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Following a financial document being presented to the Newcastillian – Online News, by a source, as of December 2020, the Newcastle Municipality’s water bill with uThukela Water stood at a hefty R121,491,539 – 00.
Furnished with this knowledge, our Editor spoke with Head of Communications at Newcastle Municipality, Mlungisi Khumalo—asking him the following questions; What are the implications of this debt? Should residents be concerned about the town’s water supply being disconnected? And what is the Newcastle Municipality doing to resolve the matter?
“As the biggest shareholder of uThukela water, Newcastle Municipality is currently engaging with the entity on the debt owed to them,” assures Khumalo. He further declares the lockdown negatively impacted the municipality’s revenue collection.
However, Khumalo urges residents not to fret. “We can report that our talks with the water entity are ongoing and are yielding positive results. The municipality is obligated with settling all debt owed to creditors immediately.” Enthusing, “The debt will not impact water supply for the residents of Newcastle, and there is certainly no need to panic.”
Looking ahead, Khumalo stresses the media will be made aware of the outcomes of Newcastle Municipality’s deliberations and engagements with uThukela Water, once talks have been concluded.
DA Councillor, Bertie Meiring adds that while the Newcastle Municipality needs to take the respective steps to resolve the matter, debt collection is an issue requiring resolution. “When you run a business, you need to look after your income and ensure your debtors pay.”
Additionally, Alex Liu of the IFP claims the government entity needs to take some responsibility for the debt. He says, “Not making payments to uThukela Water is one of the main contributing factors to the debt.”
While receiving assurance from the municipality regarding the problem, the Newcastillian – Online News will keep residents updated as the matter unfolds.
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