KNYSNA NEWS - The Knysna Municipality has started cutting electricity and water supplies to ratepayers and consumers who are more than 60 days in arrears with their accounts in a move to recoup over R300m it says it is owed in unpaid bills.
Newly appointed Municipal Manager Ombali Sebola issued a statement on Tuesday 14 February to say that the "serious" steps were implemented on 31 January, following a notice issued to this effect in mid-January in terms of the Knysna Municipality Customer Care, Credit Control, Debt Collection, Indigent and Tampering Policy.
"We are taking serious steps in recovering this debt, as these funds are critical to delivering services to all people of greater Knysna," said Sebola.
Consumers who are in arrears and do not yet have a pre-payment electricity meter may have their electricity disconnected or water restricted.
There is a total of R326m out-standing from accounts that are in arrears of 60 days or more.
He said the combined debt of the "top 100" offenders across ratepayer categories amounts to R123,9m, nearly 40% of the total amount owed.
"I have contacted and engaged a number of our top debtors and urge all account holders who are in arrears to urgently pay their debt," he said.
"To put the magnitude of this deficit into perspective, the total amount in arrears is nearly three times our entire capital budget, which is R124,2m. The top debtors owe nearly this amount on their accounts alone. To put it simply, if these outstanding funds are not paid, we cannot initiate projects or deliver services that this money would have paid for."
Of the R123,9m owed by the top 100, R82m is owed by businesses and R24m by private residential clients. The rest of the top 100 offenders owe the following:
- farms: R11m
- organs of state: R2,5m
- sundry debtors: R2,5m
- churches: R1,9m
Sebola urged those in default to contact the municipality to discuss payment arrangements and avoid being charged penalties when purchasing electricity.
"You may think that your payment won't make a difference, but I can assure you that it all adds up. If you don't pay your account, you are hampering service delivery throughout the entire municipal area and having a negative impact on our collective community," he said.
He said some debtors had already made payments. "Thank you for doing the right thing. And thank you to those account holders who regularly pay their accounts in full. Your commitment to your responsibilities allows us to fulfil ours," he said.
People wanting to discuss payment arrangements should call 044 302 6470 / 6542 / 6581 or send an email to accounts@knysna.gov.za.
According to Knysna Municipality's communications department, the municipality has already disconnected over 400 customers, but some have been reconnected following payments or arrangements made.
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