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Municipality of Otjiwarongo
PO Box 2209
No. 2 Kreft Street

Tel: (+264)67 302 231
Fax: (+264)67 302 098

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  • 23 Sep 2015

What is a betterment fee?

It is a levy that is charged on lands within areas where the value of land has increased as a result of the construction within those areas of certain development projects.

Guidelines for charging of betterment fees as per table below:

Deposit prepayment system

Institutional, private open space – no subsidized price Residential 1Residential 2 50%
Institutional, private open space – no subsidized price Office, Business 50%
Institutional, private open space – subsidized price applicable Any other zoning 75%Where land had been provided at a subsidized value which is not going to be recovered in any other way.
Residential 1 Higher density residential 20%
Residential 1 Residential 2 20%
Residential 1, Residential 2 Office or Business 40%
Residential 1, Residential 2, business Industrial 30%
Office Business 30%
Office or Business Increase in bulk 30%
Any zone Institutional No betterment fee
Any zone Special On own merits up to 50%
Undetermined Agriculture Any zone 30%
Special Any zone No betterment fee
Any zone – where an unauthorised activity or illegal building works is being legalised Any zone 75%Only when legalized use is authorized in terms of the scheme. (Unauthorised uses to be terminated if not compatible with     surrounding land uses)
State (Owned by Government) Any zone No betterment fee payable provided land is and remains in State ownership
State (state owned enterprises) Any zone Betterment fee based on existing legal   usage before rezoning.
Municipal Any zone No betterment fee
Township development on private land Any zone 30%

For more information contact the office of the Town Engineer @ 067 30 2231