Cape Town - The City of Cape Town's massive water bills, are not only putting a huge financial strain on residents, but the stress to them can be a risk to their health and the economy.
Sandra Dickson, founder of the action group Stop COCT, said she assisted several Capetonians with their high bills because they were stressed out and worried.
“It can become unbearable for many people. There are people who don’t know how they are going to pay their municipal account. Unfortunately not everyone has the money to go to court, nor do people have the time to queue at municipal offices to sort out their billing problems.
“I know of a pensioner who, out of fear, opted to pay her account first before going to hospital,” she said.
As the City has over-recovered close to R1 billion from punitive charges on water billings, several Capetonians have been slapped with exorbitantly high water bills following the city council’s new municipal tariffs that came into effect on July 1.
Dickson said the high bills were causing financial stress as consumers were faced with increasing food and petrol prices.
“You are better off living under a bridge because you won’t have to pay all these tariffs and charges. What are pensioners to do if they earn R1 800, but get slapped with a bill of R50 000? You fear for your life because your water or electricity will be cut. We have people with mammoth bills Those people now want to sell their homes.
“But even if you sell your house, you are still liable for the amounts owed. You really are better off under the bridge,” she said.
Old Mutual head of financial education, John Manyike, said several factors contributed to financial stress levels.
“It’s also not surprising that the less you earn, the greater your stress. Low earners already struggle to cover day-to-day expenses and are not able to absorb higher prices or unexpected financial expenses.
“Factors such as lack of financial education and the way you relate to money.
“There’s no doubt these can also influence the level of financial stress you experience,” he said. He said low earners (households earning less than R6 000 a month) were now spending about 79% of their income on consumption.
Cape Chamber of Commerce and Industry president Janine Myburgh said over the last decade there were increases in excess of the inflation rate.
“We are now paying for some poor planning. This is particularly visible in the water bills. We must make the city understand that it cannot solve its problems by squeezing more money out of its residents.
“It must bring its own costs under control and end the days of above-inflation increases in rate tariffs and their own salaries,” Myburgh said.
An unrepentant Xanthea Limberg, mayco member for water and sanitation, said if water restrictions were lowered to appropriate levels by the National Department of Water and Sanitation, the City would then lower the associated tariffs. “Customers may apply to the City for a rebate if there are mitigating circumstances,” she said.
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