Households across South Africa feel the squeeze of monthly lights and water costs. A utility bill subsidy in South Africa is available through the government’s Free Basic Services. If you meet the criteria for indigent status at your municipality, you can receive Free Basic Electricity and Free Basic Water every month to cover essential needs.
This guide explains who qualifies, what to prepare, how to apply, and how to write a clear cover letter that supports your application. It includes a copy-ready template and a short example you can adapt.
What the Utility Bill Subsidy is and how it works
South Africa’s utility support is delivered through Free Basic Services. These are not cash payments. Municipalities provide a set allocation of free units every month to approved low-income households.
- Free Basic Electricity (FBE): Most municipalities provide 50 kWh per month. Some areas, such as Cape Town, provide 60 kWh. This covers essentials like lighting, a radio, a kettle, phone charging, and light cooking.
- Free Basic Water (FBW): At least 6 kilolitres per household per month. Anything above this is billed at standard tariffs.
- Other support: Many municipalities subsidise basic sanitation and refuse removal. Relief can range from a fixed amount, for example up to R50 per month, to a full subsidy for registered indigent households.
Funding flows from National Treasury, but local municipalities manage approvals and delivery. That means rules and processes vary by area. In 2025, some additional relief measures have been discussed for grant recipients, such as electricity vouchers linked to SASSA grants. The core route remains the municipal indigent register.
Key point: There is no national online form. You apply through your own municipality or, in Eskom supply areas, via the municipality’s indigent office with Eskom coordination for electricity tokens.
Who qualifies for indigent status
Municipalities use a means test to decide if a household is indigent. Criteria differ across the country, but common thresholds include:
- Household income: Often below R3,500 to R4,000 per month. The exact figure is set by each municipality.
- Property value: Common caps range from R300,000 to R500,000.
- Household size: Usually 1 to 8 people, with dependants considered.
- Residency: South African citizen or permanent resident, registered at the address.
- Social protection: Pensioners, disability grant recipients, and other SASSA beneficiaries often qualify, sometimes via automatic verification.
- Housing benefits: Some municipalities exclude households that have already received certain housing subsidies. Check local rules.
If you meet the criteria and your application is approved, your household is placed on the indigent register. FBE and FBW then apply automatically to your account or prepaid meter.
How much help you receive
What you get depends on local policy. The following is common across many municipalities:
- Electricity: 50 kWh per month.
- Water: 6 kl per month.
- Sanitation and refuse: A partial or full subsidy, often up to R50 per month or 100 percent of the basic charge.
Always confirm with your municipality because allocations differ by council and budget decisions.
Documents you need
Prepare these before you visit your local office:
- Valid ID for the applicant and adult household members.
- Proof of residence, for example a recent municipal bill, a lease, or a councillor’s affidavit.
- Proof of income for the entire household. Use payslips, bank statements, SASSA grant letters, or a sworn affidavit if unemployed or informally employed.
- Account details for postpaid users or a prepaid meter number for electricity.
- Birth certificates for dependants and marriage or divorce certificates if applicable.
Quick checklist to print:
- SA ID or valid permit
- Proof of address, less than 3 months old
- Proof of income or affidavit
- Account or prepaid meter number
- Dependants’ birth certificates
- Completed indigent application form
Step-by-step: how to apply
1) Find the right office
Go to your municipal customer centre or speak to your ward councillor. Use the Municipalities of South Africa directory to confirm addresses and contact numbers for your town or city.
2) Ask for the indigent application form
Use the terms Indigent Support Programme or Free Basic Services. Ask for the list of required documents to ensure you bring everything.
3) Complete the form accurately
Provide full household details, income, and the account or meter information. Accuracy is critical. Declare all income sources. If you do informal work, attach an affidavit.
4) Attach your documents
Include certified copies if required by your municipality. Some offices can certify on site. Keep originals with you.
5) Submit and get a reference number
Hand in the form at the municipal office or designated drop-off point. Keep the reference slip or stamped copy.
6) Verification
Officials may conduct a home visit or check databases to verify income and social grants. Where data sharing exists, SASSA records may help confirm eligibility.
7) Approval and activation
If approved, your household is added to the indigent register.
- Prepaid electricity: You receive monthly FBE tokens. In many areas you can claim via USSD such as 130869# or 130269#, then enter your meter number.
- Postpaid accounts: FBW and any sanitation or refuse rebates reflect as credits on your bill.
8) Track your status
Call the municipality or review your next statement to confirm the free allocations appear. If nothing shows within a month, follow up with your reference number.
Timing: Decisions typically take 2 to 4 weeks, depending on verification and backlogs.
Writing a strong cover letter
The form is what decides your status, but a short, clear cover letter can help the reviewer understand your situation. Keep it formal, factual, and to one page.
Tips:
- Address it to the Municipal Manager or Indigent Support Officer.
- State your account or meter number at the top.
- Summarise your household size, income, and hardship in two or three short paragraphs.
- Avoid emotional language. Stick to facts, dates, and numbers.
- Confirm that documents are attached.
- Offer availability for a verification visit.
- Sign and date it. If you email a scan, keep file sizes small and legible.
Free letter template
Copy, paste, and complete the sections in brackets.
