National Assembly:   15th September 2009

Honourable Speaker,

The dire state of the world economy has caused great harm to millions of ordinary South Africans, many of whom have to struggle daily just to purchase the basic foodstuffs that they need to survive. Yet, despite this situation, certain municipalities in KwaZulu Natal have suggested that a special fuel levy be introduced in order to increase their income generating capacities.

This suggestion is not only short sighted, but also selfish as it does not seem to take into account the impact that such a levy would have on ordinary people in the province. In the current economic climate this levy would serve to compound the economic woes that so many people are experiencing. It would increase the cost of transport and food, amongst other things, and ultimately push many more South Africans into despair and poverty with the poorest members of our society once again being the worst affected. This cannot and must not happen.

If the municipalities are looking for extra funds they should start examining their internal systems, and how to improve them; they should not look to the public as cash cows to fund their cash shortfalls. 

Better and more efficient debt collection, greater transparency and accountability with regard to spending as well as improved performance of their services are just some of the areas that they must improve upon which could have a positive impact on their cash flow without placing extra burden on the public.

Innovative thinking and good management are needed by the municipalities if they are to deliver to the public, not ill-conceived plans which will have disastrous consequences for ordinary citizens.

I thank you.

Contact: Narend Singh, 083 788 5954.