SA Local Government Association president outlines plans to recoup R165.5bn owed to municipalities
SA Local Government AssociationAs of end-June 2019 municipalities were owed R165.5bn by consumers, up from R143.2bn in the 2018 financial year, Salga president Thembi Nkadimeng told a media briefing on Thursday after the organisation’s national executive committee meeting in Johannesburg.
In the first phase all municipalities should “urgently and aggressively” enforce credit control management measures. These included disconnecting government properties and businesses with outstanding bills. Salga called on residents, companies and the government to pay all debts owed to municipalities so the councils can settle their debts with Eskom and the water boards.Salga’s call comes as the national government and the ANC have shifted the focus to supporting the user-pays principle.
“It is evident that there is a clear link between the ability of a municipality to service its debt, including that to Eskom and water boards, and the inability of a municipality to collect from government, business and households for services delivered,” Nkadimeng said.
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