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The City of Cape Town is pleased to announce that benefits for lower-income residents have increased from R2,5 billion to R2,7 billion for the 2017/18 financial year. 

As of 1 July 2017, the total value of social assistances packages from the City of Cape Town has risen to R2,7 billion – up from R2,5 billion in the previous financial year. This is due to the allocation of an extra R200 million for rates relief for our most vulnerable residents.

‘The latest increase reflects the City’s strong commitment to ensuring that the cost-of-living remains within affordable levels for economically marginalised residents. These packages are essential to ensuring that the most vulnerable among us continue to receive basic services such as water and electricity. We encourage all struggling residents to visit their nearest walk-in centre to explore the options available to them. Financial challenges will not go away if they are ignored. There are options available. We are encouraging a culture of payment, with assistance for those who qualify,’ said the City’s Mayoral Committee Member for Finance, Councillor Johan van der Merwe.The City is committed to ensuring that development and progress remain as inclusive as possible and has therefore provided for a higher level of subsidisation between high- and low-income residents for this financial year. This is a key intervention in ensuring that Cape Town remains an opportunity city for all of our residents.

‘The enhanced emphasis on the specific needs of our residents is also part of our new Organisational Development and Transformation Plan, which has a greater customer-focused approach at its core. The fact that social assistance has now been increased while maintaining high levels of adherence to customer service agreements is testament to the sound financial management, hard work, and ingenuity of this administration which is making Cape Town an attractive place to live, work and invest,’ said Councillor Van der Merwe.

The proposed social package is made up of the following:

  • Any household with a gross monthly income of R4 000 or less will receive a 100% rates and refuse removal rebate
  • Households with an income between R4 000 and R6 000 qualify for rates and refuse removal rebates of between 25% and 75%
  • Rates rebates for senior citizens and people with disabilities are granted between 10% and 100% to qualifying applicants where the monthly household income is between R4 000 and R15 000
  • 60 kWh of electricity is provided free of charge per month per household for those who use less than 250 kWh per month and who live in properties valued at R400 000 or less
  • 25 kWh of electricity is provided free of charge per month per household for those using between 250 kWh and 450 kWh per month on average with a property value of R400 000 or less
  • Consumers whose properties are valued between R1 and R500 000 will automatically receive a waste removal rebate of between 25% and 100%
  • Indigent customers will be provided with 10 500 litres of free water, including sewerage charges, for all properties valued at R400 000 or less

We have also introduced a new rates rebate of R50 per month for households whose properties are valued between R400 001 and R750 000. Residents who would like to apply will need proof of identification (such as your ID book), a bank statement for the last three months or a sworn affidavit stating that you do not have a bank account, a bond statement for the last three months or a sworn affidavit stating that you do not have a bond account and, if you have inherited the house, a copy of the estate documents.

If employed, residents should please also include the following in the application: latest salary/wage pay-slip or a letter from an employer stating your income, if you are self-employed a sworn affidavit stating how much you earn per month, and proof if you receive a disability grant, maintenance grant or pension. Residents who are unemployed should please also include the following in their application: a sworn affidavit stating that you are unemployed and a sworn affidavit stating that you have no other source of income.

Completed forms can be handed in at any of the City’s walk-in centres or the documents can be sent via post to: Revenue Department, City of Cape Town, PO Box 655, Cape Town, 8000. If forms are being submitted by post, a certified copy of your ID book or other proof of identification (and not the original) is required. The City does not accept emailed application forms and documents.

Approved rebate applications will remain valid until the next General Valuation or Supplementary Valuation or change in gross household income affecting the property, after which time residents will need to re-apply. Any owner who meets all the criteria for the first time may apply to receive the rebate from the date that the City receives the application for the remainder of the validity of that valuation period.

The City also plans to phase out the cheque payment method over the next few months.

Residents are reminded that, following the public participation process and the approval of the final Budget for 2017/18, there are some key tariff changes which have been implemented from 1 July 2017. Please see www.capetown.gov.za/tariffs.

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