uMgungundlovu

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DEAR-SOUTH-AfFRICA

uMgungundlovu District municipality (Impendle, Mkhambathini, Mpofana, Msunduzi, Richmond, uMngeni, uMshathi) calls for public comment on proposed tariff increases, the draft budget and IDP

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    The uMgungundlovu District in KwaZulu-Natal is currently a major focus for the 2026/2027 budget cycle. As of April 18, 2026, the district is seeing a significant split: Msunduzi (Pietermaritzburg) has proposed one of the lowest property rates increases in the country, but this is contrasted by massive double-digit hikes for water 💧 and sanitation across the entire region.

    In this district, Msunduzi acts as its own Water Services Authority (WSA), while the uMgungundlovu District Municipality (UMDM) provides water and sanitation services to the other six local municipalities.

    INCREASES ARE AS FOLLOWS

    Staff salaries 4.75%

    Msunduzi Local Municipality (Pietermaritzburg)
    Msunduzi’s draft budget, discussed in council and public sessions as recently as this week, highlights a strategy of “minimal rates growth” paired with “cost-reflective utilities.”

    Proposed Increase (%) Context / Reason
    Property Rates 1.2% 📉 A “low outlier” intended to cushion residents, though ratepayers argue property valuation hikes may offset this.
    Electricity 9.26% Aligned with the NERSA-approved municipal bulk increase.
    Water 13.0% 🚩 Driven by the 13% bulk increase from uMgeni-uThukela Water.
    Sanitation 13.0% Mirroring water hikes to fund aging sewer network repairs.
    Refuse Removal 3.7% 🗑️ Pegged below the current inflation target.

    uMgungundlovu Locals (The “District Water” Group)
    For the remaining locals, the District Municipality (UMDM) determines the water and sanitation costs, while the locals set their own rates, refuse, and electricity tariffs.

    Electricity Property Rates Refuse Water & San (WSA: UMDM)
    uMngeni (Howick) 9.01% ~3.5% – 4.5%* 4.5% ~13.0% – 15.0%
    Richmond 9.01% 4.6% 4.6% ~13.0% – 15.0%
    uMshwathi 9.01% 4.5% 4.5% ~13.0% – 15.0%
    Mpofana 10.92% 4.5% 4.5% ~13.0% – 15.0%
    uMkhambathini 9.01% 4.5% 4.5% ~13.0% – 15.0%
    Impendle 9.01% 4.5% 4.5% ~13.0% – 15.0%

    *uMngeni (under Mayor Chris Pappas) has historically aimed for 0% or low-CPI rates increases to encourage investment, but is currently navigating high infrastructure maintenance costs.

      • The 13% Water Crisis: The 13% hike for water and sanitation is nearly triple the 4.75% staff salary increase given to municipal employees.
      • Msunduzi’s “Rates Buffer”: At 1.2%, Msunduzi has the lowest property rates hike in the district. However, resident associations (MARRC) are pointing to R715 million in electricity losses and R116 million in water losses as the reason why utility hikes are so high—residents are effectively paying for the municipality’s “leakage.” 🚰
      • uMngeni Infrastructure: In Howick and Hilton, residents are being encouraged to comment on whether the 9.01% electricity hike is being adequately reinvested into the grid, given recent legal disputes between uMngeni and Msunduzi over power supply. 🔌

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