Financial Assistance for Vulnerable Residents in Cape Town

In an effort to assist its vulnerable citizens, the City of Cape Town has opened applications for rates and services relief. This financial support is available for eligible residents, including indigent households, pensioners, and those facing financial difficulties.

Successful applicants are encouraged to reapply every 12 months, while residents aged 60 and above can maintain their relief until the next municipal property valuation.

Expanded Qualifying Threshold

To further aid its citizens, Cape Town has expanded the qualifying threshold for pensioners and social grant recipients. The monthly income limit has increased from R17,500 to R22,000, allowing more people to benefit from the lifeline tariff and rates rebates.

Increased Social Support Package

The city has also increased the total social support package for 2023/24 by over half a billion rand, reaching R4.3 billion dedicated to rates and services relief.

Generosity of Cape Town

Cape Town stands out among South African metros in its generosity, offering the highest allocation of free water at 15kl, free sanitation at 10.5kl, and up to 60 free electricity units. Mayoral Committee Member for Finance, Councillor Siseko Mbandezi, urges vulnerable residents to seek assistance from the city.

Rebates for Property Rates and Refuse Removal

Households with a monthly income of R7,500 or less will receive a 100% rebate for property rates and refuse removal, benefiting 192,500 households across Cape Town. Additionally, residential units with a property value of R450,000 will receive the same benefits.

Reduced Property Valuation for Rates Calculation

The city has reduced the property valuation for rates calculation purposes by R450,000 for residential properties valued at R5 million and under. This move is expected to benefit over 700,000 properties, representing 80% of all properties in the city.

Assistance for Winter Season

To help residents cope with the winter season, the city has decreased the electricity rate for Lifeline Tariff customers using 350-600 units from R3.15 to R1.84 per unit. Cape Town has also raised the property value criteria for the Lifeline Tariff from R400,000 to R500,000.

How to Apply

Residents can apply for indigent benefits or pensioner/social grants rates rebates if their household income is below R22,000 per month. They can also keep their electricity usage below 450 kWh per month on average over a 12-month period and limit purchases to below 600 kWh per month to cope with the Eskom-driven price increase.

To apply for these benefits, residents should visit their local municipal office for advice and provide the required documents, including proof of identification, a bank statement or affidavit, a bond statement, and estate documents if applicable.

The financial relief provided by the City of Cape Town is an opportunity for vulnerable residents to receive much-needed support. By applying for these benefits, residents can reduce their financial burden and manage their household bills more effectively.