Durban — The Msunduzi Municipality said it had been lenient for far too long towards defaulting government departments and businesses that have not been paying their bills.
Msunduzi embarked on a hostile campaign, #QoqamaMillion, to recoup R5.5bn, which is the amount that is currently sitting on the municipality’s debtors’ book.
On Friday last week Msunduzi started to disconnect businesses, government departments and schools that did not pay for water and electricity. It has since collected more than R50 million.
Msunduzi spokesperson Ntobeko Mkhize said there was an amount of R1.2bn for rates alone which had accrued from as far back as 2017.
She said the finance department had in the past sent notices and even final notices to these entities in a bid to get them to pay, but those notices weren’t responded to.
“The municipality intends to collect at least half with this campaign, which is one of many other programmes that the municipality is implementing in line with credit control and debt collection policy and municipal by-laws. Through this campaign the municipality has collected over R50m,” said Mkhize.
Furthermore, she said there were other active strategies that were being implemented to improve debt collection.
They also had a debt relief programme and debtors needed to come forward and take advantage of that.
She appealed to all debtors including residential debtors to ensure that their accounts were paid and up to date. If they were unable to do that, they should enter into arrangements where they could pay at least 20% towards their accounts and settle the balance over a period of 12 months.
“Businesses can also pay at least 30% and pay the balance over a period of six months,” she said.
Moreover, Mkhize said the disconnection of electricity and restriction of water was a campaign that had been going on for some time. The municipality had been to a number of residential areas carrying out these disconnections and restrictions.
“Accurate statements were issued to the consumers who were disconnected and the municipality has been acting on the rates accounts which are being ignored by consumers.
“There has been a positive reaction in relation to making payments. The municipality has a responsibility to provide services and for that to happen revenue collection is critical. The municipality is empowered by the legislation to collect what is due (to it),” said Mkhize.
She emphasised that paying for rates was as important as paying for electricity and water. Consumers had a responsibility to ensure that all their bills were paid.
“The municipality has its own financial obligations and a responsibility to provide services to the citizens of Msunduzi,” she said.
On Thursday, the revenue collection team went to disconnect the South African Social Security Agency (Sassa) offices which were more than R800 000 in arrears. Transnet was also disconnected as it was over R14m in arrears.
A car wash at the intersection of Mayor's Walk and Winston Road was immediately shut down for apparently using water from a fire hydrant.
Among government departments that were disconnected are Home Affairs, the National Prosecuting Authority building and some schools.
Daily News