Esigodini residents sue council over 1 000 percent tariff hike

Mashudu Netsianda, Senior Reporter
ESIGODINI residents and the local business community have approached the High Court challenging a decision by Umzingwane Rural District Council to hike tariffs and rates by 1 000 percent without the approval of the Local Government and Public Works Minister July Moyo.

A total of 31 applicants under the Umzingwane International Business Association (UIBA) and Esigodini Residents Association (ERA) through their lawyers Mabundu and Ndlovu Law Chambers filed an urgent chamber application at the Bulawayo High Court citing Umzingwane RDC and the Ministry of Local Government and Public Works as respondents.

They want an order interdicting Umzingwane RDC from increasing commercial tariffs, residential rates, licences and permits without the approval of Minister Moyo. They argued that the levies were grossly unreasonable and highly irregular.

The applicants have since lodged an objection and want council to accept payments at the approved tariffs pending consideration and approval by the Minister.

In his founding affidavit, the chairperson of the UIBA, Mr David Ncube said the council is not willing to engage them in dialogue to come up with an interim solution. He said council unilaterally came up with shocking tariffs without conducting budget consultations.

“This is a court application to interdict the first respondent (Umzingwane RDC) from levying fines pending the finalisation of the objections lodged by applicants. Furthermore, it is an urgent chamber application to compel Umzingwane RDC to accept payments for the residential dwellings within its jurisdiction and payments of all levies due to it at the cost prescribed tariffs including but not limited to business permits, shops, mining licences and so on,” he said.

“Umzingwane RDC is issuing fines ranging from $500 upwards while police are also imposing fines and arresting UIBA members before finalisation of the rates.”

Last year, Umzingwane RDC advertised proposed tariff hikes for all levies by 1 100 percent. However, UIBA has lodged an objection, arguing that there was no justification for the high rates.

ERA said the tariff hike was not in tandem with the general income of the residents.

“No budget consultations were held despite demand, the Umzingwane RDC failed to account to UIBA as the representative umbrella body of the financial standing of the council. As per norm and procedure, Umzingwane RDC has to follow procedures as laid down in its enabling Act,” said Mr Ncube.

“The objection of UIBA was not that the Umzingwane RDC should not levy an increment on levies and fees. That has always been the norm that rates and levies are fixed by the council. The objection is premised on the gross unreasonableness of the shocking hike.”

The respondents are yet to respond. — @mashnets

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