Rand Water and the Emfuleni Local Municipality have gone head-to-head over the settlement of millions in debt.

The municipality's account with the water board stood at more than R500-million, prompting Rand Water to attempt to recover the debt through the courts and taking transfer of the municipality's assets at the end of last year.

The dispute has been ongoing for several years.

The latest spat came after a statement was issued by the municipality on Friday, in which it said the water board had attempted to take over the Sebokeng Wastewater Treatment Plant to recover the debt owed.

The municipality claimed it had honoured a payment agreement, which had been set up with Rand Water in December 2020, but had defaulted in August due to the attachment of the municipal bank account by Eskom.

Payments then resumed between September and November.

However, in December last year, Rand Water demanded a payment of R500-million, according to municipal spokesperson Makhosonke Sangweni.

A meeting was held on Wednesday, 29 December, which included Rand Water, the municipality and the South African Local Government Association.

At this meeting, a strategy was set up to pay the outstanding amount, said Sangweni.

On Thursday, 13 January, R252-million was paid to Rand Water, he said.

However, less than a month later, Rand Water again attached the municipality's account.

Sangweni said: "Negotiations ensued - and, during negotiations, the Rand Water CEO, Sipho Mosai, insisted the water board wanted to take over the municipality's Sebokeng Wastewater Treatment Plant in the place of the debt owed."

But, according to Rand Water, the move to seize the municipality's assets came after a long fight to recover the debt.

Rand Water said it had "entered into numerous settlement agreements" with the municipality.

"The municipality reneged on each of these settlement agreements. Furthermore, the very settlement agreement (December 2020), to which the municipality references in its statement, was in itself not fully honoured," the water board said.

Not only did the municipality fail to meet the payment provisions of the settlement agreement, it also continued to short pay on its current account, Rand Water claimed.

The water board said it had "exhausted" attempts to have the municipality settle its "ever-growing debt".

Rand Water approached the courts in a "last resort to curb the growing debt and to secure payment".

This resulted in the agreement being made an order of the court, which was issued in June.

Despite this process, the municipality defaulted on its debt, and Rand Water again approached the courts.

A Writ of Execution was issued on 17 December, and the Sheriff of the High Court attached the bank accounts of the municipality to liquidate the judgment debt.

"Subsequent negotiations resulted in the municipality agreeing to a payment in the amount of R253-million, and for it to consider our proposal for the municipality to set-off the remaining portion of the debt against its immovable assets," the board said.

However, when the time came to have the property transferred to Rand Water, the water board found the Sebokeng Wastewater Treatment Plant was constructed on property owned by the provincial government.

It also insisted the transfer of the plant was the municipality's idea, and not at the prompting of Rand Water.

Rand Water then determined there were no immovable assets of value that could be attached to settle the outstanding judgment debt, and re-issued the writ against the bank account of the municipality.

In December, the municipality owed Rand Water more than R400-million and offered to make a payment of R253-million. However, it reneged on this agreement, said the water board.

Sangweni declined to comment on the statement by Rand Water, referring News24 to the statement released on Friday.