Lebogang Maile: Gauteng’s municipalities are owed R79.4 billion

According to Gauteng Cooperative Governance and Traditional Affairs MEC Lebogang Maile, R79.4 billion is what the province’s municipalities are owed.

The majority of the debt is owed by household consumers and this covers only the period categorized in over ninety days.

Several municipalities across the country have been resorting to unconventional methods to recover monies owed to them from clients and consumers – including shutting down services such as water and electricity.

Maile said at R20.1 billion of the debt, which represents 21% of the overall amount is owed by businesses, in the province.

However, municipalities are equally battling to pay their own debts with Eskom and Rand Water at the top of the creditor’s list.

“We keep on monitoring this and also try and intervene where possible, where there are difficulties because there are instances where municipalities are not able to pay because they are not collecting, but there are also certain instances where municipalities are not paying because they are prioritizing other things.”

-EWN

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