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Joburg calls for comment on tariff increases

 

ON 22 March 2007, a draft IDP, budget and tariffs were tabled before Council and are now available for public comment.

This draft was developed after a process of public consultation in the latter part of 2006 and again during March 2007. Councillors as well as the City held numerous meetings with communities, business, NGO's, sector groups and other stakeholders on the future development of Johannesburg.

Proposed increases to the rates and tariffs for 2007/08 are:

Assessment rates – 7.1%
Electricity – 5.9%
Water – 5.1%
Sewerage removal – 5.1%
Refuse removal – 5.1% and
Minor tariffs – 5.1% (hire of halls, bus fares, library and clinic fees)
The projected inflation used for assessment rates was 5.1% plus an additional 2% to accommodate future development like electricity and water infrastructure, 2010 projects, safety and transport initiatives and other community development projects.

The City is guided by National Treasury budget projections (5.1%) as well as its own internal policies when proposing new tariffs.

Income from property assessment rates is used to fund the development and maintenance of roads, sidewalks, storm water drainage, street lighting, clinics, halls, parks, libraries and other facilities that benefit communities.

Tariffs are charges levied for services delivered and used by residents such as water, electricity and sewage and refuse removal.

The public now have an opportunity to submit objections or comment on the proposed tariffs in writing to the Office of the City Manager, P O Box 1049 Johannesburg 2000, email to Velih@joburg.org.za, fax to 011 358 3140 or simply leave comments at any People's Centre on or before 23 April 2007.

An advert to this effect has been placed in three daily and 14 community newspapers, the official City website and announced on one national radio station.

Comments received from the public will be summarized and consolidated in a report that first goes to a Mayoral Committee meeting and then to Council. The intention is to allow politicians the opportunity to critically analyse and make recommendations based on community input received and only then be approved at an ordinary Council meeting.

The new tariffs become effective as from 1 July 2007.

Ends

"The City derives its revenue from the following major sources: electricity, 23.4%: water and sanitation, 19.7%: property rates, 20.2%: regional services levies, 13.2%: operating and capital grants, 9.5% and sundry revenue 11.6%"

Issued on behalf of:
Councillor Parks Tau
Member of the Mayoral Committee for Finance and Economic Development

Issued by:
Virgil James
Communications Specialist
City of Joburg
011 407 7226
082 467 9415