The Amathole District Municipality (ADM) has raised serious concerns about the outstanding debt owed by government departments and businesses totalling over R200 million.
The municipality said this resulted in a financial strain that threatened essential water and sanitation service provision. Municipal spokesperson, Sisa Msiwa, said the money owed dates back to the end of February.
“Water and sanitation are not just services, they are basic human rights enshrined in the Constitution. Yet, millions of rands in unpaid municipal debt by government institutions are jeopardising ADM’s ability to provide these critical services, particularly to the vulnerable communities,” Msiwa said.
The crisis, she said, affected the supply and maintenance services in struggling communities and the municipality’s ability to upgrade aging infrastructure and respond to service interruptions. Other affected areas were efforts to expand indigent support programmes and ensure that the most vulnerable receive their rightful services.
The district authority called on all debtors to settle their arrears as a matter of urgency or risk having their water cut off. Business and private institutions owe a staggering R94 million; the Department of Health follows with a debt of R28 million with tertiary institutions owing a total R24 million.
The Department of Public Works in the province is R23 million behind payment and the Eastern Cape Development Corporation needs to pay R14 million to be up to date with payments.
These figures are all reflected in a report released by the district Municipality.
Correctional Services has a debt of R8 million with the National Department of Public Works at R7 million. The section 20 Department of Education owes R4 million and section 21 owes R1 million. Transnet has a R3 million debt while the Department of Rural Development and Agrarian Reform owes R2 million.
Entities requiring formal arrangements, Msiwa said, must visit the ADM revenue offices. She said ADM valued partnerships with business and government departments in building a sustainable and thriving district.
“As SA commemorated Human Rights Day, ADM reminds all stakeholders that access to water and sanitation is not a privilege but a right. The municipality remains committed to upholding that right but it requires financial stability from sectors to sustain services for the people of Amathole,” Msiwa said.
