Harare City Council is owed more than ZWL$2 billion by residents, business and government.
The debt has stalled service delivery prompting council to blacklist defaulters.
Harare City Council is owed more than ZWL$2 billion by residents, business and Government.
The debt has has stalled service delivery prompting council to blacklist defaulters.
Council is struggling to provide services such as refuse and water because only 25 percent of ratepayers are paying.
As of 31 October this year, ratepayers in the high density areas owed ZWL$381 706 430, low density ZWL$522 559 645, industrial and commercial ZWL$1 255 828 875 and Government ZWL$63 643 469 making a total of ZWL$2 273 738 420.
The city is now mulling various debt recovery strategies including blacklisting defaulters.
Presenting the 2021 Budget Speech and Proposals, Finance Committee chairperson Cllr Tichaona Mhetu said council should execute an effective debt recovery plan by creating a strategic alliance with ZESA and collect debt on the ZESA platform as one buys electricity.
“On blacklisting delinquent customers, engagements with a Financial Clearing Bureau are on course and this will bring immediate results through access to debtors’ database hence there is need to expedite this process.
“Increasing payment platforms and revenue collection points is important to bring convenience to customers. Given that the existing General Valuation Roll is outdated, council should have a GVR in place by December 2021 to capture the true value of properties commensurate with each property,” he said.
Council also proposed that Government takes over the legacy debt on water treatment chemicals (ZWL 705 million) and electricity (ZWL 291 million) so the City can employ the proceeds from tariff adjustment towards making water account operations sustainable
