eThekwini Municipality's infrastructure surcharge extension sparks outrage

THE eThekwini Municipality has approved a two-year extension of an infrastructure surcharge despite fierce opposition from ratepayer and civic associations, and political parties.

While the municipality claims the surcharge has generated over R600 million for critical water infrastructure projects, it has been argued that residents are unfairly bearing the financial burden of historical mismanagement and poor service delivery.

The municipality’s executive committee (EXCO) endorsed the extension of the infrastructure surcharge and it was approved during a full council meeting last Wednesday.

According to the municipality, council had adopted a policy to charge consumers an infrastructure surcharge of R1.50 per kilolitre in 2023.

To date, the municipality had generated an income of R623.8 million.

“These funds have been ring-fenced specifically for water and sanitation and utilised to address a number of mechanical, electrical and electronic related projects. In total, 31 projects have been implemented, and work is ongoing. 

“The surcharge will be implemented over a two-year period to provide for a further investment of approximately R490 million, which is critically required to provide continued sustainable provision of water and sanitation services,” read the municipality’s statement 

The projects included functional upgrades to the Southern Wastewater Treatment Works, rehabilitation of the Umbilo Wastewater Treatment Work, Northern Wastewater Treatment Work and Umdloti Wastewater Treatment Works and catchment, rehabilitation of flood damaged infrastructure in Hillcrest and Glenwood Road and upgrading of the Ntuzuma Pumpstation.

Cyril Xaba, the eThekwini Mayor, said the demand for water and sanitation services continued to increase.

He said the surcharge “will go a long way in maintaining and expanding infrastructure”.

“It would also assist us to curb water losses and sewer spillages as a substantial amount will go towards repair and maintenance,” he said.

Political parties

- Yogis Govender, a DA member of the EXCO, said it was an “unjust and unnecessary” burden on already struggling ratepayers. 

She said it also highlighted the municipality’s alleged deepening financial mismanagement and refusal to take responsibility for the crisis it had created.

“With almost R40 billion in uncollected debt, of which a staggering 40% relates to water, the city’s financial problems are largely self-inflicted. Instead of holding defaulters accountable and recovering these funds, the ANC-IFP leadership has chosen to punish those who continue to pay their bills. This approach is unfair, unsustainable and indicative of a government that prioritises quick revenue grabs over real solutions.”

Govender said the municipality’s 58% water loss, which represented billions of rand in wasted revenue every year, was equally alarming. 

“This money could have been used to repair ageing infrastructure, upgrade water systems and prevent supply interruptions. Yet, year after year, the municipality fails to fix leaks, stop illegal connections and improve maintenance.

“Therefore, the extension of this water surcharge is a slap in the face of hardworking citizens who are doing their best to keep up with rising costs of living. Residents are fed up with paying for government failures, and their frustration is justified,” she said. 

- Jane Govender, an IFP member of the eThekwini Municipal Public Accounts Committee, said while it was not a suitable or ideal action, the situation necessitated it. 

“The implementation of the surcharge is levied in order to rehabilitate eThekwini's ageing and  fragile infrastructure after the 2022 floods and the erstwhile years of non-maintenance which has resulted in major sanitation pump stations being dysfunctional with waste collating in our estuaries and oceans. To not attend to the current crises would be catastrophic. The funds collected are ring-fenced for specific capital projects that are implemented in response to this purpose.”

- Niel Patchapen, an African Democratic Change councillor, said: “While we acknowledge the urgent need for wastewater treatment upgrades and flood-damaged infrastructure rehabilitation, we cannot ignore that this ‘infrastructure surcharge’ is effectively another tax on our residents.”

He said households that were already struggling to put food on the table, paid for transport, and kept up with municipal bills are now expected to fund projects that should have been budgeted for properly and managed responsibly years ago.

“The truth is, many of these upgrades are long overdue because of mismanagement, corruption, and lack of preventative maintenance within the municipality. To now pass the cost onto ordinary residents instead of cutting wasteful expenditure, tackling corruption, and reprioritising the existing multi-billion-rand municipal budget  is unfair.

“We believe infrastructure development must be funded through better financial management, curbing irregular expenditure, and holding those responsible for past neglect accountable not through squeezing the poorest even further. Our residents deserve safe sanitation and reliable services, but they should not be forced to pay twice - first through their normal tariffs and taxes, and again through this surcharge." 

- Shameen Thakur-Rajbansi, leader of the Minority Front (MF), said they had voted against the extension of the infrastructure surcharge. 

