Chronicle Editor
Patrick Chitumba, Midlands Bureau Chief
REDCLIFF Municipality has resolved to offset $126 million owing in water bills to the City of Kwekwe by selling commercial land to Zesa Holdings.
Zesa will then pay the Redcliff water bill and take ownership of the piece of land that is at the new proposed city centre along the Harare-Bulawayo Highway, popularly known as Redcliff turn -off.
Redcliff Municipality is growing towards Redcliff turn-off — a project that has attracted a lot of investors.
However, one misgiving for a town that sits in an extremely iron-rich area and relies on steel production as a source of revenue has been the erratic water supplies it gets from Kwekwe due to the ballooning debt.
The local authority which has for long suffered from economic challenges, is looking forward to a rosy future anchored on a number of development projects being undertaken such as the proposed new city centre and the offsetting of the City of Kwekwe water bill.
Home to the fallen iron and steel giant Ziscosteel, the town had encountered hard times in recent years, typified by its failure to service the City of Kwekwe water bill and other utilities.
In an interview, Redcliff Municipality Mayor, Councillor Clayton Masiyatsva said a special council meeting resolved to sell the land at the Redcliff turn-off to offset the water bill, as council has been receiving a backlash from residents, demanding constant water supply.
“Redcliff Municipality has resolved to offset its $126 million water bill it owes City of Kwekwe by selling part of its commercial land to Zimbabwe Electricity Supply Authority. We resolved in that special council meeting to clear our water arrears to City of Kwekwe using the prime land at the proposed new Central Business District along the Harare-Bulawayo highway popularly known as Redcliff turn -off. This is going to Zesa for $126 million which it will pay to the City of Kwekwe,” said Clr Masiyatsva.
He said the local authority management and Zesa Holdings officials are working on the matter.
Clr Masiyatsva said Redcliff Municipality will benefit as Zesa will now be paying rates to the local authority.
“I think it’s a win-win situation for us and Zesa because we will be billing them for developments and water and other services for future building and whatever business will be done on their property,” he said.
Clr Masiyatsva said the development does not mean that Redcliff residents’ debts have been cancelled.
“Residents and ratepayers at large will continue settling their bills because their debt hasn’t been cancelled. We encourage those who still owe us to settle their bills,” he said.
Clr Masiyatsva said the local authority also resolved to give a 50 percent discount to rate payers settling their bills in United States Dollars.
Meanwhile, the town clerk Mr Gilson Chakauya said the council also resolved to rebase the 2022 tariffs to United States dollars as at the date of budget approval.
“As such, billing of Council rates and services will now be converted to the United States dollars’ tariff using the auction /interbank rate as at the time of billing with effect from 1 August 2022. The local authority advises that this measure is not an increase in tariffs but an adjustment to preserve value for sustainable service delivery. This has been necessitated by rising inflation,” he said.
Mr Chakauya said the local authority intensified plans to relocate the city centre to the Redcliff turn-off.
Among other key infrastructure to be built at the new city centre is a hotel, long distance bus terminus, trucks inn, flats, service stations and lodges.
A service station has been constructed and is already operating.
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