Stay and pay, or pack up and move out?

Date: 25 July 2014 By: Linda van der Westhuizen

Should residents of Makhado (Louis Trichardt) rather consider moving to Polokwane?

If the basis for the decision were to be property rates, the answer would be a definite yes.

When the local property rates and those of Polokwane are compared, the result is glaringly out of proportion, with the residents of Makhado (Louis Trichardt) getting the raw deal. The owner of a property of R2 million in town will pay a whopping R12 600 per year in property rates, whereas the owner of a R2 million house in Polokwane will pay R8 200 per year. A residential property of R2 million in Pretoria will cost R18 000 per year in property rates. One could reason that the local rate should be below that of Polokwane and not closer to a metro’s tariffs.

Polokwane Local Municipality only levies a tariff of .0043 on a residential property as from 1 July this year, whereas the new tariff for Makhado (Louis Trichardt) is .0064. Polokwane exempts the first R85 000, whereas the Makhado Local Municipality exempts the first R23 440. Businesses in Polokwane pay a property rate of .00863, while businesses in Makhado (Louis Trichardt) will have to cough up a tariff of .0097.

In Faerie Glen in Pretoria, a quick survey showed that three-bedroom houses currently offered for sale range from R1 million to R1,7 million. In another instance, the municipal valuation of one three-bedroom house with flatlets in Kilnerpark was R695 000. The property is situated in a much better area than the one below Rissik Street in Makhado (Louis Trichardt), where municipal valuations are outrageous and anything from R200 000 to far more than R1 million above market value. Municipal valuations are normally below the market value. 

As for a possible consideration to move to Polokwane, the city's electricity tariffs can also be a factor. Electricity tariffs in Polokwane for the different tariff blocks are between 5.9% and 7.2% higher for block 1 to 3 than the previous financial year. Block 1, being the one for KWH usage between 0 and 50, increased by 5.9%, block 2 (between 51 and 350) increased by 6% and block 3 (between 351 and 600) by 7.2%. The Makhado Municipality announced an electricity tariff increase of 7.39%.  The exact tariff for each block remains to be seen, once residents receive their accounts.

In the meantime, the Soutpansberg Ratepayers Association (SRPA) had a meeting with the municipal manager, Mr Sakkie Mutshinyali, on 17 July during which they argued against the inclining block tariffs for electricity. The municipal manager requested the relevant documentation and will prepare an answer. 

At the same meeting, the SRPA brought to the fore how extremely expensive it is to stay in Makhado (Louis Trichardt). Not only are the values of many properties out of proportion but the property rates are also too high. After having received the documentation, Mr Mutshinyali will respond.

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Linda van der Westhuizen

Linda van der Westhuizen has been with Zoutnet since 2001. She has a heart for God, people and their stories. Linda believes that every person is unique and has a special story to tell. It follows logically that human interest stories is her speciality. Linda finds working with people and their leaders in the economic, educational, spiritual and political arena very rewarding. “I have a special interest in what God is doing in our town, province and nation and what He wants us to become,” says Linda.

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