Ongwediva introduces first tariff increase since 2019

Ongwediva introduces first tariff increase since 2019

ONGWEDIVA – After seven years without any adjustments, residents of Ongwediva will now pay more for municipal services, following the introduction of a 2.5% tariff increase in the town’s N$201.5 million budget for the 2026/2027 financial year.

Tabling the budget, Mayor Naemi Amuthenu said the increase was driven by rising costs of goods and services but emphasised that council had taken a cautious approach to avoid placing excessive pressure on residents.

“This adjustment remains moderate and is approximately 1.5% below the average inflation rate, demonstrating council’s commitment to balancing financial sustainability with affordability for residents and stakeholders,” she said.

The tariff adjustment comes at a time when many households continue to face economic pressure, raising expectations that the increase will translate into visible improvements in service delivery.

Council has earmarked N$30 million for service provision, with a strong focus on water infrastructure, electricity and basic services in expanding areas of the town.  Planned projects include water reticulation in Extensions 17 and Omatando, a new steel ground reservoir with a booster pump, and electrification works in Extension 12. In addition, informal and rapidly growing areas such as Okandjengedi are expected to benefit from improved lighting through the installation of high mast lights, aimed at enhancing safety and visibility.

“We have prioritised key developmental projects such as land delivery, provision of services and infrastructure, and the construction of social amenities,” Amuthenu said. “These investments are intended to improve living conditions and ensure that no part of our town is left behind.”

Road infrastructure is also set to receive significant attention, with N$5 million allocated for upgrading Abraham Nyambali Street to bitumen standard and N$9 million for Elyambala Street. These upgrades are expected to ease mobility challenges and improve access for both residents and businesses.

Beyond essential services, the budget places emphasis on community development and public spaces. A combined N$7.4 million has been set aside for the continued development of the Multi-Purpose Sports Facility and the Leisure Park at Extension 11.

According to Amuthenu, these projects are not only about recreation but also about social and economic development.

“These public amenities play a vital role in promoting healthy lifestyles, creating employment opportunities and boosting local tourism,” she said.

Land delivery remains a central pillar of the council’s development agenda, with over N$1.7 million allocated towards township establishment, servicing of new extensions and planning of informal settlements. An additional N$5 million has been budgeted for crop field compensation to facilitate expansion.

Support for small businesses and informal traders also features in the budget, with N$4.3 million earmarked for the upgrading and expansion of the Ongwediva Open Market, alongside further investment in trading areas.

However, the success of these plans will depend heavily on the town’s revenue collection. The mayor revealed that Ongwediva’s debtors’ book currently stands at N$86.4 million, a figure that continues to pose a challenge to service delivery. “Our critical budget implementation success factor heavily relies on the commitment and dedication of our valued customers to pay diligently for services rendered,” she said.

The budget allocates N$51.9 million to capital projects, representing about a quarter of total expenditure, while N$126.8 million is directed towards operational costs.

Despite the tariff increase, Amuthenu maintained that the budget reflects a careful balance between maintaining affordability and ensuring that the town continues to invest in infrastructure, services and community development.

As residents prepare for higher municipal bills, the coming financial year is likely to test whether the increased tariffs will be matched by tangible improvements on the ground.

-taimihaihambo2000@gmail.com