GOOD Press Statement by Anton Louw,
GOOD Cape Town Councillor Responsible For Finance
22 February 2023
The GOOD Party in Cape Town welcomes the decision by the City to increase the rates and taxes rebate threshold for property owners – who owns a property under R5 million – in the City.
These rates relief measures will assist in easing the pressure on middle and lower income ratepayers who are already struggling due to the rising cost of living in the country. Households should not be taxed out of their home because they are battling to keep up with the increasingly high costs of every day life.
Moreover, when free basic housing is built in the right location, the value will increase. Most basic housing (RDP/BNG) property values are already creeping up to the current threshold, with some housing, such as the Heideveld housing, already exceeding the threshold. Without the rates adjustment even a free basic home would not be an affordable home.
It would be unjust to expect indigent ratepayers to constantly keep up with these growing costs.
However, we are concerned about unlawful and punitive methods used by the City to collect debt from property owners.
In some cases, City officials are taking the law into their own hands by using prepaid meters, with electricity purchased by tenants, to collect debt owed by the property owners. This means the City is collecting payments from customers who are not necessarily the debtors.
Furthermore, if the City determines a customer is in arrears, that property owner and/or tenant has no opportunity to dispute the debt before they unilaterally deduct from electricity purchases. This goes against a legal debt recovery process and can have a severe and unfair impact on people’s already limited funds.
Taking the necessary steps and implementing measures to assist South Africans is everyone’s responsibility, including that of local governments and municipality. The country has a massive task to turn around the unacceptable high levels of poverty and inequality, and these measures are a step in the right direction.
Media Enquiries:
Anton Louw, GOOD Cape Town Councillor Responsible For Finance
Cell: 0823773335
Email: anton@cisfs.co.za
Janke Tolmay, GOOD Media Manager
Cell: 0733671223
Email: janke@forgood.org.za