Posts Tagged ‘kouga municipal budget 2019/20’

Kouga passes R 897 million cash backed and pro poor budget

June 6, 2019

The DA led Kouga Council has approved an R 897 million budget and it is expected that the Municipality will have a billion rand budget by 2021.

The total operating budget has increased by R 77 million (9.44 %) when compared to the previous budget of R 819 million in the 2018/19 financial year.

Staff costs will increase by 6.7 % and now totals R 290 million. This represents 32,43 % of the total budget and is being driven into a downward trend by the DA Kouga Council since 2016.

Bulk purchases of electricity has increased by R 31 million from R 201 million to R 232 million in this financial year.

Electricity purchases represent 25,9 % of the total operating budget.

The anticipated revenue projection for the 2019/20 financial year is R 836,6 million with property rates (R 196,7 million) and sales of electricity (R 277 million) forming the largest sources of income.

Government grants of R 133 million have been allocated to Kouga in the upcoming financial year.

Property rates and service charges were increased as follows:

  • Property rates: 6,5%
  • Water: 7,5%
  • Sanitation: 7%
  • Refuse: 7%
  • EMF: 0%
  • Electricity 14,26%.

There was a zero increase in the EMF as the Council wants to phase out the fee and didn’t want to increase the amount payable in the new financial year.

The Capital budget is R 93 million with the biggest projects being the upgrading of the Sea Vista Waste Water Treatment Plant (R 15,8 million), upgrading of sports facilities in Pellsrus and KwaNomzamo ( R 9 million) and the upgrading the KwaNomzamo Waste Water Treatment Plant (R8,6 million).