New Central Suppliers Database Registration

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All existing and prospective service providers/creditors to the Nelson Mandela Bay Municipality are hereby notified that, with effect from 1 July 2016, the municipal (NMBM) suppliers’ database, on which they may already be registered, will cease to be operative and an electronic Central Suppliers Database (CSD), developed by National Treasury, will be implemented. Accordingly, to be able to do business with the Nelson Mandela Bay Municipality from 1 July 2016, all existing or prospective suppliers or creditors of the Nelson Mandela Bay Municipality are required to register on this Central Suppliers Database (Note: Only providers registered on the National Treasury CSD will be regarded as verified providers by the Nelson Mandela Bay Municipality).

The implementation of this Central Suppliers Database is motivated on the desire to reduce duplication of effort and cost for both business and government. Registering is to be done through self-registering on the CSD website. In the self-registering process, the National Treasury CSD will verify the following information from suppliers/creditors: (1) Business registration (including details of directorship); (2) Bank account holder information; (3) Employees in the service of the state (National and Provincial); (4) Tax compliance status (5); Directors’/Members’ identity details (6) Tender defaulting and restriction status.

Note, however, that the following cannot yet be automatically verified by the National Treasury CSD and must therefore be sent to the Nelson Mandela Bay Municipality’s Supply Chain Management (SCM) Compliance Office for verification purposes (the Municipality will receive daily updates on all successful applications for registration on the CSD website):

* Municipal Billing Clearance Certificate * National Home Builders Registration Council (NHBRC) Certificate * Construction Industry Development Board (CIDB) Construction Registers Service (CSR) status and * Broad-Based Black Economic Empowerment (BBBEE) Certificate
The above must either be hand delivered or couriered to the following offices (note that this documentation must be accompanied by a completed NMBM Suppliers Verification Form, obtainable from the NMBM website ( – go to “Public Notices”) or from the offices below):

The Supply Chain Management Compliance Office, Harrower Road Depot, corner of Buxton Avenue and Harrower Road, North End, Port Elizabeth


The Supply Chain Management Compliance Office, Budget and Treasury Customer Care office, ground floor, Town Hall Building, Market Street, Uitenhage

For more details, please contact the NMBM Database Administrator, tel. 041 506 3274/3266; Fax: 0865144305 ; email:

Consumers face shock 25% power price hike

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BATTERED consumers in municipalities across the country could face a further shock 25 per cent hike in the price of electricity.

In a circular last week, the national treasury advised municipalities to factor in a 25% rise in the cost of purchasing electricity from Eskom in preparing their budgets, although it stressed that the National Electricity Regulator of South Africa (Nersa) had yet to rule on what increase it would award the power utility.

Last year, Eskom was awarded an increase of 36%, of which 30% was passed on by the Nelson Mandela Bay municipality to residents.

Indigent households which qualified for the council‘s Assistance To The Poor programme were handed a 14,2% increase.

Eskom needs the tariff increase to contribute to the financing of its capital expansion programme.

The circular warns local authorities that in considering changes in property rates they should “take cognisance of local economic conditions such as the downturn in the property market, trends in household incomes and unemployment. Excessive increases in property rates and other tariffs are likely to be counterproductive, resulting in high levels of non-payment and increased bad debts”.

The national treasury requires the municipalities to justify all increases in excess of the 6% upper inflation target of the Reserve Bank. The circular states that given the current economic crisis, municipalities will be faced with some “very tough decisions” when preparing their 2009/10 budgets, adding that they must give priority to:

Managing all revenue streams, especially debtors;

Protecting the poor from the worst impacts of the economic downturn;

Supporting local economic development initiatives “that foster micro and small business opportunities and job creation”;

Securing the health of their asset base in increasing spending on repairs and maintenance; and

Speeding up spending on capital projects funded by conditional grants.

“Municipalities must pay special attention to eliminating all unnecessary spending on nice-to-have items and non-essential activities,” the circular states, adding that Finance Minister Trevor Manuel had noted in his budget speech that there was “insufficient control of foreign travel, advertising and public relations activities as well as consulting services”.

With regard to the fuel levy allocation that will replace the regional services council levy that was halted in 2006, the circular states that the sharing of the general fuel levy will be regulated in terms of the Taxation Laws Amendment Bill. This piece of legislation is expected to be passed in September this year.

At that stage the specific allocation for each metro will be released, although information on provisional allocations will be given to metros this month to allow them to budget for the next financial year.

The amount allocated is based on fuel sales in each metro and the amount that Nelson Mandela Bay is expected to receive is not likely to differ dramatically from what it gained through regional services council levies.

source: The Herald