WARD 7 BUDGET CONSULTATIVE MEETING

The Msukaligwa Local Municipality held a productive public consultation meeting on its draft multi-year budget for the 2026-27 financial year, focusing on Ward 7 concerns.

 

Chaired by Ward Cllr Scholtz, the session featured presentations from municipal officials and robust community input on revenue, tariffs, debts, and infrastructure.

Meeting Overview

 

The virtual meeting on April 14, 2026, opened with a prayer by Cllr Peachey and welcomes from Cllr Scholtz, who emphasized the publicized process via social media, newspapers, and ward committees. MMC TC Motha (technical services portfolio) introduced the agenda, with Deputy CFO Mr. SM Phiri delivering the core presentation due to technical glitches. IDP Manager Mr. Nhlabati coordinated questions, highlighting the link to the ongoing IDP review open for 21 days of public comments until end-May.

 

Budget Highlights

Mr. Phiri projected operating revenue of R1.013 billion for 2026-27, up from prior year, driven by service charges: electricity (R360.2 million), water (R127.3 million), wastewater (R67.7 million), and waste (R58.9 million). Property rates contribute R268.5 million, with major sources including equitable share, electricity, and water. Operational expenditure totals R1.7 billion, led by Eskom bulk purchases (R599 million), water bulk (R96 million), and employee costs (R366 million).

 

Tariff Proposals

Tariffs across services rose by 3.7% per National Treasury Circulars 132/134 (CPI-linked at 3.4-3.7%). Electricity faces a proposed 13% hike (cost-reflective model), potentially revised to 9.01% post-NERSA review, sparking debate as indicative only. Mr. Phiri urged comments, noting higher increases risk inflating the R1.6 billion debtors' book (R1.2 billion residential, R450 million business).

 

Grants and Projects

R427 million in national grants support key initiatives: INEP (R18.1 million for electrification), MIG (R70 million), Regional Bulk Infrastructure (R280 million for wastewater), and Water Services Grant (R59.8 million). Projects include Weselton electrification (100 households), Ermelo wastewater upgrades, sewer reticulation in Extensions 32-34 (R59 million), and Everest Park boreholes/elevated tanks (R73 million). Multi-year efforts target aging infrastructure amid ongoing maintenance like valve replacements and streetlight fixes in the CBD.

 

Community Concerns

Residents and businesses, via Cllr Peachey and Janice Conradie, raised service disruptions (water/electricity outages, sewer spills), unfunded status, debt collection (Eskom/DWS at R1.1-1.3 billion), and Ward 7 priorities (potholes, streetlights, bylaws). Cllr Scholtz highlighted unaddressed monthly reports and a 500-signature petition against hikes. Indigent support expanded (threshold R7,100; free 6kl water, 50kWh electricity, full rebates on rates/refuse up to limits).

 

Official Responses

MMC Motha detailed progress: valve/hydrant upgrades, asbestos-to-PVC pipe replacements, daily streetlight maintenance, and prosecutions for cable theft/vandalism. Mr. Phiri confirmed unfunded status, debt relief participation, amnesty (70% resident/50% business write-off), and IDP integration of inputs with timelines. All called for submissions to prioritize Ward 7/CBD fixes, enforce bylaws, and boost collections via peer pressure.

 

The session ended collaboratively, with doors open for emails/inputs to refine the budget and IDP by May, aiming for financial viability and service improvements