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City's new water and sanitation tariffs explained
Cape Argus
|July 31, 2025
CAPE Town residents and businesses are facing the challenges posed by new water and sanitation tariffs that took effect from July 1.
According to the City of Cape Town, the revised fees are aimed at funding essential services and supporting infrastructure investment across communities.
The City says the new tariffs will ensure long-term water security for all.
The overall increase for water and sanitation is 6.8%.
Most miscellaneous and consumptive tariffs include 15% VAT, in line with the Value-Added Tax Act.
The metro's water tariffs for residential users operate on a tier-based system. This means that the price per kilolitre (kl), where 1 kl equals 1000 litres, rises depending on how much is used and as household consumption increases.
For the 2025/26 period, Step 1 (0-6kl) is priced at R24.32 per kl. This block is free for registered indigent households.
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