R2.1bn budget underlines quest for development
By Nangamso Mabindla
30 May 2006
BUFFALO City will focus on playing a developmental role and will ensure that it improves the lives of its 880 000 residents. This was the word from Executive Mayor Zintle Peter when she tabled a R2.1-billion budget for the 2006/2007 financial year.
In her first state-of-the-City address during a council meeting at the East London City Hall on Tuesday May 30, Peter said the City faced a new era in which it would "return to basics".
The meeting was attended by members of the business community, representatives from the provincial government and the former mayor, Sindisile Maclean.
"This is an era in which we will return to the basics of developmental local government anchored in our Integrated Development Plan and which features a united long-term people-centered vision," said Peter.
The new era entailed the major industrial and commercial development of the City that would integrate small, medium and micro enterprises in a collective effort to create jobs and alleviate poverty. This would be in line with the Provincial Development Growth and Development Plan and the National Spatial Development Framework.
By focusing on development and job creation, the City aimed to play its part in the national government's goal of halving poverty and eliminating shacks by 2014.
However, for the City to play a developmental role it needed to meet some of the concerns raised by communities during the Integrated Development Plan hearing held in April. Some of these concerns included the need for houses and land, a wish by communities to have more say in the IDP and budget, improved community facilities and services, and economic renewal and jobs.
"As a result of the hearings I am proud to announce that [the concerns] have guided us to the extent that I am returning soon to the budget to ensure a targeted attack on priorities identified by the communities," Peter said.
City spending
The R476,9-million capital budget will be spent on water (R33,5-million), waste water (R36,7-million), electricity (R29,8-million), roads and stormwater (R40,3-million), transport planning (R80-million), cleansing (R11,6-million) and amenities (R28,7-million).
But the area that gets the biggest chunk of the capital budget is housing: R150-million will be dedicated to easing the housing backlog of 75 000 units.
Turing her attention to the social front, Peter said she was pleased that the City was giving the 55 000 indigent households a subsidy on their accounts, which would result in an increase in the total welfare package from R196,37 a month to R206.
"Pensioners and the disabled are still getting 40 percent rates rebates while all the indigent families are getting the 50 kilowatts free electricity and 6 kilolitres of water a month."
Looking at the wave of economic growth, Peter said: "The city has been the flavour of the first quarter of the year, with mall developers beating a path."
East London was also facing growth in the urban property development sector, with development in areas such as Amalinda, Beacon Bay and Abbottsford.
Moving on to the possible development of the East London beachfront, Peter said the City's Development Agency would be looking to transform the beachfront and to ensure that demands from the entertainment and leisure industry were met.
The City Development Strategy would be the tool used to guide the City towards economic improvement within the Accelerated Shared Growth Initiative of South Africa.
The strategy would focus on good governance, financial sustainability, inclusivity and productivity. "These are the four goals we will pursue and we ask all stakeholders to join us in making our city a great place to live, work and play."
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