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Ekurhuleni residents to pay more after tariff hikes
Ekurhuleni residents to pay more after tariff hikes

Eyewitness News

time6 days ago

  • Business
  • Eyewitness News

Ekurhuleni residents to pay more after tariff hikes

JOHANNESBURG - Ekurhuleni residents may have to pay more for municipal services following the city's decision to raise tariffs. Finance MMC Jongizizwe Dlabathi announced increases in service charges during his budget speech on Thursday to come into effect in the 2025/2026 year. ALSO READ: - Ekurhuleni budget: Residents to pay more for water, electricity, sanitation & refuse removal - City of Ekurhuleni decides to insource essential services to strengthen internal capacity - Ekurhuleni sets aside R250m to rehabilitate road infrastructure, particularly potholes However, unlike in Johannesburg, property rates and municipal bus services will not increase. If the Ekurhuleni City Council approves the proposed budget, residents will see a 15% increase in their monthly water bills. Electricity prices are also set to rise, but only in accordance with the guidelines set by the National Energy Regulator of South Africa (NERSA). Additionally, refuse removal fees will go up by 6%, while sanitation services will cost 10% more. Dlabathi said when compared to other metros, these increases are relatively reasonable. "Our 2025/26 tariffs are lesser on sanitation and refuse removal compared to the City of Joburg, Cape Town and eThekwini, except for the City of Tshwane. Similarly, the average comparative analysis of 2024/25 tariffs shows that we came second with 10.43%, while the City of Cape Town approved the highest average tariff of 13.71%.' These tariffs will go towards funding the city's R65 billion budget.

Tough budget for Ekurhuleni
Tough budget for Ekurhuleni

The Citizen

time6 days ago

  • Business
  • The Citizen

Tough budget for Ekurhuleni

Ekurhuleni's total expenditure budget of R64.8 budget would be subjected to non-negotiable conditions Ekurhuleni MMC for Finance, Strategy and Corporate Planning, Jongizizwe Dlabathi, on Thursday tabled a R65.5 billion budget. According to Dlabathi, tough economic realities, lack of optimal collection, revenue leakages, weak liquidity position, ineffective expenditure management and the assumption that 90% of municipal revenue should be generated internally, were among key factors in the budget. Bullish about improving alignment and effectiveness of existing revenue collection systems, Dlabathi projected an additional estimated R2.1 billion gross revenue in the current financial year. 'Given that we intend not to borrow over the medium-term, all departments that are involved in the revenue generation value chain will have to pull together to ensure the achievement of our revenue goals in the medium and long-term. 'This will be spearheaded at the level of the Revenue Enhancement Committee that has since been put in place by Executive Mayor Nkosindiphile Xhakaza. 'The budget posture is guided by the directive to ensure a responsive city, working with agility to restore service delivery to communities. 'This directive demands that we focus on the core basics – providing quality, equitable and sustainable services to all in a manner that ensures the ideal quality of life,' said Dlabathi. Non-negotiables He said Ekurhuleni's total expenditure budget of R64.8 budget would be subjected to non-negotiable conditions, which would include: Spending within the allocated budget. Linking spending to the provision of essential services and goods. Fostering economic procurement and realisation of value for money. Strengthening internal capacity to reduce over-reliance on contracted services. ALSO READ: Joburg budget hanging by a thread: ANC fights to get their way as partners gun for them Key expenditure breakdown allocations include: Water and sanitation repairs will receive and maintenance R550 million,mainly to ensure resilient infrastructure that secures a sustainable supply of water and sanitation services—stretching to fixing water and sewer leakages. From the total of R20.7 million earmarked for human settlements, R7.5 million will be channelled towards basic repairs and maintenance work for selected hostels—with the rest covering the maintenance of rental units, including Ekurhuleni Housing Company. The Energy Department will receive R1.4 billion towards infrastructure and equipment maintenance related to substations, network enhancement, with R103 million allocated to the repairing of street and traffic lights, under the Operation Khanyisa Mhali. Additional R254 million has been allocated to the protection of energy infrastructure. Through the ' Siyakhuculula Manje and Clean Kasi ' programme, a total of R226 million has been allocated to environmental resources, waste management repairs, maintenance materials and supplies to support internal capacity to cut grass, maintain cemeteries, remove weeds, prune trees, and maintain landfill sites, wetlands, lakes, and dams. A total of R946 million has been allocated for roads and transport management, with road rehabilitation and pothole patching done under the auspices of the Hlasela Amapotholes project. A total of R41.3 million will be used for repairing and maintaining traffic signals. While more funds are still required, R54 million will go towards addressing sinkholes. Capital expenditure has been allocated R3.1 billion. An employee budget will be R13.4 billion – towards annual salary increments and the recruitment of additional workforce. Dlabathi said the budget will implement the recruitment of 700 permanent cleaners and 290 permanent EMPD (Ekurhuleni Municipal Police Department) officers to maintain strategic offices and buildings. 'A budget of R303 million will be allocated over the medium-term to equip the staff with essential tools of trade necessary to optimise performance. Time provision must prioritise departments that are providing essential services. 'The long-term trajectory is that of implementing the 70/30 ratio for service delivery, wherein 70% of the services are rendered in-house, with 30% contracted. 'As we implement the capital budget, we must not be found wanting with our supply chain management, planning, organising and as well as overseeing the completion of capital projects within time, scope and quality,' added Dlabathi. NOW READ: How Joburg plans to spend R89 billion

