Peter Tanyanyiwa
The Harare City Council (HCC) has said that its ZWL$32,7 billion budget for 2021 running under the theme “Restoring Service Delivery: Towards a Smart City” seeks to address key service delivery issues such as water availability, trafficable roads and effective waste management.
Council recently said that their financial plan comprises of a capital budget of ZWL$8,4 billion and a revenue budget of $24.3 billion. The tariff regime has largely changed to match the prevailing macro-economic fundamentals and informed by the need to provide service delivery to all.
Even if it has changed it still does not match the amounts paid by residents in the US dollar era where an average householder was paying between US$30 to $40 compared to RTGS$1 7736 proposed in the budget.
HCC intends to restore service delivery as witnessed by the huge investment into the water and sanitation sector.
Council allocated 57 percent of capital expenditure towards water and sanitation infrastructure and a recurrent budget to bolster infrastructure projects deemed crucial for the attainment of an upper middle income status by 2030.
Council allocated ZWL$4,76 billion to water, sanitation and hygiene. Part of the allocation will be channelled towards optimisation of the city’s sewer treatment plants and efforts will be made towards the rehabilitation of farms which are critical in the waste water treatment process.
For the roads programme Council allocated ZWL$ 710 974 200. The city acknowledges the amount is paltry and has asked Zinara to avail more funding for capital works for intended projects outlined in its Capital Development Plan 2022 to 2024.
The state of the city’s roads remain deplorable largely due to the late disbursement of funds by Zinara and price variations caused by distortions in the market.
Public Safety and Security Services were allocated ZWL$221 529 900, Social Services ZWL$1 689 705, Governance and Administration Programme ZWL$962 453 700, Natural Resources, Conservation and Management ZWL$64 082 400, Total Capital budget ZWL$8,4 bill and Revenue budget $24.3 billion.
Through restoring service delivery the city believes it will develop the springboard for the transformation of Harare into a Smart City.
Presenting the City’s Budget Statement last week the Chairperson of the Finance and Development Committee, Councillor Tichaona Mhetu said the tariff regime might be painful, but it is necessary for the city to restore basic service delivery to its residents.
“Our expenditure is generally depended on the prevailing foreign currency auction system although our income remains largely local currency.
“Furthermore, the 2021 Revenue and Capital Estimates before you were developed in a manner that aims to fulfil Council’s 2021 Strategic Goals and our mid-term focussed goal of attaining 75% customer satisfaction,” he said.
Councilor Mhetu said the COVID-19 pandemic has had profound effects on the operations of Council and service delivery is at its lowest in the city’s history as the outbreak affected local public health, and has had unprecedented impact on local economies.
This, he said, has resulted in very low revenue inflows against a great demand for services particularly in the WASH, Social Service and Roads Sectors.