Municipalities failing to supply water to ratepayers affecting revenue generation - DWS

The Department of Water and Sanitation (DWS) said municipalities’ failure to supply its ratepayers with water is having the knock-on effect of not being able to generate revenue and thus, pay its dues to water boards.

Deputy Minister Sello Seithlolo said the department is working around the clock to try and resolve the water supply problems, particularly in the country’s northern provinces.

ALSO READ: DWS having mixed success with Treasury withholding grant funding to municipalities that don't pay water boards on time

Parliament has heard that the financial problems of many of the most affected municipalities also stem from poor billing systems and inaccurate property valuation rolls.

The DWS has adopted a carrot and stick approach to get municipalities to pay their debts to water boards by withholding quarterly funding from the National Treasury.

Portfolio committee chairperson Leon Basson said the water supply problems are also exacerbating municipalities’ ability to generate revenue, particularly from those who can afford to pay for services but are not receiving them.

Seithlolo said he will be meeting with Rand Water soon to understand the supply problems in the high-lying areas.

“I don’t think we can afford as the department to isolate ourselves from the situation any more. That is why we are making amendments to the principal legislation so that we can have far greater intervention powers.”

DWS director-general Sean Phillips said municipalities are being advised to insource the provision of water from tankers to limit expenditure.

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