EDITORIAL COMMENT: Rural councils have no justification to increase tariffs

HARARE City Council, the country’s biggest local authority, has announced a $369,3 million budget for 2014 which will result in tariffs and other service charges being revised downwards while ambulance, hospital and burial fees will not be changed. The council’s Finance and Development Committee chairman, Councillor Allan Markham, said instead of reviewing tariffs and other charges upwards, council will strive to widen its revenue base.

Clr Markham said council was not increasing tariffs and other service charges for the fourth year running.
He said council would widen its revenue base by including all ratable properties not yet on its valuation roll and make efforts to ensure that all its residents had access to treated municipal water.

Clr Markham said fixed water charges in both the low and high density suburbs will be reduced and similar reductions will be implemented for sewer charges. Fixed water charges will also be reduced in industrial areas.

The council has also reduced vending fees for vendors at Mupedzanhamo flee markets and vegetable vendors at Mbare wholesale market.
What is mind boggling is that while big cities like Harare have resolved to revise tariffs downwards, rural district councils that are presiding over the affairs of the poorest of the poor want to increase tariffs and other fees next year.

According to a story carried by this paper on Saturday, most rural local authorities have already notified residents and other stakeholders of the pending increases in tariffs and other fees.

The councils intend to increase levies, licence fees and other service charges with effect from January next year.
Rural councils such as Kusile, Umzingwane, Bubi, Insiza, Binga Mberengwa, Tsholotsho and Runde have given stakeholders 30 days to submit objections if any to their proposals to raise the tariffs and other fees.

Urban councils such as Victoria Falls and Lupane local board are reported to have also resolved to increase tariffs and other fees. It is a fact that residents in both urban and rural areas have been finding it difficult to pay council bills hence Government directed all local authorities to write off residents’ debts accumulated between February 2009, when the country introduced multi-currency, and 30 June this year.

Government had realised that most residents were unable to clear their arrears which were running into thousands of dollars.
The situation has not changed much as the country is still battling to turn around the economy. Most workers are still out of employment as many companies have either closed down or scaled down production.

It is against this background that councils like Harare have resolved to review their tariffs and other service charges downwards and in some cases have maintained the 2013 fees.

We therefore do not understand the reasoning behind the decision by rural local authorities to increase their tariffs and other fees.
The rural district councils are servicing some of the poorest communities who are struggling to make ends meet. Many of the families under their areas of jurisdiction are in urgent need of food aid and therefore cannot be expected to meet increased tariffs and other fees.

The businesses operating in the rural areas have been adversely affected by the consecutive years of drought which have seen many of their customers failing to harvest anything.

These businesses service rural families whose income is derived from farming so when there is poor harvest it means poor business for these rural businesses.

This penchant to increase tariffs and fees just because it’s a new year should not be allowed to continue.
The rural district councils should consider the plight of their people given that many of them have been struggling to pay existing tariffs and other fees.

The economy, as already alluded to, is yet to turn around, a fact that councils should consider seriously when coming up with their budgets for 2014.

It serves no purpose to come up with tariffs and other service charges that residents cannot afford. We want to appeal to rural district councils to re-visit the issue of their proposed tariffs and other fees increases taking a cue from Harare City Council.

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