2026/27 Draft Budget tabled
for public consultation
ROMITA
HANUMAN-PILLAY
ETHEKWINI
Mayor Councillor Cyril Xaba tabled the City’s R74.7 billion budget during a
Full Council meeting on 31 March at the Inkosi Albert Luthuli International
Convention Centre.
With an operating budget of R68.8 billion
and a capital budget of R5.9 billion, it will now be released to all sectors
for consultation and feedback and will thereafter be adopted in May, after
considering all comments.
The Draft Budget is based on the
principles of sustainability and realistic revenue projections and projects
that are ready for rollout.
Mayor Xaba said: ‘’The 2026/27 Draft
Budget highlights that eThekwini Municipality is able to endure a challenging
economic environment and emerge stronger, more sustainable, and better
positioned to serve communities. This budget balances fiscal discipline with
targeted revenue growth, aiming to manage high debt while supporting vulnerable
households, infrastructure and job creation.’’
As a caring Municipality, the provision of
rates rebates and a basket of free basic services will be funded through
equitable share. A significant chunk of the budget is prioritised for Trading
Services Reforms, which aims to improve efficiency in water sanitation, and
energy. A total of R1.1 billion will be spent on Trading Service Reform
projects.
The capital budget for the 2026/27
financial year amounts to approximately R5.9 billion and will be spent on the
upgrade and expansion of wastewater treatment works, replacement of water
pipes, and water loss prevention.
The budget will be presented to residents,
business, and civil society through a series of consultations that will be
advertised on the City’s official platforms and in the media.
The proposed tariff increases are based on
the increases submitted by bulk providers, Eskom (9 percent) and
uMngeni-uThukela Water (13 percent), taking into account the affordability of
residents and the sustainability of the Municipality.
Water
Residential – 15%
Business – 16%
Electricity
Residential – 10.5%
Business – 10.5%
Sanitation
Residential
Business
Property
Rates – 5%
Refuse
–
13%
To ensure alignment with ward priorities,
the Municipality has started engagements with councillors. At these meetings,
draft capital budget allocations are presented per ward, providing councillors
with an opportunity to review proposed projects, identify any discrepancies or
omissions, and submit corrections and additional inputs.












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