15 kilolitres per month, starting from the 2017/ 18 financial year,” said Mashaba.

Domestic users who do not qualify as indigents (needy persons) will see a modest monthly increase to their water bill of R42,84.

This will result in the generation of an estimated additional R320 million in revenue per annum, which will be put back into the communities to ensure better service delivery and infrastructure. “There is a great deal that we can do with the additional revenue. It could be used to build an additional 2 597 housing units, or electrify an additional 70 informal settlements, or it can be used to extend operating hours at an additional 61 clinics,” Mashaba said.

The proposed increases in tariffs are as follows:

• Water and sanitation – 12,2 per cent

• Electricity – 2,28 per cent

• Refuse removal – 6,1 per cent

• Property rates – 6,2 per cent.

He concluded by saying, “The new administration is committed to bringing about the quality services that have been demanded by our residents and which they rightly deserve. This will be the major focus of our 2017/ 18 budget.”

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