Kouga – Kouga Local Municipality has approved its mid-year adjustment budget for the 2024/25 financial year, amounting to R1.735 billion at an Ordinary Council meeting on Wednesday, 29 January 2025.

The adjustments budget comprises R1.455 billion for the Operating Budget and R279.073 million for the Capital Budget. This reflects a 5.20% decrease in the Operating Budget, amounting to R79.758 million, from the previously approved R1.535 billion. The Capital Budget also decreased by 26.33%, with a reduction of R99.753 million, from the previously approved R378.826 million.

Budget As A Reflection

Kouga Executive Mayor, Hattingh Bornman, said, “While the adjustments reflect reductions, they are necessary to prioritise projects that will have the greatest impact on our communities. This budget is a reflection of our commitment to responsible financial management and the continued improvement of services across Kouga.

Despite the reductions, the Capital Budget includes significant investments in key infrastructure projects. Among these are the electrification of informal settlements, with R3.5 million allocated to Sea Vista and R2 million to Ocean View (Ebumnyameni).

A road resealing project has also been prioritised, with R50 million allocated for the 2024/25 financial year and an additional R150 million planned for 2025/26 through funding from the Development Bank of Southern Africa (DBSA).

Bornman highlighted the municipality’s focus on addressing critical infrastructure needs.

“Projects like the electrification of informal settlements and the road resealing initiative are vital for improving the quality of life in Kouga. These developments are part of our broader vision to create a connected, safe, and sustainable region,” he said.

Kouga approves R1.735 billion

The adjustments budget also includes an additional R83.804 million from the Eastern Cape Department of Human Settlements (ECDHS) for upgrading bulk-link infrastructure under phase 3 of the Urban Settlement Development Grant (UISP Incremental Grant) project. These funds, to be utilised over the 2024/25 and 2025/26 financial years, will support infrastructure upgrades across nine UISP settlements.

“This funding allows us to address long-standing infrastructure challenges while laying the foundation for future growth,” said Bornman. “Our goal is to ensure that every resident of Kouga has access to basic services and the infrastructure they need to thrive.”

The approved adjustments budget demonstrates Kouga Municipality’s ongoing commitment to balancing financial responsibility with community development.

“With this budget, we are building a stronger, more resilient Kouga for everyone who calls it home,” said Bornman.

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