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COJ – Proposed 2020-21 Tariff Increases

joburg municipal increase

The City of Joburg has invited public comment on the draft 2020/21 IDP, Medium Term Budget and Tariff increases.

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    Salary increases

    Staff salary increase of 6.25% for 2020/21 and 6.3% for both 2021/22 and 2022/23 financial years.

    Property Rates

    These will increase by 4.9% across all categories.

    Pensioner Rebates

    The qualifying valuation threshold of R2.5 million and the over 70 rebate email the same.

    The 60-69 year old rebates are now:

    • Pensioner owners whose gross monthly household income is lower than R10 230 on a property valued not more than R2.5 million is 100% rebate.
    • Pensioner owners whose gross monthly income is higher than R10 230 but lower that R17 585 for a property values not more than R2.5 million is 50% rebate.

    City Power

    • There is an overall blanket increase of 8.1% (most of this increase is due to the Eskom tariff increase).
    • The Network Surcharge of R0.06/Kwh has not been increased.

    But, for Pre-Paid customers, there will be the following changes:

    • Residential Pre-Paid: An additional R200 Capacity Charge per month will be charged to provide parity between the pre-paid tariffs and postpaid with regard to the service and network charges. This is the 1st of 3 proposed charges over 3 years. Note that this Capacity Charge will also be levied on individual households who are part of the Residential Reseller’s tariff.

    Changes in Residential Tariff Bands
    0-350 Kwh per month band will be replaced with 0-300 Kwh; the 351-500 Kwh band will be replaced with 301-500 Kwh. The new tariff structure will thus be:

    0-300        R1.5072 per Kwh
    301-500    R1.7287 per Kwh
    501+         R1.9699 per Kwh

    • Business Pre-Paid:

    An additional R400 Capacity Charge per month will be charged to provide parity between the pre-paid tariffs and postpaid with regard to the service and network charges. This is the 1st of 3 proposed charges over 3 years.

    Sanitation Charges (Sewerage)

    Increase by 8.6%

    Waste Management Charges (Pikitup)

    Increase by 5.2%

    IN THE MEDIA

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