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Blessings Chidakwa-Municipal Reporter
Harare City Council’s debt to Zesa Holdings has reportedly ballooned to $1,9 billion from about $1,2 billion in June when the utility switched off power supply to Morton Jaffray water treatment plant for two days, leaving the entire city dry.
Morton Jaffray plant feeds Harare, Chitungwiza, Norton, Ruwa and Epworth local authorities and each time there is water disconnection, residents are exposed to diseases such as cholera, diarrhoea, typhoid and dysentery as they resort to unsafe water sources.
According to the council’s 2021 budget review and performance report from January to June, the city is struggling to clear the debt which was just slightly above $1 billion in June.
“Electricity average monthly charge is $115 million with outstanding being $1,199 billion,” reads the report.
Asked if the local authority had a strategy to clear the debt to avoid another switching off, acting Mayor Musarurwa Mutizwa yesterday said the figure was disputable as council had outstanding issues with Zesa.
“So far we are okay as Zesa also owes us but we still have an agreement,” he said.
Zesa has however, been reluctant to shed light on the issue of royalties with the council alleging that it has not been paid a cent towards the agreed royalties for its buildings, power station and other assets since 1996 which can possibly offset the two entities’ debts.
Harare’s electricity undertaking was absorbed into Zesa when a unified electricity authority was set up soon after independence but Zesa is supposed to be paying a royalty on the assets it acquired.
Zesa spokesperson Prisca Utete declined to comment on the issue, referring all questions to Harare City Council.
Online Reporter