City rates and services relief available
25 July 2023
Residents who are struggling financially are encouraged to approach the City for assistance. Relief is available and we are ready to help indigent households, social grant recipients and pensioners. We encourage residents to visit their nearest customer office to see if they qualify for support. Before re-applying, residents must please pay any money that is owed to the City.
Once they have registered as indigent, successful applicants need only re-apply every 12 months from the date of approval. However, applications from residents 60 years and older, will remain valid until the next municipal valuation of their property comes into effect, which is expected to be from 30 June 2026 or until a supplementary valuation is implemented.
'We have expanded the qualifying threshold for pensioners and social grant recipients to enable additional residents to benefit from the Lifeline tariff and rates rebates, with the qualifying limit now increased to a monthly income of R22 000, up from R17 500. The City has also increased the social support package to R4,3 billion in total for rates and services relief for 2023/24.
'The City offers South Africa's highest allocation of free water at 15kl, the highest allocation of free sanitation at 10,5kl, up to 60 free electricity units, and the most of every metro linking social relief to property value. We encourage residents to approach us for help,' said the City's Mayoral Committee Member for Finance, Councillor Siseko Mbandezi.
Help available
Everyone under the R7 500 monthly household income threshold and owners of residential properties with a municipal valuation of R450 000 and less will get a 100% rebate for property rates and refuse removal, benefitting about 192 500 households across Cape Town.
All residential properties valued at R5 million and under are also receiving a R450 000 reduction in the property valuation for rates calculation purposes. Over 700 000 properties are expected to benefit, representing 80% of all properties in the metro.
Electricity Lifeline tariff customers using between 350 and 600 units will pay R1,84 in this usage band, compared to R3,15 per unit in 2022/23. This will help to protect households using more electricity this winter, while an average usage of 450 units over a 12-month period still applies to remain in this tariff category. The City has also upped the property value criteria to qualify for the Lifeline tariff, from R400 000 to R500 000. It is important for all to remember that residents with a property value higher than R500 000 may also still qualify for the Lifeline tariff if their household monthly income is below R7 500.
Notice about the Lifeline tariff
Customers who have moved from the Lifeline tariff to the Domestic tariff because their properties are now valued at more than R500 000 after the General Valuation (2022) may, however, qualify for rates rebates, indigent or pensioner support. If they do, they could receive their supply at the Lifeline tariff on application.
What can these customers do?
- Visit the local municipal office for advice.
- Apply to qualify for indigent benefits or for a pensioner/social grants rates rebate. Household income must be below R22 000 per month.
- Keep usage below 450 kWh per month on average over a 12-month period.
- Limit purchases to below 600 kWh per month to help cope with the Eskom-driven price increase
Tips to manage household bills
- Reduce geyser temperature to 60 degrees Celsius
- Buying electricity in bulk is not cheaper. Rather buy small amounts as required to stay on the cheaper tariff band.
- Use less, pay less
Residents may qualify for indigent support if they:
End
Published by:
City of Cape Town, Media Office
