Residents to dig deeper

2019-07-03 06:01

Residents of the Mangaung Metro Municipality start the 2019-’20 municipal term having to dig deeper into their pockets to pay for municipal services, property, water and electricity.

The new tariffs came into effect on 1 July, after an announcement was made on 31 May by mayor Olly Mlamleli when tabling the budget for the new municipal term.

The Mangaung Metro increased property rates by 7,3% and 11,95% for residential and non-residential consumers.

The sewerage and refuse tariffs increased by 8,6% and 10,79% respectively while electricity tariffs increased by 13%.

The refuse and trade removal tariffs increase is expected to contribute revenue of R135,2 million in 2019-’20, R150 million in 2020-’21 and R166 million in 2021-’22.

According to Qondile Khedama, spokesperson of the Mangaung Metro, the 11,95% increase in water tariffs for both residential and non-residential consumers follows the Bloem Water envisaged increase of 9%.

“The city is currently in the process of reviewing the Service Level Agreement with Bloem Water.

“It was established that over the years, the city has been overcharged by more than R311 million by Bloem Water,” said Khedama.

According to Khedama, Mangaung Metro is expected receive grants and subsidies worth R2,1 billion for operating and capital allocation.

He said according to the budget tabled by mayor Mlamleli, operating grants are budgeted for at R1 billion and capital grants R1,1 billion.

Khedama said the city council management has resolved to implement the Debt Collection and Credit Control Policy to recover monies from defaulting customers in order to render basic services.

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