Anton Bredell, Western Cape MEC for Local Government, Environmental Affairs and Development Planning is calling for a fundamental rethink of how South Africa defines, funds and delivers basic services to its most vulnerable residents, with the introduction of a Dignity Basket of Services at the centre of this conversation.
Speaking at the Western Cape’s Provincial Budget Governance Forum in Worcester, MEC Bredell said South Africa's approach to basic services must reflect the realities of 2026 rather than those of the early 2000s.
“Section 10 of our Constitution recognises the inherent dignity of every person, while Sections 152 and 153 place clear developmental responsibilities on local government. The constitutional mandate has not changed, but South Africa has changed profoundly over the past 30 years,” MEC Bredell said.
South Africa's population has grown from approximately 41 million in 1994 to around 63 million today, while urbanisation, climate change, technology and economic pressures have fundamentally changed the environment in which municipalities operate.
Bredell said the country's Free Basic Services policy, introduced in the early 2000s, must now be reconsidered. The current policy provides qualifying households with, among other services, 6 kilolitres of water and 50 kilowatt-hours of electricity per month.
Research undertaken by the Western Cape Government together with Stellenbosch University indicates that these allocations are no longer sufficient to support a dignified standard of living in today's economy. The research suggests that indigent households should receive at least 10 kilolitres of water and 150 kilowatt-hours of electricity.
“Electricity is no longer simply about keeping the lights on,” Bredell said. “It powers education, communication, job applications and small businesses. Digital connectivity has also moved from being a luxury to becoming essential economic infrastructure.”
Bredell said the proposed Dignity Basket should not be limited to water and electricity but should prompt a broader discussion about the essential services required for people to participate meaningfully in society.
“This is the difference between a survival basket and a dignity basket. A survival basket helps people get through the day. A dignity basket gives people the tools and opportunities to build a better future.”
Bredell stressed that an expanded Dignity Basket must not become another unfunded mandate for municipalities. “Municipalities cannot be expected to finance an ever-growing list of social responsibilities from property rates and municipal service charges alone,” he said.
“The middle class and formal businesses are increasingly carrying the burden of an expanding list of social obligations. If we continue placing more pressure on fewer ratepayers, we ultimately weaken the very revenue base that keeps municipalities functioning.”
Bredell proposed a new funding compact between national, provincial and local government, including:
- A greater contribution from national government towards poverty alleviation, as a national responsibility.
- Modernising the Equitable Share to reflect current demographic and urbanisation realities.
- Financial incentives for municipalities that govern well, collect revenue efficiently and maintain infrastructure.
- Greater use of technology to improve revenue collection and reduce operating costs.
- Expanded and carefully structured public-private partnerships.
- Greater access to green finance and climate funding.
- Consideration of VAT relief on qualifying basic services within the Dignity Basket for indigent households, shifting part of the redistribution burden from local ratepayers to the national fiscus.
Bredell also said the country must confront waste, corruption and maladministration. “South Africa does not have a problem of insufficient resources. We have a problem with how resources are used. Money intended for public services must reach the people it is intended to serve.”
Bredell said the proposal ultimately requires a broader national conversation about the respective responsibilities of the three spheres of government. “We need a compact that clearly defines responsibilities, matches mandates with resources and rewards good governance,” he said.
“Ultimately, this debate is not about the cost of a kilolitre of water or a kilowatt-hour of electricity. It is about the kind of society we want to build. Do we want government merely to keep people alive, or do we want government to provide people with the foundation from which they can build better lives? The question is not simply whether we can afford to improve our dignity offering. The bigger question is: Can we afford not to?”
Bredell said the Western Cape was prepared to contribute to this national debate. “If we are bold enough to rethink the mandate of government, modernise the way we fund basic services and build a genuine Dignity Basket for qualifying households, we can give practical meaning to one of our Constitution's most fundamental promises: that every South African has the right to live with dignity.”
Media Enquiries:
Wouter Kriel
Spokesperson for Minister Anton Bredell
Western Cape Minister of Local Government, Environmental Affairs and Development Planning
079 694 3085
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