to download the PDF for MTREF Budget Write-up ... - Mangaung.co.za

Size of the Stand (Squaremetres)Current2012/13RPercentageIncreaseProposed Tariff2013/14R0 - 300 30.00 7.00% 32.10301 - 600 40.00 7.00% 42.80601 - 900 70.00 7.00% 74.90901 - 1500 100.00 7.00% 107.00>1500 120.00 7.00% 128.40Revenue Foregone (Social Packages)The Municipality will continue to commit funds in supporting the poorest of the poor membersof the community. For this purpose the City will spend approximately R 158,5 million on itssocial package, which covers free basic electricity, refuse removal, sanitation, free basic waterand the property rates rebates. A total of R 517,2 million will be spent on the social packagefor the MTREF period.Budget Budget Budget Budget2012/13 2013/14 2014/15 2015/16R R R RWater Revenue Foregone 53,804 58,418 63,427 68,866Electricity Revenue Foregone 13,233 17,467 20,611 22,672Sewerage Revenue Foregone 47,078 50,877 54,983 59,420Refuse Removal Revenue Foregone 58,111 17,308 18,174 19,082Assessment Rates Revenue Foregone 12,457 14,412 15,284 16,208TOTAL 184,683 158,482 172,479 186,248The indigent households in the Metro area are entitled to 10 kilo litres of free water and 50 kwhof electricity every month for the 2013/14 financial year.There are currently 32,625 indigent households receiving free basic services and themunicipality is expecting this number to increase to 40,000 in 2013/14, 43,600 in 2014/15 andto 48,832 in 2015/16. An average monthly subsidy provided per indigent household isestimated at R 220.00, which is within the LGES formulae subsidy of R 270.00.In addition to the above more than R 200 million of indigent household debt will be written offbefore the end of the 2012/13 financial year, as an added contribution towards easing theplight of the poor and the destitute. Furthermore included in the operational budget is R 3,5million that has been allocated for indigent burials.Fuel LevyThe budget for the fuel levy is showing an increase of 2.24% (R 5,318 million) from the lastyear’s initial allocation of R 237,7 million to R 243 million in the 2013/14 budget year. Theprojected allocation for the outer two years of the MTREF period is R 257,6 million and R269,5 million respectively.Grants and SubsidiesIncluded in the budgeted revenue of R 6,297,9 million, is operating and capital grants andsubsidies from the Provincial and National Governments totalling R 1,442,9 million (2012/13 -R 1,347,1 million). the allocations for the 2014/14 and 2015/16 budget years are R 1,451,7million and R 1,555,1 million respectively. The grants to be received, constitutes 22.91% ofthe budgeted revenue for the 2013/14 budget year (2012/13 - 24.25%).19