Gweru in bid to recover $900m unpaid bills

Patrick Chitumba, Midlands Bureau Chief
GWERU City Council (GCC) is taking legal action in a bid to recover over $900 million in unpaid bills by residents, commercial and Government entities.

Three months ago, the debt stood at $760 million but has ballooned to $925 million.

At the end of December 2020, the debt stood at $296 million.

GCC public relations officer Ms Vimbai Chingwaramusee confirmed the development.

Ms Chingwaramusee said as of July 31, they were owed $280 million.

Ms Chingwaramusee said council is taking legal to recover money it is owed.

She said if the money was paid in full, the local authority was going to meet its obligations n terms of service delivery and paying creditors.

“We continue issuing final demand letters and for those who do not respond, we take the legal route culminating in the issuance of summons,” said Ms Chingwaramusee.

Gweru mayor Councillor Josiah Makombe attributed the ballooning debt to reluctance by ratepayers to honour their obligations.

“The budget has been under-performing due to low appetite by residents and other stakeholders to pay their bills,” he said.

Clr Makombe said due to non-payment of bills, the city council was now struggling to clear its debt to service providers, particularly its three major creditors, Zimra, ZETDC and Local Authorities Pension Fund.

“Residents might be interested to know that on the 17th of May 2021, ZETDC switched us off at our water treatment plants over the debt and only restored supplies after we had committed ourselves to a monthly payment plan of $13 million,” he said.

In June, Clr Makombe said Zimra garnished the council’s accounts over a $44 million debt and the local authority paid $14,2 million for the tax collector to lift the garnishee order.