COCT BUDGET 2019

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The City of Cape Town has asked for your input on the proposed tariff increases in the draft budget 2019/20. Please use the form below to add your name and comment.

If you object or support the budget, please give a reason why. Should you be at a loss for words, read the summary, live input or documents below the form. Feel free to copy and paste into the message area provided. If you don’t take any action, your inaction will be regarded as tacit agreement.  Closing date is 24 April 2019

SUMMARY

PROPERTY VALUATION and RATES

The 2019/20 Budget tabled on 28 March 2019 has changes to the way property rates will be calculated in future.
There is an increase from the point where property rates start to be payable. It was increased from R200 000 to R300 000. The Rate in Rand was lowered from 0.007154 to 0.00555. It represents a 22% drop in the Rate in Rand rate.
The nett effect of these changes is that properties that had a property valuation (GV2018) increase of 30% will be paying the same rates as before. Lower than 30% property valuation will see a decrease in property rates. Those with a property valuation increase (GV2018) of more than 30% will progressively see an increase in their property rates bill.

Table of new Rate in Rand Rates:

WATER TARIFFS

The Water Levy (Pipe Levy) and structure to calculate it remained the same. However, the block structure for the way water is charged was changed.
The block structure was changed and Level 3 Water Restriction is Now Level 1  (In effect they renamed the Levels and Level 3 has now become Level 1).   The Water tariff will, therefore, increase from R12.85 for Level 1/Kl to new Level 1 which is R14,91 per Kl.      This represents a 16% increase. The City says the Water Tariff increase was 8.88%.
This change in the block structu
re is a stealth way to increase the Water Tariffs by 16% and calling it an 8.88% increase. 

ELECTRICITY

The Electricity Levy was increased from R150 to R163.32.  (8.88% increase).
Direct Eskom supplied customers still pay less than COCT supplied customers. (28% Cheaper)
Home User Tariff is applicable to the following consumers:
– Credit meters
-Prepayment meters installed at a property valued more than R1m

Domestic Full
-Prepayment meters for properties between R400 000 and R999 999

LIFE LINE
-Prepayment meter installed and a property value of less than R400 000

PENSIONERS

Pensioners received no further rebate than in the past in this Budget.
Pensioners earning less than R15 000 per month can apply for the same stepped rebate in their property rates as before.
Please suggest ways in which the City can assist Pensioners to cope with their municipal utility Bills.

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LIVE FEED OF COMMENTS SENT

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2019-10-23 14:49:45 +02:00
Kevin
I understand that property rates are based on valuation of property. The city needs to collect rates to deliver services to its residents. What I would like to know is by how much more in total is the city collecting in rates after the new valuations. My gut feeling is this must have increased significantly as my rates went up by more than 50%. If the overall collection is anything higher than 10% it is unjustifiable as this would be in way excess of inflation. However, I am yet to met anyone whose rates have not increased by less than 20% so I would think that the overall increase must be north of 20%! Can the city disclose by how much it has inflated the total rates collected so that we can judge whether it is fair? Remember by taxing the residents more the city is taking money out of the economy and limiting economic growth. The city is very unproductive in spending its revenue collected and is far better leaving the money in the economy for the economy to grow and create more employment.
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2019-10-20 21:56:12 +02:00
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2019-10-20 21:25:40 +02:00
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2019-10-01 19:47:43 +02:00
George
No comment
No comment
No comment
Why am I not getting my rates rebate on my latest account?
Submitted all my documents 2 months ago
Account no:134513002
2019-09-01 19:14:50 +02:00
Matthew
I know this is well after the time, but can you advise/give me a contact, where I can query my dramatic increase in rates in Lakeside.
sincerely
Excessive
My electricity has now doubled
I am a pensioner and cannot believe that this month I have to pay more than R600 extra on my bill.
2019-08-27 12:05:46 +02:00
Larry
The value of a property does NOT reflect in any way the use ( and cost of use ) of public services. A more honest and fairer system is to charge for the exact services provided. All business do precisely this. Whereas the COCT has increased rates by 15% EVERY year for the past 18 years.

This is dramatically higher than inflation and certainly more than the increase in income we pensioners receive. The COCT needs to start from zero based budgetting and build up from scratch the minimum cost for services provided. This will require new quotations from suppliers and give COCT a chance to negotiate better terms.

I look forward to a serious reduction in rates.
Water tariffs have already increased by the monthly fixed fee. Water levels are at the best they have been for many, many years.

Therefore the cost of water should DECREASE.

I have not seen any justification for any increase in price whatsoever. There is no justification and no clear and transparent explanation as to why there is any increase in water tariffs.
The COCT is already making a profit of 28% on the price of electricity from Eskom.

Should the COCT increase prices as they have indicated, then the break even point to install alternative supply methods ( PV panels ) becomes so much closer. One more increase and there will be a massive move to self sustained installations and the COCT will receive dramatically LESS profit from supplying electricity.

