For Immediate Release – 28 March 2017





At its scheduled meeting of March 2017, Council received and approved the municipality’s draft budget tabled by Her Worship, Mayor Cllr Nomusa Mqwebu.


The tabled budget comprises of a capital budget, inclusive of departmental requirements, as well as the operational budget. The Mayor highlighted that the tabling of the document is a culmination of a process which began some time ago, and in which the Municipal Manager and top management analysed the state of the municipality’s finances, in the process making realistic projections for the future.


Her Worship emphasized that the budget is premised on principles such as the necessity for a credible budget based on realistic anticipated revenue; the alignment of policies and our priorities; limitation on non- priority spending; the consideration of the new General Valuation roll which comes into effect on 01 July 2017; as well as the current inflation rate which stands at 6,4 percent.


In so far as the operational budget is concerned a total of R830 million, seven thousand five hundred and twenty four rand is projected for 2017/2018. Income is anticipated from rates, equitable share and tariffs levied for services. Amongst items allocated in terms of expenditure from this budget are repairs and maintenance of infrastructure, payment of salaries and general expenses.


In terms of rates and tariffs the proposed increase is 6 percent, in line with current inflation rates. However, in terms of electricity municipalities have been advised to budget for a 0.31 percent adjustment as per NERSA guidelines up until 05 April 2017 when the final Eskom tariffs shall be determined.


The capital budget is projected at R132 million, seven hundred and eighty eight thousand, one hundred and eighty five rand. This is inclusive of community projects as well as departmental capital items. The capital budget will cater for new infrastructure projects across the seven clusters of the municipality.


In total the Ray Nkonyeni municipality draft budget for 2017/2018 stands at R1 billion, twenty seven million, five hundred and twelve thousand, eight hundred and twenty nine rand.


The approval of Council paves the way for public consultation to begin in all seven clusters in the next month. Meetings will also be held with organized formations such as business and civic associations. END



For more information contact:

Simon M April

Senior Manager: Mayoralty and Communications

Ray Nkonyeni Municipality

10 Connor Street

Box 5

Port Shepstone


+27 39 688 2056

+27 72 057 5387

+27 86 529 7121

Simon.April@rnm.gov.za /Simon.Apri95@gmail.com