Municipalities in South Africa owe R10bn for water, cuts looming
The Department of Water and Sanitation on Wednesday said that it was issuing notices to at least 30 municipalities that water supplies will be cut off, by December 8, should they fail to pay their water debt that has been outstanding for more than 60 days.
“A total outstanding water debt of R10.7-billion currently exists, with 73% of this amount being outstanding for longer than 60 days. This debt is owed by municipalities, despite Section 65(2)(e) of the Municipal Finance Management Act that obliges municipalities to pay for bulk services within sixty days of receiving the relevant invoice or statement,” the department said in a statement.
“In trying to recover the outstanding debt, the Department initiated stakeholder consultations in terms of the Inter-governmental Relations Act and it has also embarked on a legal process to recover this money. These processes were initiated as early as two years ago and to this end, six court judgments have been issued in favour of the Department.”
Which municipalities would be affected was not immediately available.
The department said that 59 courts summons’ have also been issued and another 121 municipalities are involved in legal collection processes.
“Despite all these interventions, the water debt at municipal level continues to escalate.”
The Department would implement Section 59(3)(b) of the National Water Act, which allows it to restrict or suspend the flow of water to defaulting municipalities.
“The Department is implementing this sanction as a last resort, while it is simultaneously engaging the National Treasury on invoking Section 216(2) of the Constitution of South Africa, which enables the National Treasury to withhold the equitable share of grant funding that are to be paid to municipalities due to the persistent breach of the Municipal Finance Management Act.”
Comments
Announcements
What's On
Subscribe to improve your user experience...
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation