DA calls on Merafong Local Municipality to postpone all tariff increases for 2020/2021 financial year

Issued by Ina Cilliers MPL – DA Gauteng Constituency Head- Merafong
04 Jun 2020 in Press Statements

Please find an English soundbite from Merafong Councillor, Devin Niewenhuyzen and isiXhosa soundbite from DA member, Cassie Thlapi.

The proposed budget and tariffs in Merafong Local Municipality are simply out of step with the realities of the economy in the midst of the Covid-19 pandemic. We have been inundated with calls from concerned businesses and individuals whose livelihoods have been negatively affected.

Specifically:

  • We are concerned that the public participation process was approached purely from a compliance point of view. Residents must be given a platform to engage meaningfully with the budget and the tariffs;
  • Proposed Property Rates increases for 2020-2021 are 5.58% for the Mines; 6.5% for Residential; 10% for Industrial; 10% for Commercial and 7.18% for Agricultural. These increases are unaffordable for residents who are already under financial strain due to the irrational and protracted lockdown;
  • The municipality has an extremely poor track record when it comes to resolving historical valuation roll disputes, administering effective credit control and managing its investments. The illegal investment of 50million rand with VBS is but one example; and
  • The municipality cannot expect residents to pay more for services that they are not currently getting.

Now is not the time to milk residents for more money. It is a time to be responsive to the economic realities that face rural economies in Gauteng and listen to the plight of residents.

Merafong can take steps to get its house in order to curb illegal connections, water and electricity losses and focus on the basics of service delivery. By pushing for tariff increases that are unrealistic and unaffordable many more businesses will be forced to shut their doors, enabling a vicious death spiral for rural communities.

Residents and business owner are urged to place their objections using the following link:

gpcomplaints@da.org.za

The DA will ensure that these objections are properly ventilated with Council. We will also be asking written questions in the Legislature to ensure that rural local authorities get the assistance they need without placing the financial burden on the shoulders of residents alone.