Cape Town invests more in infrastructure than any other city

Cape Town invests more in infrastructure than any other city

Cape Town Mayor Jordyn Hill-Lewis said Cape Town was on track to achieve greater infrastructure investment than all three Gauteng metros combined. The Mayor was speaking at the launch of the city’s latest infrastructure report, which shows how Cape Town is one of South Africa’s leading infrastructure investment cities. Read the full report here: https://www.capetown.gov.za/Family%20and%20home/Meet-the-City/city-reports/infra Structure-reports

Cape Town has an infrastructure pipeline totaling R120 billion over 10 years, a record for South Africa. During his current term alone, capital investment will create around 130,000 construction-related jobs, with an economic impact of R17 billion.

To meet the city’s growing infrastructure needs, Cape Town has increased investment levels, with the proposed capital budget for FY27/28 more than twice the size of this period’s original budget (R6.9 billion compared to R14.7 billion in FY22/23). By 27/28, the city’s capital budget will also exceed the budget of all three Gauteng metros (a total of R14.4 billion).

Overall, 45% of investment goes to basic services (water, sanitation, energy), 18% to transport, 11% to housing, and 8% to public spaces and amenities.

“We are building South Africa’s cities of hope by investing in the basic infrastructure needed to support a functioning city. In this way, the Cape Town of the future will be an even better place to live, with significantly improved infrastructure, especially in fast-growing low-income communities.

“Not only are we spending faster than Gauteng’s three metros combined this term, but 75 per cent of Cape Town’s infrastructure budget over the next three years will directly benefit low-income households for water, sanitation, roads, sports facilities and community improvements,” Mayor Hill-Lewis said.

Compare metros in Cape Town and Gauteng:

Only 75% of the pro-poor portion of Cape Town’s capital budget exceeds Joburg’s entire capital budget (as of 2025-26, Cape Town’s pro-poor spending was worth R10 billion, compared to Jo’burg’s total capital budget of R8.7 billion). Cape Town has invested more in infrastructure during his previous terms than Joburg and Tshwane combined. Cape Town’s actual capital expenditure will be R25.7 billion compared to R22.8 billion for Joburg and Tshwane from 22-23 to 24-25. Based on current spending patterns, the City of Cape Town is on track to outspend all three Gauteng metros combined during this term. One of the most striking examples of the investment gap is that the replacement of sewer and water pipes in Cape Town far exceeds that of all metros in Gauteng combined. In 2024/25, Cape Town will replace three times as many water and sewer pipes as Johannesburg, Tshwane and Ekurhuleni combined. This has more than doubled the replacement rate in four years, but Gauteng’s metro remains below its 2022/23 peak.

Total kilometers of sewerage and water pipes replaced 22-23 / 23-24 / 24-25:

Cape Town: 401km
Joburg: 98km
Tshwane: 58km
Ekurhuleni: 26km

Infrastructure investment highlights

Cape Town’s latest infrastructure report focuses on key areas for strategic spending over the next 10 years.

New programs such as accelerated pipe replacement, energy transition, and support for small developers to build more small rental units demonstrate the city’s dynamic, forward-looking infrastructure plan to accommodate rapid growth.

Highlights by infrastructure category include:

transportation

The focus of public transport investment is the multi-billion rand MyCiTi expansion from communities in Mitchells Plain/Khayelitsha and across the metro south-east, the largest project of its kind in South Africa. The medium-term portfolio has been expanded to include additional road reconstruction, rehabilitation, and stormwater projects. Investments in other years are related to transportation corridor development and congestion mitigation efforts.

water and sanitation

The new water program strategy will increase and diversify the city’s drinking water supply by 70 million to 100 million liters per day over the long term. Sewage expansion and sludge reuse projects through 2039 will support population growth and urban development. Resilience and service reliability are being strengthened through investments in the electricity grid, upgrades to pumping stations, and public-private partnership mechanisms.

waste

The city is expanding the current landfill, with a height expansion at Coastal Park pending approval (2026) and an expansion of the Vissershok South Landfill Cell. The new landfill is expected to be completed by 2036.

energy

Cape Town is building a resilient, affordable, low-carbon energy system and emerging as a national leader in municipal energy transition. The city is investing in power generation projects, energy efficiency, and grid upgrades to realize a dynamic, distributed energy future.

25/26 Highlights of pro-poor spending in MTREF include:

R4.5 billion for South Carolina’s largest public transport project by a city, a new MyCiTi bus route linking Wynberg/Claremont with Khayelitsha, Mitchells Plain and various other communities A R2 billion project to eliminate sewage spills and water pipe bursts by replacing 100km of sewers and 50km of water pipes annually, primarily in low-income areas Large-scale sewerage upgrades such as the Cape Flats sewerage upgrade, benefitting over 300,000 households, South Africa’s largest sewerage upgrade projects Large-scale sewerage upgrades, including the recently completed R4-billion Zandvliet factory upgrade, which will serve all of Khayelitsha and surrounding areas Road upgrades, repairs and congestion relief – R3.5-billion Informal settlement renovation – R3.4-billion Street lighting upgrades and repairs – R1-billion Renovation of public transport stations – R39.7 million Rehabilitation of informal trade infrastructure – R272 million