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R45bn budget adopted
​Deputy City Manager for Treasury Krish Kumar, Mayor Zandile Gumede,
City Manager Sipho Nzuza and Head of Expenditure Sandile Mnguni
were elated after the R45 billion budget for the 2017/18 fi nancial year
was passed by Council on 31 May.
ETHEKWINI Municipality remains committed to ensuring efficient and effective service delivery and this was outlined in the R45 billion budget for the 2017/18 financial year adopted by Council on 31 May.

The total budget for the 2017/18 financial year consists of an operating budget of R37.5bn and a capital budget of R7.5bn. Tabling the draft budget, eThekwini Mayor Zandile Gumede said: “This budget will respond to poverty, unemployment, inequalities and underdevelopment. It will also respond to issues that are affecting our people who are living in townships, rural areas, backroom dwellings, hostel dwellings, informal settlements and the homeless.” Following on the promises she made during her inaugural speech in August last year, Mayor Gumede and Council took the draft budget and Integrated Development Plan to communities to ensure thorough consultation.

Budget hearings were held in all 110 wards together with 6 regional hearings as well as sector and forum hearings with business, traditional leadership and other stakeholders. “Through these engagements we have taken into consideration the concerns and needs of the communities and as such we have increased the block sum from R266 million to R990 million over the Medium Term Revenue Expenditure Framework,” said Mayor Gumede. This block sum will be used to address concerns relating to pedestrian bridges, traffic calming measures, health hazards, sidewalks, passages and other critical issues, especially in underdeveloped areas.

Mayor Gumede also said that the 2017/18 budget is a major driver of radical economic transformation. “There are two pillars that Council’s radical economic transformation is built on. The first is the economic growth and transformation in the ownership and control of productive assets in the economy. The second is the delivery of basic services, housing and social goods to business and poor communities.

The intention is that radical economic transformation will being about transformation and inclusive growth.” Although the budget has been developed under tough fiscal circumstances, the tariff increases have been set with affordability and sustainability in mind. The increases are as follows: Rates: 6.9% on average Electricity: 1.88% Domestic water consumers: 15% Business water consumers: 17% Refuse removal: 9.9% Sanitation: 9.9%.

romita.hanuman@durban.gov.za
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