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The City’s Annual Tariff Hikes Come Into Effect, Placing Residents Under Financial Strain


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The City’s Annual Tariff Hikes Come Into Effect, Placing Residents Under Financial Strain

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The City’s Annual Tariff Hikes Come Into Effect, Placing Residents Under Financial Strain

The City’s Annual Tariff Hikes Come Into Effect, Placing Residents Under Financial Strain

1st July 2026

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Today, residents of the City of Johannesburg wake up to the reality of above-inflation tariff increases coming into effect on 1 July 2026. This applies to costs regarding water, sanitation, electricity, refuse removal, and rates which were approved by Council for the 2026/27 period.

ActionSA strongly condemns this decision as this will exacerbate the financial burden on residents who are already under financial strain. Implementing these increases amid the rising cost of living demonstrates the disdain of the ANC government towards citizens. 

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The Council-approved tariff increases that are coming into effect today are: 

12.5% increase on water

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11% increase on sanitation

6.2% increase on refuse removal

3.6% increase on property rates.

In terms of the fixed prepaid electricity charge, this has increased to approximately R241.50 per month. This flat monthly charge is anti-working class as residents are required to pay it regardless of how much electricity they use, placing an added burden on vulnerable households.

These increases come at a time when residents continue to suffer as forgotten and neglected people who reside in neighbourhoods that are in a clear state of decline over the years. This is marked by unreliable service delivery, deteriorating infrastructure, frequent water outages, electricity interruptions, and poor waste collection.

What is concerning is that these increases will not result in improved service delivery on basic services for all residents. Whether in the suburbs or townships, residents will continue to experience dry taps for several days. Residents will continue to be inconvenienced by potholes and traffic lights that are not repaired timeously. Compliant residents will continue to experience water and electricity interruptions. 

Currently, the city faces a R71 billion debt crisis emanating from weak revenue collection due from residents, businesses, and government departments. How will the City guarantee that the billing funds are allocated appropriately when it operates on a deficit running in billions?

The City's justification that tariff increases are necessary for the financial sustainability veils the years of poor governance and administrative failures that compound the city’s chronic financial challenges. 

However, ActionSA maintains that residents should not be compelled to pay more while receiving less. The tariff increases are irresponsible, and not in the interest of the economic plight of residents. 

ActionSA will continue to demand accountability and responsible governance to ensure that Johannesburg does not become a symbol of collapse and dysfunction.

 

Issued by ActionSA Joburg MMC Candidate on Finance Mpumi Edward

 

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