2026 Overall IDP and Budget – City of Mbombela

We are concerned that the IDP does not adequately reflect updated information from previous years. Significant portions of the document appear unchanged, with limited evidence of current data, revised analysis, or incorporation of recent developments. This lack of meaningful updates raises concerns regarding the document’s relevance, accuracy, and its effectiveness as a planning and decision-making tool.

1. HOUSING BACKLOG AND NEEDS ASSESSMENT

SAPOA welcomes the recognition of housing as a priority but notes that the housing backlog figure of 30 326. An updated, comprehensive housing demand assessment is urgently recommended. Community priorities such as backlog reduction, replacement of dilapidated structures, and title deed finalisation should be supported by clear implementation plans, measurable targets, and adequate funding.

2. STUDENT HOUSING

Rising student enrolment is creating acute accommodation demand, driving informal residential conversions that strain surrounding neighbourhoods and municipal infrastructure. Inadequate roads, water, sanitation, and public transport are further constraining university growth and deterring private investment. Infrastructure investment around the University of Mpumalanga should be prioritised and reflected in the IDP to unlock student housing delivery and support broader economic development.

3. LAND INVASIONS, ILLEGAL LAND USES, AND LAND USE PLANNING

Land invasions remain a serious concern, particularly in communal areas where land is illegally sold, often through forged documentation. The IDP lacks sufficient detail on the extent of the problem and the effectiveness of current interventions. Updated, spatially referenced reporting on invasion cases, affected areas, and enforcement outcomes is recommended.

Regarding Rocky Drift Extension 38, several inaccuracies in the IDP are noted, including incorrect references to industrial townships and an unapproved EIA. The land swap initiative remains unresolved and the IDP should accurately reflect current planning status, prioritise Rocky Drift Extension 44, and allocate resources to expedite development.

4. ECONOMIC DEVELOPMENT AND GROWTH

Youth unemployment rising from 37.1% in 2019 to 44.9% in 2024 underscores the urgent need for targeted economic development beyond short-term programmes like EPWP. Crime remains a deterrent to investment, with Mbombela ranking 10th nationally for serious crimes, despite a 14.9% improvement since 2018/19.

SAPOA recommends prioritising CID implementation, maintaining public infrastructure in key economic nodes, expanding business support facilities, and improving access to SMME support to create a safer, investment-attractive environment that drives sustainable job creation.

5. INFRASTRUCTURE SERVICES

Water access remains stagnant at 74.4% despite ongoing investment, with 55,075 households still unserved. Transparent reporting on actual water losses is needed, and the overall Blue Drop score decline from 88.9% to 69.3% requires attention. Electricity distribution losses of 26.24% are deeply concerning, with bulk purchases projected at R1.53 billion for 2026/27. Refuse collection in rural areas has shown negligible improvement, and EPWP reliance is not sustainable. The road infrastructure backlog of 79.1% requires a comprehensive master plan prioritising economic corridors and underserved communities.

6. SPATIAL DEVELOPMENT FRAMEWORK

The IDP’s continued reliance on the outdated 2018/19 SDF fails to reflect current population growth, settlement patterns, and infrastructure demands. SAPOA recommends prioritising the SDF review and ensuring the revised framework is properly aligned with the IDP. Without updated spatial information, planning effectiveness and the Municipality’s ability to respond to development challenges and attract investment will remain compromised.

7. MUNICIPAL CAPACITY AND VACANCY RATES

With 3 351 of 5 203 positions vacant, a 64.4% vacancy rate, and only 465 funded for filling, the Municipality faces a critical capacity constraint. The 2,886 unfunded vacancies raise serious concerns about institutional capacity and the ability to deliver services and development priorities effectively.

1. SUMMARY OF MAJOR TARIFFS

Proposed 2026/27 tariff increases include property rates, water, refuse, and sanitation at 6%; electricity at 10%; and Semcorp/Silulumanzi at 9.9%, with an overall household impact of 8.4%. The 10% electricity increase is driven by Eskom’s 9.01% bulk tariff rise. Both water and refuse services are under-recovering costs, and a phased approach toward full cost recovery is recommended, alongside a cash-backed reserve for future landfill rehabilitation.

2. REVENUE COLLECTION AND DEBT MANAGEMENT

The projected 95% collection rate is unrealistic given the historical performance of 88%–92%, risking inflated revenue projections and cash flow shortfalls. SAPOA recommends aligning assumptions with actual performance and providing a credible improvement pathway with specific interventions. A detailed debt recovery strategy addressing billing accuracy, credit control, and low-payment areas is needed, alongside greater transparency on UIFW expenditure and progress on corrective actions.

3. REBATES AND RATES POLICY

The proposed 10% rates rebate for CID properties is welcomed, but a higher rebate would provide a stronger incentive for property owners to establish and sustain these initiatives. SAPOA recommends a phased increase in the rebate, aligned with broader investment promotion and urban regeneration objectives.