On Friday, 30 May 2025, Acting Mayor Cllr Dithothi Tshetlhane delivered the Moses Kotane Local Municipality’s Budget Speech for the 2025/2026 financial year at Mogwase Council Chamber.
The address aimed to inform the community about how the Municipality intends to utilise its financial resources to enhance service delivery, support local development, and build a better quality of life for all residents.
The tabled budget aligns with the Municipal Finance Management Act (MFMA),and the Integrated Development Plan (IDP).
The Municipality announced a total operating revenue of R1.136 billion, reflecting a 5% increase compared to the previous financial year. This growth is driven by a 17% increase in property rates, projected to generate R174 million, and a R2 million increase in service charges. An allocation of R225 million is earmarked for capital projects focusing on water, sanitation, and road infrastructure. These projects will primarily be funded through the Municipal Infrastructure Grant (MIG) and the Water Services Infrastructure Grant (WSIG).
Additionally, the Municipality will receive R627.4 million in operational grants, including a R615.4 million equitable share allocation.
A total operating expenditure is projected at R1.4 billion. This includes a 5.05% increase in employee-related costs and a 4% increase in councillor allowances, in line with South African Local Government Association (SALGA) guidelines. Spending on contracted services has been reduced to R184.4 million as part of cost-containment measures while ensuring that essential services are still delivered effectively.
Cllr Tshetlhane outlined several priority initiatives for the 2025/2026 period, including addressing water shortages through a regional water scheme and partnerships with private entities to access underground water sources. Old asbestos pipes are being replaced to ensure a safer and more reliable water supply. Sanitation infrastructure is also being improved, particularly in rural areas, with the installation of Ventilated Improved Pit (VIP) toilets.
The Municipality’s Thuntsha Lerole Safe and Clean City Campaign continues to make strides in tackling illegal dumping and enhancing waste collection services. Road infrastructure development is also progressing, with gravel roads being upgraded to surfaced roads in areas such as Ramokokastad and Segakwaneng, in partnership with Anglo American Mine.
In a bid to stimulate the local economy, the Municipality is driving the Thuntsha Lerole Reloaded programme, which brings government services closer to the people. Local businesses and farmers are receiving targeted support to grow their operations and create employment opportunities.
Moses Kotane is also participating in the G20-South Africa Programme, with Sun City playing host to events focused on financial inclusion and women’s empowerment. Students from Mankwe TVET College and small businesses are already benefiting from this initiative, with more prospects anticipated at the upcoming G20 Conference in June.
Despite these efforts, challenges remain. Water services are operating at a loss due to tariffs that do not cover the cost of provision, coupled with illegal water connections. Nevertheless, the Municipality continues to provide 6 kilolitres of free basic water to all registered indigent households.
To support service sustainability, the Acting Mayor proposed the introduction of a R20 monthly flat rate for refuse removal in all villages and called on residents to support and take ownership of municipal services.
Cllr Tshetlhane emphasised the importance of exploring alternative revenue-generating streams. Plans include introducing tourism levies, leveraging municipal assets to generate income, and investing in renewable energy projects to reduce reliance on grants and ensure long-term financial sustainability.
Cllr Tshetlhane concluded her address with a sincere call for collaboration, urging all residents, businesses, and municipal employees to unite in building a better and more prosperous future for all. “It is possible, Kotane,” she said, encouraging a spirit of unity, shared responsibility, and progress.
Ends
Issued by Communications Unit.