“We argued that it unfairly burdens eThekwini residents who are already struggling in a tough economic climate. While the MF supports urgent infrastructure upgrades, including the rehabilitation of wastewater treatment works, pump stations, and flood-damaged roads, we believe that better financial planning and accountability should be prioritised over adding further costs to ratepayers.”

Ratepayers and civic associations

- Raakhee Bridgmohan, secretary of the Shallcross Civic and Ratepayers Association, said they “strongly” opposed the extension of the infrastructure surcharge. 

“Residents are already paying some of the highest tariffs in the country for unreliable water and sanitation services. Extending this surcharge is essentially punishing communities for the municipality’s own failures in maintaining infrastructure over the years.”

She said while there had been a slight improvement in water supply in parts of the Shallcross area, many households still faced extended outages. 

“The excuse of ‘low reservoirs’ continues without clear explanation, JoJo tanks remain empty due to lack of tanker refills, and aging pipelines are bursting with increasing frequency, worsening the crisis. Residents deserve transparency, accountability, and real solutions, not higher bills for services they often do not receive,” she said. 

- Abdool Valodia, chairperson of the Overport Ratepayers Association, said: “While the intention behind the surcharge to fund critical water and sanitation infrastructure is undeniably necessary, the decision to extend it is problematic and places an unfair burden on residents.

“The city is essentially asking residents to pay an additional fee to fix a system whose failures they are already disproportionately suffering from. Many communities, particularly in historically disadvantaged areas, continue to battle with persistent water outages, sewage spills, and a lack of basic services. Charging them more for the promise of future repairs, while they endure current failures, erodes public trust and punishes those already hardest hit.”

Valodia said while the projects were vital, the municipality must demonstrate far greater fiscal responsibility and efficiency. 

“Residents need a clear, transparent audit of how the funds collected from the previous period of this surcharge were spent and what specific milestones were achieved before being asked to pay again. Furthermore, instead of consistently reverting to raising tariffs on residents, the city must explore more creative and equitable ways to generate revenue.” 

- Alice Govender, chairperson of the Phoenix Civic and Ratepayers Association, said: “The approval of the surcharge, once again shows that the administration of the day is unable to 'read the room'. This surcharge is an additional financial burden on the city's paying customers, who are already struggling with the recent increases in water and electricity tariffs. 

“We believe the city needs to have a fully functional ‘recoveries department’ focused on getting back monies lost through corruption, financial misconduct, mismanagement of funds and wasteful expenditure.”

Govender said areas in Phoenix still experienced a high volume of leaks and poor workmanship on repairs. 

“The ongoing housing development issue is also having a direct negative impact on the aged and failing water infrastructure.” 

- Dhanashwar Basdew, secretary of the Verulam Civic Association, said they were opposed to the extension. 

“While the upgrade and rehabilitation projects are essential, shifting the financial burden onto residents, many of whom still face daily curtailments, low-pressure events, and historical billing issues is unfair. It undermines equity and fails to resolve systemic revenue challenges.”

Basdew said the association was concerned about the ongoing water risks facing residents of Mountview and Trenance Park, as well as surrounding areas. 

“The reservoirs at the very end of the Northern Aqueduct, remain highly vulnerable to supply cuts whenever pressure drops or upstream faults occur. Although the Hazelmere–Grange–Mountview pipeline was introduced to ease strain, its staggered rollout has left communities like Trenance Park exposed. Combined with ageing infrastructure that is already running at maximum capacity, this means frequent and extended water shortages continue.

“We urge the municipality to fast-track completion of the augmentation works, introduce redundancy in the system, and improve communication with affected communities. In addition, our community deserves transparent accountability and efficient operations, not another surcharge that deepens financial strain,” he said. 

- Rachael Naidoo, secretary of the Tongaat Civic Association, said the surcharge was unjustified. 

“Some residents are carrying the burden of exorbitant utility bills while receiving abysmal levels of service delivery. In Tongaat specifically, our community continues to battle with severe water challenges, worsened by last year’s floods and the slow pace of infrastructure rehabilitation. It is unjust to demand more money from residents who are not even guaranteed basic services.

“The problem is not a lack of funding but rather poor management, weak governance, and widespread inefficiencies. Instead of placing further financial strain on honest ratepayers, the municipality should prioritise, repairing water leaks and preventing non-revenue water losses, tackling illegal water and sanitation connections,  and recovering funds lost to corruption and maladministration,” she said. 

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