27/05/2026
Dear Muizenberg Community Member,
The Muizenberg Improvement District (MID) wishes to bring to your attention important amendments made by the City of Cape Town to its 2026/27 Budget. These changes have been triggered by a Western Cape High Court judgment handed down on 30 April 2026, and will affect rates, tariffs, and service charges for all property owners and residents.
The public comment window is open NOW and closes on 10 June 2026. We encourage all members and community stakeholders to engage.
WHAT HAS CHANGED?
1. CITY-WIDE CLEANING TARIFF SCRAPPED
The separate monthly City-wide Cleaning charge (previously billed based on your property value band) has been removed entirely. This cost will now be recovered through Property Rates instead. As a result, the City's overall Property Rates budget increases by approximately R1.08 billion from R14.7 billion to R15.8 billion.
2. PROPERTY RATES ADJUSTMENTS
Rates in the rand have been revised across all property categories. Notably:
Residential, agricultural, and lower-ratio categories see a slight decrease (~2.09% from 2025/26 levels).
Commercial, industrial, and business properties see a marginal increase (~0.51%).
The residential property rates exemption threshold has been raised from R500,000 to R620,000, providing some relief to lower- and mid-value property owners.
3. WATER & SANITATION FIXED CHARGES RESTRUCTURED
Fixed charges based on property value bands have been removed. They will now revert to being based on water meter size. To compensate for the reduction in fixed charge revenue:
Consumption-based tariffs for high-usage customers have increased.
Water Step 4 (usage above 35kl) rises from R87.57 to R95.63 per kilolitre.
Sanitation Step 4 (usage above 24.5kl) rises from R56.38 to R64.27 per kilolitre.
Lower-usage households (Steps 1 & 2) will see a slight decrease in their per-unit rates.
4. ELECTRICITY TARIFFS COMMERCIAL RELIEF
The electricity cross-subsidy to Property Rates for commercial customers is being phased out. This results in a lower overall electricity tariff increase for commercial customers 5.46% instead of the previously proposed 6.82%. Both residential (6.64%) and commercial increases remain well below the NERSA-approved ceiling of 9.01%.
IMPORTANT: YOUR CHANCE TO COMMENT
The City is inviting public comment on these amendments. This is your opportunity to make your voice heard.
Comment period: 27 May 2026 – 10 June 2026 (no later than 16:30)
How to submit your comments:
• Email: [email protected]
• Online: www.capetown.gov.za/collaborate or www.capetown.gov.za/HaveYourSay
• In person: Your nearest Subcouncil office
• Phone: 0800 212 176
Please note: The court ruling does not affect the expenditure side of the budget. Comments are invited only on the tariff and rates amendments outlined above.
The MID will continue to monitor these developments and advocate on behalf of our members and the broader Muizenberg community. Should you have any questions or wish to discuss further, please do not hesitate to contact us.
Chairman - Muizenberg Improvement District NPC Email: [email protected] | Website: www.mid.org.za MID Linktree | MID Newsletter | MID Services WhatsApp Group
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