15 Jun 2013 11:30
WALVIS BAY, 15 JUN NAMPA) ? The capital budget for the Walvis Bay Municipality for the new fiscal year 2013/2014 was tabled here on Thursday.
The budget amounts to N.dollars 211.2 million, of which N.dollars 120 million has been earmarked for land development projects, which will result in the creation of about 1 500 erven by the end of September 2014.
In his speech, Chairperson of the municipality?s Management Committee, Immanuel Wilfred said these developments will mainly be undertaken by council through public-private partnership initiatives.
He said it was extremely difficult to balance the budget, because for the past two to three years a moratorium was placed on creating and filling vacant positions within the municipality.
However, Wilfred said the rapid expansion of the town through the new extensions and new buildings forced the municipality to expand its workforce significantly.
With regards to the operating budget, Wilfred said the total expenditure for the new financial year is estimated at about N.dollars 291 million, while the total expenditure for the current financial year was estimated at about N.dollars 239.2 million.
?The revenue to balance off this expenditure mainly stems from tariff adjustments and increases in property developments. About 80 per cent of the total estimated income is made up of water and related services, property rates and taxes, refuse removal services and sanitation services,? he said.
Wilfred further mentioned that the municipality will be increasing its tariffs higher than normal.
?Although we tried our utmost best to keep tariffs as low as possible, we are forced to announce higher than normal tariff increases for the current financial year.
Tariff increases from our bulk suppliers such as NamWater and Erongo RED have been indicated to be way above the inflation rate,? he explained.
Wilfred added that the tariff adjustments for other services will be made available to the public at the municipality offices and through the media once gazetted.
He also noted that even with the increases, the municipality is still left with a shortfall of N.dollars 69 978 which will be financed from ?unappropriated surplus funds? of previous periods.