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Michael Magoronga, Midlands Correspondent
CASH-strapped Redcliff Municipality has started paying about $50 000 per month towards servicing a $3million debt it owes Kwekwe City Council after the latter engaged lawyers to recover the money.
Redcliff has been receiving treated water from Kwekwe City Council after its water supplier, Ziscosteel folded operations almost a decade ago but has not been paying for the water.
Redcliff Mayor, Councillor Clayton Masiyatsva, confirmed that the local authority had agreed on a payment plan with Kwekwe City Council lawyers. “We have entered our second month paying $50 000 per month. They had proposed that we make a payment of $90 000 per month but we indicated our challenges to them and they understood. We are really grateful to the city for standing with us in this time of need and we appreciate that there is a need for us to work towards clearing the debt,” said Clr Masiyatsva.
He said the local authority has been facing cash-flow challenges following the closure of Ziscosteel which was their biggest ratepayer.
Blessing Chizhande
Online Reporter