City of Ekurhuleni decides to insource essential services to strengthen internal capacity
City of Ekurhuleni decides to insource essential services to strengthen internal capacity

Eyewitness News

time6 days ago

  • Business
  • Eyewitness News

City of Ekurhuleni decides to insource essential services to strengthen internal capacity

JOHANNESBURG - The City of Ekurhuleni has finally decided to insource essential services, with 700 cleaners set to be given permanent contracts. The insourcing of workers has been a key debate in Ekurhuleni for years, with some parties believing the city needs to reduce its reliance on contractors. ALSO READ: Ekurhuleni budget: Residents to pay more for water, electricity, sanitation & refuse removal Finance MMC Jongizizwe Dlabathi announced during his budget speech on Thursday that the metro wanted to do away with outsourcing some essential services. Dlabathi said the city must strengthen its internal capacity. "This budget will give effect to the recruitment of 700 permanent cleaners and 290 permanent EMPD officers, who will look after our strategic offices and buildings. R303 million will be allocated over the MTREF towards equipping the staff with essential tools of trade, necessary to optimise performance."

Ekurhuleni sets aside R250m to rehabilitate road infrastructure, particulalry potholes
Ekurhuleni sets aside R250m to rehabilitate road infrastructure, particulalry potholes

Eyewitness News

time6 days ago

  • Business
  • Eyewitness News

Ekurhuleni sets aside R250m to rehabilitate road infrastructure, particulalry potholes

EKURHULENI - The City of Ekurhuleni has set aside more than R520 million for road rehabilitation, particularly dealing with potholes. One of the biggest challenges facing the municipality in the last few years has been the slow pace of the patching up of potholes. During his budget speech on Thursday, Finance MMC Jongizizwe Dlabathi committed to being more aggressive in addressing the poor quality of roads. According to an update from the City of Ekurhuleni last year, over 1,700 potholes were recorded on the metro's roads at the time. In the most recent update, the mayor reported that more than 500 of these potholes were repaired within the first few months of the current financial year. ALSO READ: Dlabathi said that potholes were increasingly disrupting the functioning of the city's economy. "The issue of potholes is steadily becoming an albatross for the city. This is not only impacting the road users but also the economy of the region because roads are the backbone of the movement of goods and services." The budget is heeding the call for urgent attention to the situation under the auspices of Hlasela Amapotholes. An additional R200 million has been allocated for the purchase of materials and supplies, enabling municipal teams to carry out pothole repairs themselves rather than outsourcing the service to contractors.

Ekurhuleni budget: Residents to pay more for water, electricity, sanitation & refuse removal
Ekurhuleni budget: Residents to pay more for water, electricity, sanitation & refuse removal

Eyewitness News

time7 days ago

  • Business
  • Eyewitness News

Ekurhuleni budget: Residents to pay more for water, electricity, sanitation & refuse removal

JOHANNESBURG - Ekurhuleni's Finance MMC Jongizizwe Dlabathi has presented a R65 billion budget for the 2025/2026 financial year. This represents an 8.6% increase from 2024/2025's budget, which projected revenue at R60 billion. Dlabathi delivered his budget speech on Thursday morning at the Ekurhuleni city council in Germiston. Just like Johannesburg, Ekurhuleni has seen an increase in its annual budget, with the bulk of its revenue coming from services delivered to residential and commercial customers. Tariff increases have been implemented for the upcoming financial year, which are expected to generate additional income for the municipality. Ekurhuleni residents will now pay more for water, electricity, sanitation, and refuse removal. However, Dlabathi said in some areas, the municipality had chosen not to raise tariffs. "Zero percent [0%] on property rate, given the new valuation roll. Zero percent burial and cemetery tariff increase is proposed - 0% for CoE [City of Ekurhuleni] residents and 4.3% for non-CoE residents. We are also pleased to announce a 0% tariff increase for municipal bus services and hiring of facilities." He believes the metro was more lenient than other metros in raising service charges.

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