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TWK has deficit of R11m

Stakeholders from Theewaterskloof (TWK) were invited to a draft budget summit discussion on Thursday.

The biggest challenges facing TWK are its financial sustainability, the impact of the migration phenomenon, the gap between service delivery and expectations, and bulk services capacity being a serious threat to their overall sustainability.

Christelle Vosloo, Executive Mayor of Theewaterskloof, says 54% of residents are indigents and 46% are ratepayers. “This is a variable that the municipality has no control over,” she said.

The draft budget financial principles were presented by Ashwille Riddles of the TWK finance department. He said the 2016 IDP workshop council had identified 11 focus area challenges, and the 2019-20 budget priorities will have to be aligned with these.

“The 11 focus areas are the impact of the migration phenomenon that needs to be mitigated, the financial sustainability of the municipality needs to be improved, the impact of ageing infrastructure and bulk services capacity is a serious threat to their overall sustainability,” Riddles pointed out. He said the gap between expectation and the institutional capacity of the municipality is growing and needed to be narrowed.

Draft capital projects for 2019-20 for Bot River is R13 439 449, Caledon’s allocation is R28 969 364, Grabouw is allocated R47 million, Greyton R4,6 million, Riviersonderend R7,8 million and Villiersdorp R15,7 million.

Riddles said TWK has received grant funding of R2 million, which is not nearly enough to cover its capital needs.

“TWK currently has a deficit of R11 million.”

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