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Evelene Taadira Herald Reporter
Businesses in Harare have slackened in settling water and rates arrears over the past two months as they anticipated scrapping of their accrued debts.Harare City Council is owed US$150 million by these entities.
In an interview, Harare City Council Business Development director Mr Cosmas Zvikaramba said the situation was disheartening.
“In August, there was a 44 percent decrease in the inflows from business and industry, which can be attributed to the scrapping of bills.
“As far as business and industries are concerned they seemed to believe that the scrapping of bills would also apply to them. I want it to be clear that the scrapping is only applicable to households,” he said.
Mr Zvikaramba said industry and commerce owe council US$150 million and if they take up the discount offer, they would save US$45 million by year end.
“The discount is a lot of money which they should take advantage of,” he said. Council is offering businesses and industry a 30 percent discount if they settle their bills till the end of the year and the same discount to those without debts as an incentive.
Harare City Council recently scrapped off debts amounting to US$330 million in line with a Government directive to scrap debts owed by residents from February 2009 to June 30, 2013.
Mr Zvikaramba urged business to make use of payment plans.
“We urge business and industry to continue to make payment arrangements and take advantage of the window of opportunity of the 30 percent discount which will continue until December 31.”
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