Durban to be hit with highest service tariff hikes

2014-05-26 00:00

DURBAN consumers will be hit with the highest refuse water, and rates increases this year compared with Johannesburg and Cape Town, when the draft municipal budget gets approved on Thursday.

And while the proposed average electricity tariff of 7,39% is only slightly above inflation, The Witness has established that the average increase that Durbanites have been paying is much more than inflation, at 18,3% annually, over seven years.

The tariff for refuse removal is expected to rise by 7,9%, compared with 5,87% in Cape Town and six percent in Johannesburg, while rates are expected to increase 6.9%, compared with six percent in Cape Town and five percent in Johannesburg.

Krish Kumar, deputy city manager, treasury, on Friday briefed the Durban Chamber of Commerce and Industry members on the draft budget.

DCCI executive director Andrew Layman said there were “weaknesses” in the budget, but that this was normal for a local government the size of Durban, and the budget reflects a city that “continues to be well managed”.

The city blames the weak economy and “external financial pressure on services” that had made tariff increases above the inflation rate “inevitable”.

Kumar said another reason why the electricity price increase was above inflation, is that there was a R400 million drop in demand for electricity due to the continuing weak economy and electricity savings by consumers.

DA eThekwini spokesperson Peter Davis said they believed the tariffs were “generally reasonable”, although there were problems with some of the rates, such as the higher increase in water tariffs for businesses, which discourages job creation.

He said the party had only once voted to approve an eThekwini budget in more than a decade, and a caucus meeting would be held this week to decide how it would vote.

Join the conversation! encourages commentary submitted via MyNews24. Contributions of 200 words or more will be considered for publication.

We reserve editorial discretion to decide what will be published.
Read our comments policy for guidelines on contributions. publishes all comments posted on articles provided that they adhere to our Comments Policy. Should you wish to report a comment for editorial review, please do so by clicking the 'Report Comment' button to the right of each comment.

Comment on this story
Comments have been closed for this article.

Inside News24


How to open a beer bottle without an opener

Do the right thing and never be thirsty again…


You won't want to miss...

WATCH: Man films himself going down water slide upside down as things go very wrong…
WATCH: Conor McGregor: Notorious the trailer
Best date night restaurants in South Africa
WATCH: Ryan Reynolds offers fans a free tattoo in new Deadpool 2 teaser
Traffic Alerts
There are new stories on the homepage. Click here to see them.


Create Profile

Creating your profile will enable you to submit photos and stories to get published on News24.

Please provide a username for your profile page:

This username must be unique, cannot be edited and will be used in the URL to your profile page across the entire network.


Location Settings

News24 allows you to edit the display of certain components based on a location. If you wish to personalise the page based on your preferences, please select a location for each component and click "Submit" in order for the changes to take affect.

Facebook Sign-In

Hi News addict,

Join the News24 Community to be involved in breaking the news.

Log in with Facebook to comment and personalise news, weather and listings.