Msunduzi Municipality faces backlash over proposed tariff increases - 9.2% for electricity, 13% for water

THE residents in Msunduzi Municipality have vowed to challenge the new tariffs proposed for the 2026-2027 financial year should they be passed. Last week, the municipality proposed new tariffs for the 2026-2027 financial year. The public will be engaged in public consultation in the coming days, and if the tariffs are approved, they will come into effect in July.

The city has appealed for calm regarding the tariffs, stating that they are draft proposals, and no final tariffs have been approved at this stage. Ratepayers and opposition parties, however, stated that even at the proposal stage, the tariffs are unjust.

The proposed tariff increases show that:

• 9.26% has been proposed for electricity,
• 13% for water,
• 13% for sanitation,
• 1.2% for rates, and
• 3.70% for refuse removal 

Anthony Waldhausen from the Msunduzi Association of Residents, Ratepayers and Civics (MARRC) said MARRC is totally against the tariff increases for 2026/2027, stating they are unjustified.

“Each year, Msunduzi municipality increases the tariffs but doesn't link the increases with service delivery, which is very poor and at times not available. The municipality wants to increase refuse collection, but at most times is unable to collect, or there are major delays in refuse collection.”

He noted that recently the Gauteng High Court passed a judgment requiring four municipalities, including Msunduzi, to recalculate their electricity tariffs and provide them to the National Energy Regulator of South Africa (Nersa) for 2025/2026.

This means that they may increase the electricity tariff to double figures that residents cannot afford.

“There should be a moratorium on any tariff increases until the municipality improves its operations and focuses on widening the revenue collection for the municipality. MARRC will strongly oppose any tariff increases, and residents need to mobilise to stop these increases,” he said.

ACDP councillor Rienus Niemand expressed concern that year after year, the administration sends out proposed tariffs for public comment that are twice and three times the inflation rate.

“Over the past 10 years, tariffs have risen by more than 50% above the inflation rate and the average salary increases in South Africa. These proposed tariffs are unaffordable. This while the quality of municipal services is deteriorating and theft and corruption are on the rise. The ACDP demands that the inept, incompetent, corrupt officials and politicians who are responsible for the state of affairs, be removed” he said.

DA leader Ross Strachan stated that there was no need to rush to publish these tariffs, saying there are many other matters to consider.

“The reality is unavoidable; Msunduzi is attempting to shift the cost of its own failure to address losses, theft, and mismanagement onto paying residents, instead of fixing the system. This approach places further pressure on households already struggling with rising living costs and on local businesses, as the ratepayer base shrinks and becomes more overburdened.

“There is significant potential revenue within the existing system that can be recovered if there is political will and competent management. Until this revenue is identified and secured, tariff increases cannot be justified.”

In a statement, the municipality called for calm, saying the public will have a say on what is eventually passed as new tariffs.

“The municipality emphasises that the approved tariffs are indicative and not final and are published specifically to allow stakeholders and the broader community of Msunduzi to engage meaningfully, provide inputs, and express their views before any final determination is made by the Council.”

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