So, we need to be sure that we stop any move by the COCT to TAX PV installations. They are already insisting on recording all installations, which to my mind, is just the forerunner to drafting up yet another tax.
I am a pensioner and my pension increase by about 2.5% p.a.

Now, I pay more in COCT rates than I do for food for my family. Rates are R 7,000 per month and food costs R 4,500 per month.

In my opinion ALL pensioners, irrespective of income, need to have relief from rates. I suggest a sliding scale starting at a 10% reduction as from age 65, increasing by 10 % every 5 years thereafter. At age 80 when most pensioners will by passing away, the COCT rate reduction would still only be 30%. Certainly affordable.
2019-08-22 15:16:27 +02:00
wendy
the increases were based on wathrshortage management the increases Water Tariffs AND ELECTRICITY are unfair The city and Government have failed to consider the increase in Petrol which all affect the price of FOOD
Water Tariffs are both unreasonable and irresponsible these were intended for the drought and we were assured that when water tariffs would go back after the drought was over
electricy is and unfair increase The government has not taken into account that this is in conjunction with the Petrol increase and thus all our Food prices increase
pensioners shouldn't be discriminated against
2019-08-17 09:20:43 +02:00
Rushdie
113 Peugeot Crescent beacon valley
Don't increase,
Reduce costs
I think more should be done , in my community life is tough , and running a house n family is costly .. thanks
2019-08-12 12:40:23 +02:00
SERMONE
PROPERTY RATES ARE TOO HIGH! YOR NO MAN CONSIDER US HOMEOWNERS FOR ONCE
SINCE WATER RESTRICTIONS WERE IMPLEMENTED MOST OF CAPE TOWN HAS TRIED THEIR BEST TO REDUCE WATER USAGE AS HAS BEEN PROVEN YET WE PAY FOR A WATER PIPE LEVY WE NEVER HAD TO BEFORE THE RESTRICTIONS WERE IMPLEMENTED AND THE RATE/TARIFF IS A TOTAL RIP OFF - SIES MAN COCT YOU ARE ROBBING US BLIND
I AM ON A DOMESTIC TARIFF - WAS ON LIFELINE FOR YEARS AND WHEN THE ELECTRICITY WENT UP IN THE LAST 2 YEARS I SHOT TO DOMESTIC. YOU PAY MORE FOR THE AMOUNT OF UNITS (WHICH HAS BEEN THE SAME MOST PART OF THE LAST 5 YEARS) AND GET LESS UNITS THAN BEFORE. NOT TO MENTION CERTAIN TIMES OF THE DAY THE VOLTAGE IS LESS DRAINING THE POWER UUURRRGGGHHH!!!! WHY ARE COCT TARIFFS SO MUCH HIGHER THAN ESKOM AND NERSA ANYWAYS ??
I THINK PENSIONERS (NOT MORE THAN 2) LIVING IN 1 HOME SHOULD NOT BE BURDENED WITH THIS HEFTY AND INSANE AMOUNT ON EXPENSES ON THEIR PROPERTY - ITS CRAZY AND I FEEL SO SORRY FOR SOME OF THEM REALLY I DO WOW ITS SHOCKING.
2019-08-10 10:45:55 +02:00
Sheppard
You CANNOT just suck these out of your thumb to arrive to an amount just to RECOVER failed previously set revenue targets which was a result of the drought we had! Why punish citizens, besides the NEGATIVE REVENUE is also linked to Gupta's, right? Yes it is!
Valuation must be a "go see" exercise and THEN decide to increase the value or not. Many erfs like mine, has NOT yet decided to better on CCT original plans - plans remain unchanged!
The OTHER worrying thing is that CCT's valuation figures are far higher than those that people would actually buy the house from you! I bet CCT would NOT even consider buying my house with the figures they came up with.
Therefore, I DON'T SUPPORT CCT regard any of these budgets!
Consider restructuring.
Why pay for a Human right need?? I agree we can pay for pipes that have been layed there to access the water! However we would want to be updated in terms of maintenance on those plumbing services!
Consider restructuring as well!
You CANNOT just suck these out of your thumb to arrive to an amount just to RECOVER failed previously set revenue targets which was a result of the drought we had! Why punish citizens, besides the NEGATIVE REVENUE is also linked to Gupta's, right? Yes it is!
Valuation must be a "go see" exercise and THEN decide to increase the value or not. Many erfs like mine, has NOT yet decided to better on CCT original plans - plans remain unchanged!
The OTHER worrying thing is that CCT's valuation figures are far higher than those that people would actually buy the house from you! I bet CCT would NOT even consider buying my house with the figures they came up with.
Therefore, I DON'T SUPPORT CCT regard any of these budgets!
Consider restructuring.
These are the people that kept the city going for years why not support them be restructuring as well.

DOCUMENTS

Download the Draft Budget 2019/20
Download the budget presentation
Download the Public Meeting Schedule