Rates and transport prices go up second time in a month

By Tererai Karimakwenda
01 March 2006

The illegal commission running the capital city has raised rates for residents by more than 100% and increased the fixed water consumption charges by about 400%. Harare residents say they were shocked when they received their bills for February, and realised that the minimum rental charge for accommodation for a family of 4 had gone up to a minimum of Z$ 3 million. This leaves most families with very little or no money at all for food, school fees and other basic necessities.
Transport fees also went up drastically this week. A trip into town from the outer suburbs went up to Z$ 50,000 from just Z$ 30,000 last month.

Simon Muchemwa reports that it is the lodgers who carry the bulk of these increases, because homeowners pass them on, fearing their water and electricity would be cut off. He said it now costs Z$ 3,450,000 to get water service back on, and homeowners would rather pass the costs on to their tenants. Muchemwa said this is why the suggestion by the Combined Harare Residents Association to boycott paying rates is being resisted. Many residents say the commission would definitely cut off their services, and they cannot afford to pay to get them back.

As for the new rates, Muchemwa reports that the commission is now charging Z$ 392,000 for refuse collection, up from Z$ 182,475. This is an increase of over a hundred percent. Sewerage costs went up from Z$ 330,000 to $379,500. According to the Zimbabwe Electricity Supply Authority (ZESA), the cost of electricity is also to go up 770% starting next month.

Salaries are not increasing equally with the hyper-inflation rates that now characterise the economy. As a result, Zimbabweans are being forced to choose what to spend their money on. Education, health and anything not related to accommodation and food has become a luxury. Many of the country’s youth are no longer in school, and there are no jobs for them to even apply for. Analysts have described them as the “ lost generation”. At this rate, more increases will probably hit the country by the end of this month. And there seems to be no solution in sight.