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Development Application Fee Relief
Mall of the west
EThekwini Municipality urges all developers and investors to take full advantage of the City’s current development application fee relief. The waiving of the development application fee is part of the City’s Economic Recovery Plan (ERP), introduced as a result of the Covid-19 lockdown, to help facilitate economic recovery. The dispensation which offered investors and developers a break during the economic recession is applicable until the end of June.

This initiative, together with the City’s Development Incentive Policy, provides a win-win situation for investors, developers, and the City. Investors would also do well to note that eThekwini ranked second on the World Bank’s benchmarking exercise on the construction permits indicator on Doing Business for 2018/19.

A report tabled at the Economic Development and Planning Committee on 11 February stated that while the development application fee relief helped stimulate the economy, it did not contribute to the City’s coffers. In this regard, the report proposed a five percent increase in tariffs for the Planning Sector effective 1 July. In support of the informal economy within eThekwini, home businesses, tuckshops/spaza shops, and taverns will receive a 50 percent reduction as they pose minor or little to no impact on existing infrastructure.

The report also included the introduction of a penalty for failing to obtain prior planning approval in order to boost the City’s enforcement efforts, the introduction of an incentive tariff to support the bad buildings programme as well as to introduce a mechanism to recoup costs incurred from rectifying potential dangerous situations as a result of non-action by responsible persons.

The proposed development tariff increase by the Development Planning, Environment, and Management Unit is still to be tabled at an Executive Committee meeting and Full Council approval at the end of February.

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