GEORGE NEWS - The majority of George Municipality's capital budget for 2019/2020, which amounts to R344-million, will be used to install new and maintain old infrastructure.
In his address to Council last Wednesday, George Mayor Melvin Naik said infrastructure is of dire importance for job creation. It was likely the last council meeting before the national and provincial elections on 8 May.
"Everyone is aware that people need jobs - that is, we take the approach to invest in our infrastructure so we can create the environment wherein jobs can be created. We cannot expect investment if we do not have the necessary infrastructure. In my view, no infrastructure, no jobs," said Naik. He reminded Council that the municipality has limited funding at its disposal, and said when people go off the grid it does not make things easier.
"We are experiencing a drop in electricity purchases, which compels this municipality to look for alternative income sources and we need to maximise our income through efficiencies and the way we do business," he said.
Naik said the migration of people into the city and the constant growth of informal dwellings place an enormous financial burden on the municipality. He said George's average annual growth is 2,64% over the last five years.
Compared with growth in Stellenbosch (2,12%) and Drakenstein (2,06%), this means George is the fastest growing town in our district.
Naik congratulated the administration, as well as Chief Financial Officer Keith Jordaan and his team, for George's financial independence. He referred to an article published in Business Insider on South Africa's most financially independent municipalities.
"George and Theewaterskloof are the only two municipalities in the Western Cape that form part of 28 municipalities nationally that are the most financially independent from national government," said Naik.
ANC Councillor Piet van der Hoven: "The people must know there is no way we can charge people more than the inflation rate for electricity."
In reply to Naik's address, ANC Councillor Piet van der Hoven took on the issue of the electricity, saying over and above the fact that the electricity is going up nationally, the municipality is still making most of its profit from electricity sales. On the financial independence of the municipality, Van der Hoven said the money that is being spent in disadvantaged areas are grants from National Government, with all the municipality's own funds spent in the affluent areas, George Central.
He said there is no reason to brag about infrastructure, and referred to the condition of Nelson Mandela Boulevard. "We are going to call it 'Hobbeltjie' Road," he said.
Read the full mayoral address of Melvin Naik.
Read a previous article: Housing tops mayor's speech
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