Municipal tariffs to increase with 8 percent overall

Infrastructural development within the port city warrants an average adjustment of an rate increase for a number of services provided by the municipality.

15 April 2019 | Government

Lilo Niilenge Management Committee chairperson; “An estimated 76% of council’s total estimated revenue is obtained from water and related services . . .”

Walvis Bay - Leandrea Louw

The chairperson of the management committee of the Walvis Bay council, Lilo Niilenge, has tabled the budget for 2019/2020.

She said due the fast growth of the city, large extensions in infrastructure are necessary. This has to be recovered from water supply and related services, property rates and taxes, site values, improvements, refuse removal services and sanitation services tariffs.

In terms of dollars and cents, this signifies an N$40 increase for an average account of N$500 per month. It will be implemented after the tariffs are gazetted.

“An estimated 76% of council’s total estimated revenue is obtained from water and related services, property rates and taxes, refuse removal services and sanitation services,” said Niilenge.

The water tariff increase is lower than the anticipated adjustment from the service provider, NamWater, which is 9.8%. It is necessary in order to maintain the same standards residents have become used to in terms of service delivery.

Property rates and taxes adjustment includes 5% contributions to the Erongo regional council, as provided for under section 77 of the Local Authorities Act, No. 23 of 1992, as amended.

Niilenge officially presented the 2019/2020 capital budget, operating budget and tariffs structure for tabling and approval on Thursday.

Expected revenue for the new financial year is estimated at approximately N$510 million, with expected expenditure also recorded at the same amount.

There will therefore be no deficit or surplus for the budget under review. The line ministry requires that the budget be balanced, and income and expenditure should correspond.

Niilenge tabled a total capital projects budget with a value of N$314 million for the 2019/2020 financial year. She said the budget would be executed over a period of more than one year.

An amount of N$ 250 million will be spent in 2019/2020. The remaining N$ 63 million to be spent during 2020/2021 and beyond.

She provided a breakdown of the combined projects of anticipated expenditure during 2019/2020.

N$107 million has been allocated for land development projects.

Niilenge said land delivery projects run over more than one financial year, and N$76 million has been budgeted for the development of Farm 37. The remaining N$31 million has been allocated for the finalisation and/or starting up of new extensions.

N$46 million has been allocated for community and social projects. This includes the construction of a fire station in Tutaleni and the upgrading of the Single Quarters and Ekutu stalls on Erf 3994.

N$80 million has been allocated for the implementation, upgrading and replacement of water and sewer infrastructure, planning and construction of a new waste water treatment plant ,and upgrading of existing pump stations.

Council will also spend N$15 million on the acquisition and replacement of existing vehicles in its fleet.

Full details of the individual projects other than land development projects not mentioned above, can be found in the capital budget

Entities and organisations who in terms of section 75 of the Local Authorities Act qualify for exemption from rates levied on rateable properties, are invited to apply for such exemption. This must be done on or before 31 May each year immediately preceding the financial year to which the application relates.

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