Council approves budget for the new financial year
The virtual council meeting held today has approved the final draft budget which has gone through a series of public consultations during the month of April 2021.And the approval of this budget for the upcoming financial year starting on the 1stof July 2021 signals a high level of commitment by the municipal leadership in rapidly responding to the service delivery imperative of water and sanitation services in the district.Council has approved a total budget of about R1,5billion for the financial year 2021/22 with an allocation of about R1.3 billion to operational budget and a capital budget allocation of more than R345 million. This draft budget is seeking to strike a balance between on-going service delivery imperatives of water and sanitation services while also responding to the developmental challenges confronting our district. This budget is influenced by the current economic challenges faced by the country and our district in general emanating from the effects of Covid-19 pandemic.The approved budget will mainly focus on the core municipal function of water and sanitation services with major projects of water and sanitation expected to be implemented across the district to ensure security of water supply in the district. And an allocation of more than R140 million has been made towards the maintenance of our infrastructure.Tariff increases for the year have been kept at below minimum despite the major increases on our input costs from Eskom imposing a tariff increase of15.5%; Umgeni Water tariff increase of above5%on bulk water supply and a projected staff increases of 5,5%. A tariff increment of 6,5% for water and sanitation services has been approved and will be levied to all our consumers with effect from the 1stof July 2020.ISSUED BY:UGU DISTRICT MUNICIPALITYFor more information and media queries contact:Municipal SpokespersonMr France ZamaFrance.Zama@ugu.websitesupport.co.za