Proposed cleaning levy sparks legal challenge in Tshwane
Tshwane Deputy Mayor Eugene Modise poses for a photograph at Tshwane House, 20 November 2024, following an interview with The Citizen. Picture: Michel Bega/The Citizen
AfriForum has started legal action against the City of Tshwane to obtain clarification on the implementation of the proposed environmental, or city cleaning levy announced in the budget speech.
Last week, the deputy mayor, MMC of finance Eugene Modise, announced the city's plans to implement the levy of approximately R200 per month from 1 July for all properties without a municipal waste account.
AfriForum's local government affairs advisor Deidré Steffens said they submitted a request to obtain clarification on the city's plans regarding the levy in April, but received no reply.
AfriForum submit to request clarification on levy plan
'On 24 April, AfriForum submitted its comments on the city's draft medium-term revenue and expenditure framework (MTREF) in which the levy was announced.
'Our legal team has made it clear that the draft MTREF containing details of the proposed levy contains material contradictions and gives excessive discretionary power to the municipal manager in the application of the levy. This creates unacceptable scope for abuse and arbitrary application,' she said.
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According to Steffens, the implementation of the proposed levy would be contrary to Section 74(2) of the Local Government Municipal Systems Act, which requires that tariffs reflect the actual use of services and be applied fairly.
Steffens said although the constitution required municipalities to promote the social and economic development of communities in their budgeting processes, this was not the case with the implementation of the levy.
'A non-revenue-generating service, such as a cleansing levy, is traditionally financed by property rates and if the city were to proceed with the proposed implementation of this levy, it would amount to double taxation.
Cleansing levy traditionally financed by property rates
'It is unacceptable that a service that should be funded by property taxes is now being repackaged as a new levy, presumably to cover the metro's budget deficits.
'This is a blatant attempt to milk more revenue from already overtaxed residents,' she said.
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AfriForum was prepared to approach the court if the city failed to provide the information by the deadline, Steffens said.
Republican Conference of Tshwane councillor Lex Middelberg said the levy was a reintroduction of a similar city cleaning levy that was introduced in the 2017-8 MTREF but then abandoned.
'This cleaning levy is unconstitutional. The city conceded this and abandoned the cleaning levy in later MTREFs after the issue was raised by the Tshwane Money Matters Caucus in November 2017 with your predecessor in office at the time, with the minister of finance, the AGSA and the MEC for local government,' he said.
Not a tariff for services rendered
Middelberg said the cleaning levy was not a tariff for services rendered, but by its own definition an arbitrary tax raised on persons who do not consume the service.
'The cleaning levy is not raised to render a service, but to bulk up the city's coffers with additional revenue to be applied for other purposes than to clean the city,' he said.
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Tshwane's DA spokesperson for finance Jacqui Uys said they were also against the levies.
Uys said the current waste collection in the city could cost residents up to 10% of their salaries.
'Instead of assisting poor households who cannot afford almost R500 per month for waste removal, the ANC-led City of Tshwane has opted to introduce a punitive tax of almost R200 on these households if they choose not to use the city's services,' she said.
DA raises concerns
'The DA has also raised concerns about the newly introduced waste levy in the draft budget.'
Uys said the intention of the new levy was not to ensure a cleaner city, but rather the introduction of yet another tax to use the residents of Tshwane as a stopgap to improve the city's financial position.
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