Nelson Mandela Bay residents are once again being asked to accept higher municipal tariffs, and many are left asking a very simple question: where exactly is the money going?
The city is governed by an ANC-led coalition headed by executive mayor Babalwa Lobishe.
Under this administration, residents are now expected to absorb another round of increases, including a proposed electricity hike of close to 11%.
In principle, no-one disputes that a municipality needs revenue to function.
The issue is that residents are already paying more each year while basic services continue to decline.
Water interruptions, sewage spills, potholes, ageing infrastructure and unreliable electricity supply are part of daily life in many communities.
Businesses face the same reality, operating in an environment where infrastructure instability is becoming the norm rather than the exception.
The concern is that this is not only a revenue issue, but an efficiency and governance issue.
The city continues to lose significant amounts of money through water leaks, non-revenue water, illegal connections, electricity losses and weak enforcement.
These losses are not minor inefficiencies; they represent substantial financial leakage in a system already under strain.
Every litre of treated water lost and every illegal connection left unaddressed adds to the financial pressure on the municipality, which is then passed on to paying residents.
Before increasing tariffs, the logical first step should be to fix these losses.
Residents who are paying their accounts should not be expected to subsidise system failures that remain unresolved.
There is also the issue of underspending and poor execution of funds already allocated.
In recent years, portions of infrastructure grants and budgeted allocations have reportedly gone unspent or have been returned due to delays and implementation failures.
This raises a fundamental concern: if the city is not fully using the funds it already receives, how can residents be confident that additional tariff revenue will be spent effectively?
This concern is not theoretical. It is visible in deteriorating roads, ageing infrastructure and ongoing service delivery failures despite annual budget allocations.
The broader economic context makes this even more urgent.
Nelson Mandela Bay continues to experience high unemployment, weak investment, business closures and declining economic confidence.
Investors require reliable infrastructure and stable services.
When those fundamentals collapse, investment leaves, jobs are lost and the remaining ratepayer base shrinks further.
Residents are therefore being asked to carry increasing financial pressure in a city that is simultaneously losing economic strength.
There is also a widening gap between political assessments and lived reality.
In recent public remarks, Lobishe reportedly rated her administration’s performance at about 80%.
Many residents struggling with basic service delivery would find it difficult to reconcile that assessment with what they experience daily.
What is missing is not only funding, but accountability, transparency and measurable delivery.
Before any tariff increases are approved, the municipality should clearly outline:
- How much additional revenue will be generated;
- Exactly where it will be spent;
- Which infrastructure projects will benefit;
- What measurable improvements residents should expect; and
- How progress will be monitored and reported.
Most importantly, the municipality must demonstrate that it has exhausted all reasonable efforts to reduce losses, recover debt, improve efficiency and properly spend existing allocations before asking residents for more.
Nelson Mandela Bay deserves a municipality that fixes leaks before raising tariffs, uses allocated funding before requesting more, and restores basic service delivery before increasing the cost of living.
Residents are not unwilling to pay for a functioning city.
What they cannot continue to accept is paying more for a system that is still leaking money, underperforming and failing to deliver consistent basic services.
Before the budget is passed on July 1, residents should submit their objections here: idpoffice@mandelametro.gov.za
A frustrated resident