Rehoboth council warns institutions over unpaid bills

Allexer Namundjembo

Rehoboth mayor Jacky Khariseb has called on government ministries, agencies and other institutions in the town to settle their outstanding municipal accounts.

Khariseb said non-payment by several institutions has worsened the council’s financial situation and forced it to accumulate debt with bulk service providers.

“It resulted in us accumulating debts with our bulk suppliers and created more pressure on the individual residential accounts of our residents. It is about time that all of us take responsibility and accountability for our accounts,” he said.

Khariseb instructed the town council’s administrator to issue letters of demand to institutions with unpaid municipal accounts.

“Letters of demand should go out to all these institutions and they should be given a cut-off date in which they should come in and make arrangements, or rather, their ministries should pay for their debts,” Khariseb said.

He said the move aims to improve the council’s financial position so it can meet its obligations to bulk service providers such as Namibia Water Corporation (NamWater) and Namibia Power Corporation (NamPower).

“It is of serious concern and it should be taken with seriousness. Residents alone cannot accumulate the accounts while government agencies, ministries, businesses and those that occupy town lands do not help us with this debt,” he said.

The council began issuing the notices on Monday. Institutions have until 19 March to settle their debts or make payment arrangements.

The council said failure to respond within the given period may lead to enforcement measures under its credit control policy, including the disconnection of municipal services.

The warning comes as the council faces mounting debt to NamWater estimated at about N$150 million.

NamWater had earlier warned of a possible suspension of water services in the town. The planned interruption has been temporarily suspended while discussions continue.

The council said it is engaging the Ministry of Urban and Rural Development, the office of the Hardap governor and the Rehoboth captain’s office to find a solution.

Khariseb said water services remain operational.

“Residents will be updated as discussions progress,” he said.

The earlier warning of a possible water shutdown raised concern among residents and businesses.

The chairperson of the Rehoboth community representatives, André Pretorius, said residents should not be affected by the situation.

“Our priority is to ensure residents are not affected by these issues, and discussions with the authorities are ongoing to find a sustainable solution,” Pretorius said.

The financial pressure facing Rehoboth reflects wider challenges among local authorities.

The Electricity Control Board of Namibia (ECB) reported that municipalities and state-owned enterprises owed about N$912 million to NamPower as of late November last year.

ECB chief executive Robert Kahimise previously said local authorities and state-owned enterprises that breached repayment arrangements account for N$557 million of the debt.

Rehoboth Town Council, which has been under a bulk prepayment arrangement with NamPower since May 2024, recorded a negative balance of about N$12 million.

Kahimise had warned that rising debt among local authorities could threaten electricity supply and limit investment in domestic power generation.

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