A controversial monthly levy of R194.37 (excluding VAT) introduced by the City of Tshwane has been declared “unlawful” by the Gauteng High Court, following a legal challenge by lobby group AfriForum.

The fee, which targeted nearly 260,000 households and businesses that use private waste collection services, was included in the city’s latest budget passed in May. 

The metro sought to raise more than R500 million in new revenue through the tariff.

In its application, AfriForum argued that the city unfairly taxed residents who had made their own waste disposal arrangements due to Tshwane’s alleged service delivery failures.

The civil rights organisation said the levy amounts to unfair double taxation, particularly in cases where residents do not benefit from the metro’s refuse removal services and are forced to make use of private service providers.

In a judgment handed down on Thursday, Acting Judge Justice Avvakoumides declared the cleansing levy unlawful, invalid, and of no force and effect. 

The court also ordered the city to stop billing residents and to reimburse those who have already paid.

“The imposition of the cleansing levy by the first to fourth respondent (the City) is hereby declared unlawful, invalid, and is of no force and effect and is accordingly set aside,” the ruling read.

Avvakoumides also instructed the city to immediately take all reasonable measures to ensure that residents and businesses are no longer billed for the cleansing levy. 

Where bills have already been issued, the city must credit affected accounts during the next billing cycle.

Meanwhile, AfriForum welcomed the ruling.

“This ruling is an important victory in the interests of residents and businesses who have been unfairly affected by the implementation of this levy,” said Deidré Steffens, AfriForum’s advisor for local government affairs. 

“It is a clear confirmation of what AfriForum has been saying about this levy from the outset – that the Tshwane Metro’s introduction of this levy is illegal and arbitrary.”

The opposition party in Tshwane, the Democratic Alliance (DA) also supported the court’s decision. 

The DA’s Tshwane spokesperson for finance, Jacqui Uys, said the ruling was a “victory for all citizens of Tshwane.”

“Tshwane imposed this new levy on all properties that are using private waste contractors to remove their waste,” Uys said. 

“This means properties where there was no service being rendered by the city were being charged extra. Charging a fee for rendering no services, on people who receive private services, is daylight robbery.”

The DA called on the city to urgently revise its budget to account for the now-unfunded revenue and avoid disruptions in service delivery.

In addition, as part of the judgment, the City of Tshwane was also ordered to pay AfriForum’s legal costs on a scale between attorney and client, including those of a senior counsel.

simon.majadibodu@iol.co.za

IOL Politics

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