Gweru to maintain 2017 budget

GWERU city council has proposed a slightly reduced 38 million budget for 2018 from last year’s 40 million.

According to the proposed budget in possession of The Herald, the cash strapped local authority has also resolved to freeze salary increments while maintaining the 2017 salary schedule.

“The 2018 budget has been crafted in recognition of the harsh economic climate and the realization that inflation will remain within the single digit zone. As such the budget will be a static budget with necessary adjustments. The obtaining difficulties facing the residents and all other clients do not favour any slight increase in tariff as and this calls for council to be more innovative in delivering service at low cost without compromising quality,” said the council’s finance director, Mr Edgar Mwedzi in the report.

While most tariffs remained as they were last year, the new budget has been affected after the local authority scrapped money it expected from billing the Zimbabwe Electricity Transmission and Distribution Company (ZETDC) for unproductive land under its power lines under the Way Leaves levy. This was after ZETDC approached the courts challenging the deciding.

“As such the budget will be a static budget with necessary adjustments to compensate for the way leaves which will not be part of this budget as the income might not be realised after all,” said Mr Mwedzi in the report.

Mr Mwedzi said the council will not increase employees’ salaries citing a distressed budget.

“Since the 2018 budget will be static, it also implies that there will be not be any salary adjustments in the year 2018,” he said.

According to the budget report, salaries and allowances gobbled 15 million, nearly half of the total budget.

Gweru city council is also expected to increase its water pumping capacity from the current 60 percent to 70 percent.