Municipality helps poor and elderly cut costs
2008-12-04
THE Drakenstein Municipality has approved increases to the indigent subsidy scheme to save poor communities and the elderly millions of rands annually in a bid to ease the burden of the current financial crisis. Not only will the poor pay even less for services, but the beneficiaries in the scheme will also increase from the current 8 000 to 16 000. The current criterion for qualification in reduced municipal fees is an income of less than R1 880 per household per month. Under the new approach, the minimum income qualification will increase by 30% to R2 444. The Municipality will also engage in a drive to encourage individuals in poor communities to register with the Municipality in order to benefit. Farm workers have also been targeted, through savings in their employers’ contribution payment for services. It is estimated that the subsidy granted for one year will amount to about R48 million. “The Municipality has taken into account the burden the poor face in these difficult times,” says Executive Mayor Charmaine Manuel. “Although the current financial burden is not of our making, we believe that the Municipality should help the poor save money for key commodities such as food and clothing.” The savings, which came into effect on December 1, cover water, electricity, refuse removal, sewerage services and property rates. The grant will increase from R203,34 to R278,44. In the case of unemployed individuals the grant is R304,94. Municipal staff would have to work overtime to capture details of the beneficiaries, with possible help from unemployed individuals. The practical implications for poor households are as follows: • Free electricity to increase from 50kw to 100kw, including the unemployed • Free electricity of 100kw to households on local farms, for the first 5 000 applicants • The R55 sewerage subsidy to increase to R75 • The R55 refuse removal subsidy to increase to R75 • Free water of 6kl will now increase to 10kl • Residents of old age homes to be subsidised by R150 per month per couple on refuse collection and sewerage services • All registered poor households to be exempted from interest on arrear accounts The Mayor further encouraged all affected individuals to register at their nearest municipal office.
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