EThekwini Municipality has approved its 2026/2027 Medium Term Revenue and Expenditure Framework (MTREF) budget, despite strong opposition from several political parties over tariff increases and ongoing service delivery challenges.
The budget was passed during a Special Council meeting on Thursday.
The Democratic Alliance (DA), ActionSA, the Minority Front (MF) and the Democratic Liberal Congress (DLC) opposed the budget, recording 63 votes against it.
The African National Congress (ANC), Inkatha Freedom Party (IFP), Economic Freedom Fighters (EFF), Truly Alliance (TA), People’s Freedom Party (PFP) and National Freedom Party (NFP) voted in favour of the budget, with 129 votes. There were no abstentions.
The approved tariff increases were reduced from the amounts initially proposed.
The electricity tariff increase was reduced from 10.5% to 9%, while the property rates increase was reduced from 5% to 2%.
The water tariff increase was reduced from 15% to 12% for domestic customers and from 16% to 13% for business customers.
Sanitation increases were reduced from 13% to 8% for domestic customers and from 14% to 9% for business customers.
The refuse tariff increase was reduced from 13% to 9.5%.
IFP councillor Dr Jonathan Annipen said the lived reality for many residents remained one of ageing infrastructure, water losses, billing problems and unreliable services.
“The lived experience of our people is one of ageing infrastructure, a staggering 59% non-revenue water loss, an ongoing billing crisis that continues to financially cripple households and businesses, and frequent water and electricity outages that have become part of daily life,” said Annipen.
He said residents continued to face serious service delivery failures while the city spent money on high-profile events.
“Red-carpet events, concerts and fireworks displays may create attractive headlines, but they do little to comfort residents who live alongside overflowing sewer systems, streets heaped with rubbish and the unchecked growth of informal settlements. These spectacles are seen not as progress, but as an insult to communities that continue to endure declining service delivery,” he said.
DA eThekwini Chief Whip, Councillor Yogis Govender, also criticised the budget, comparing it to what she called “Budgetitus”.
“While municipal leadership executes fancy footwork, trying to spin a heavily opposed tariff reduction concession as a victory, residents are highly aware that they are still being asked to pay a lot more for services they don’t get,” said Govender.
She said the city’s budget was far removed from the daily struggles experienced by residents.
“The daily reality makes the city’s recently tabled draft budget feel like pure science fiction. The municipality claims this is a balanced roadmap to make Durban ‘Africa’s most caring and liveable city’. In reality, it is a rinse and repeat in financial smoke and mirrors, designed to extract more blood from a ‘budgetitus’ patient who has been in ICU for years,” she said.
ActionSA KZN provincial chairperson Zwakele Mncwango acknowledged that some tariff increases had been reduced, but questioned whether the budget addressed the root causes of the city’s failures.
“Communities are forced to live with sewer spillages, broken infrastructure, non-functioning streetlights and unreliable electricity supply. The municipality itself admits that poor service delivery, ineffective repairs and poor contractor performance remain major concerns raised by the public. Yet this budget fails to confront the root causes of these failures,” said Mncwango.
ANC councillor Zama Sokhabase supported the budget, saying it had been drafted under difficult global economic conditions and sought to respond to residents’ concerns.
“It seeks to support economic recovery and provide social development intervention. We heard residents’ concerns and this included recreational spaces, as well as clinics. We believe this budget is a direct response in addressing social issues,” said Sokhabase.
Following a month-long consultation process with residents and various sectors, eThekwini Mayor Cyril Xaba said the budget marked an important moment for the city.
“This budget marks a defining moment for the challenges we have overcome, the progress that we have made and lays the foundation for what lies ahead,” said Xaba.
He said the city could not ignore the rising number of community protests and needed to respond to residents’ concerns.
“We can’t speak honestly about this city without addressing the rising tide of community protest. We need to hear and respond attentively. This budget was subjected to 12 hearings across the city. The process was constructive and appreciated by residents. Not all requests could be accommodated due to the financial envelope,” he said.
Xaba said the budget balanced service delivery, infrastructure renewal, job creation, affordability and financial sustainability.
“The budget is to ensure efficient and effective service delivery to residents in order to uplift their quality of life. It allocates significant resources to accelerating service delivery, upgrading ageing infrastructure and implementing spatial transformation,” he added.
