While SAA is provided with yet another massive bail-out from National Treasury (R2,2 billion), the DA-led City of Cape Town is getting its priorities right.
The City is moving forward with poverty alleviation mechanisms by providing financial relief to residents who need it most.
In its most pro-poor budget yet, the total cost of the social package for 2017/18 amounts to R2,7 billion, which is up from R2,5 billion last year.
The proposed social package to assist in relieving some of the financial burden experienced by poor households is as follows:
- Any household with a gross monthly income of R4 000 or less will get a 100% rates rebate
- Households with an income of more than R4 000 and up to R6 000 qualify for rates rebates of between 25 and 75%
- Rates rebates for senior citizens and people with disabilities are granted to qualifying applicants where the monthly household income is below R1 500
- 60 kWh of electricity is free of charge per month per household for those using less than 250 kWh per month
- 25 kWh of electricity free of charge per month per household for those using more than 250 kWh but less than 450 kWh per month on average with a property value of R400 000 or less
- Waste removal: consumers whose properties are valued below R500 000 receive rebates between 0% and 100%
- Waste removal: indigent applicants receive a 100% rebate
- Additional 4 500 litres free water, including sewerage charges, for all properties valued at R400 000 or less