Subject: Application for Indigent Status and Free Basic Services (FBE and FBW) – Account No. [Your Account or Meter Number]
[Your Full Name]
[Your Address]
[City, Postal Code]
[Email Address]
[Phone Number]
[Date]
[Municipal Manager or Indigent Support Officer]
[Your Municipality Name]
[Municipal Address]
[City, Postal Code]
Dear [Title and Surname],
I am writing to apply for registration on the indigent register to access Free Basic Electricity and Free Basic Water under the municipality’s Indigent Support Programme. My household faces financial hardship and I believe we meet the eligibility criteria.
Household details
Head of household: [Your Name], ID [ID Number].
Number of dependants: [e.g., 4].
Total monthly household income: [e.g., R2,500 from SASSA Child Support Grant].
Property: [e.g., RDP house valued under R300,000].
We are a low-income family at the above address. Due to [brief reason, for example retrenchment or illness], our combined income falls below the municipal threshold of R[insert local threshold if known]. We use utilities for essential needs and struggle with monthly bills of approximately R[amount].
Documents enclosed
- Completed indigent application form
- IDs and birth certificates for household members
- Proof of income or affidavit
- Proof of residence
- Account or prepaid meter details
Approval for FBE and FBW will secure our basic services while we stabilise our finances. I am available for a home verification visit and can be reached at [phone or email]. I look forward to your response.
Yours sincerely,
[Your Full Name]
[Signature]
Enclosures: As listed
Short example for the hardship section
Due to a retrenchment in March 2025, our only income is an Old Age Grant and two Child Support Grants totalling R2,740 per month. Our average monthly spend is R480 for water and R350 in electricity tokens. We use electricity for lighting, a kettle, and a one-plate stove. Our income falls below the municipal indigent threshold.
After approval: how to use and track your benefits
Claim your FBE tokens
If you are on prepaid electricity, you will receive a token every month once approved. In many areas you can claim via USSD *130*869# or *130*269#. Enter your meter number and load the token as usual. Some municipalities load FBE automatically. If nothing arrives by the 5th of the month, contact the support number on your bill.
Understand when the free portion ends
Prepaid meters show remaining kWh. Track your usage so you know when you move from free units to paid units. Water statements show FBW allocations and billed consumption.
Conserve to stretch 50 kWh
- Replace incandescent bulbs with LEDs.
- Boil only as much water as you need.
- Use a microwave or slow cooker rather than an oven for long cooks.
- Switch off plug points when not in use.
- Air-dry laundry where possible.
Keep records up to date
Municipalities re-verify indigent status annually or when your situation changes. If income rises, notify the municipality. This avoids penalties or back-billing.
If your application is denied
You have the right to appeal. Most councils require an appeal within 21 days of the decision.
How to appeal:
- Ask for written reasons for the refusal.
- Provide any missing documents or clearer proof of income.
- Submit an appeal letter with your reference number.
- Request a review meeting if your council offers one.
- If you believe your basic rights are affected, you can approach the South African Human Rights Commission for guidance.
Keep copies of every document and note the dates you submit.
Common situations and questions
What if I rent or live in a backyard dwelling?
You can still apply. Provide proof of residence and your lease or a councillor’s affidavit. If the municipal account is not in your name, request guidance on how the free units will be applied or how prepaid tokens will be issued.
What if electricity supply is from Eskom, not the municipality?
You still apply through the municipality’s indigent programme. Many municipalities coordinate with Eskom to ensure FBE tokens reach approved households on prepaid meters.
Can only one person apply per property?
Yes. The municipality approves a household at a registered address. Duplicate applications at the same address are usually declined.
Do I need to re-apply every year?
Most councils require annual re-verification. Watch for notices on your bill or SMS alerts and respond quickly with updated income proofs.
What if I have solar or a shared meter?
Policies vary. Ask the indigent office how they handle shared or alternative supply. Some councils assess on a case-by-case basis.
I lost my token SMS. Can I get it again?
Call the municipal call centre with your reference or account number. Prepaid vendors can also re-issue recent tokens if you have the meter number and ID.
Can I receive both FBE and FBW?
Yes. If approved for indigent status, you qualify for both, plus any sanitation or refuse subsidies that apply.
Practical examples to guide your budget
Many households find that 50 kWh covers two to three weeks of careful use. A typical mix looks like this:
- 4 LED bulbs on for 5 hours nightly
- Phone charging for two users
- One kettle boil per day
- A microwave or hotplate for short cooking
- Radio and occasional TV
Water savings from 6 kl a month are significant for a small household using buckets for cleaning and short showers. Pair this with leak checks and low-flow shower heads to reduce overage charges.
Where to get help
- Municipal customer centres: Start here. Use your city’s official website or the national municipalities directory to find addresses and numbers.
- Call centres:
- City of Johannesburg: 011 375 5555
- City of Cape Town: 0860 103 089
- Eskom enquiries: 0860 037 566
- Ward councillors: They can certify affidavits, confirm addresses, and guide appeals.
- SASSA offices: For grant confirmation letters used as proof of income.
- SALGA or provincial CoGTA offices: General guidance on municipal support programmes.
- Department of Water and Sanitation hotline: 0800 200 200 for water-related issues.
Contact availability and numbers can change. Check the latest details on the relevant official website before you visit.
Check also: 2026 Utility Subsidy: Documents You Need to Apply
