adminmassive US$88 million by stakeholders who range from Government institutions, farmers, local authorities and industrialists among others. The debtors’ book has been consistently growing and weighing down the authority’s ability to pay its own creditors.
Zinwa, on the other hand. owes its creditors a combined US$55 million mainly in statutory obligations to NSSA and the Zimbabwe Revenue Authority (Zimra).
Zinwa board chairman Mr Never Mhlanga recently told Parliament clearly that the authority was being weighed down by its failure to collect revenue they would have billed water consumers.
“Zinwa is a viable entity. In 2011 we billed a total of US$43 million but unfortunately we collected US$27 million. Our clients themselves are not viable enough to pay us. We are now owed a total of US$88 million,” Mr Mhlanga said.
This financial position has come with its own problems among them hampering the pace at which the water authority can implement its own planned and budgeted projects.
Zinwa remains very aware of its responsibilities to supply and manage the country’s water supplies and give advice to the Government of water management. To that end, the authority is engaging all the necessary stakeholders to help in the recovery of all outstanding debts.
Unlike other authorities who can cut off consumers when they fail to service their debts, Zinwa cannot fathom such a decision as it would have very dire consequences. Cutting off supplies would mean the people or communities would be exposed to diseases or for industrialists lost production and farmers no farming.
Unlike Zimra, which can garnish its debtor’s accounts, Zinwa has to rely on the laborious court processes of enforcing payment.
However, it remains incumbent among the water consumers to pay their bills. Failure to settle a bill has implications that may not be immediate but still far more devastating in the future.
The country’s growing population, proliferation of new farmers and the climatic changes being experienced in the sub region are issues the authority should take head on.
Increasing populations and climate change means the country should create more water reservoirs and build dams. This needs money and big money. New constructions can only be possible if people pay or someone pays for it.
Failure to be water sufficient, particularly fresh water, would become a source of strife and fighting within the next 15 to 20 years according to leading water scholars and institutes.
On new farmers, the authority is aware that they need to have access to irrigation infrastructure. The authority needs financial resources to construct canals, repair of dam walls and maintenance.
Zinwa is currently diversifying into commercial enterprises to create new revenue streams. Among the enterprises are setting up fisheries and a water bottling plant in Mutare.
These new ventures are expected to become steady revenue streams for the authority to fund its operations in addition to the revenue collected from water consumers.
It is imperative among all stakeholders that we should not take for granted the current water abundance in the country. This false sense of security has lulled some consumers to develop a habit of neglecting to settle their utility bills but increasingly continue to complain about poor service delivery.
All consumers should therefore play their part according to the Water Act that created the special levies and charges that can be levied on consumers.
These levies according to the Act are charged for the following services; sale of raw or treated water from works operated or controlled by the authority, disposal of waste water, drilling of boreholes and provision of consultancy services.
Online Reporter