Relief for indebted residents

2018-10-17 06:02

KWADUKUZA Municipality has adopted the implementation of a Debtors’ Amnesty Scheme that will run until June 2019. The decision was taken at a council meeting on Thursday.

Council will be implementing a Debtors’ Incentive Scheme for a fixed period in a bid to enhance debt recovery and encourage prompt payments.

The Department of Co-operative Governance and Traditional Affairs recently asked municipalities to reduce arrear debts by 50%. In light of this, council adopted the scheme as a debt collection mechanism with an objective to improve the current payment levels and to recover arrear debts.

This means that those who owe substantial debts to KwaDukuza Municipality are able to make arrangements to settle their capital debt without any accumulated interests within a fixed period and should there be any interest on the arrear debt, it will be reversed.

According to KwaDukuza mayor Ricardo Mthembu, this is a “humane and a cost-efficient scheme” that will benefit the customers as well as council so that they can deliver services in the best interest of the community in a way that is financially sustainable.

The incentive scheme will also assist customers involved in lengthy litigations to settle their capital debts.

This offer is only valid from November 1, 2018 to June 26, 2019.

The final settlement must appear in the municipality’s primary bank account on June 26, 2019.

In terms of the municipality’s income analysis, council has done fairly well in recovering the arrear capital debt however, more debts can potentially be recovered if a functional incentive scheme is implemented in the right way. The scheme will not apply to debtors whose legal judgment has already been obtained against them.

In addition to this decision, council will also be rolling out the #Thuma Mina Campaign with a view of enhancing service delivery, working together with local communities.

The programme will be characterised by a number of activities involving community, government officials and councillors. KwaDukuza council will be implementing the programme from now until June 2019 and will carry out clean-up campaigns, patching of potholes, marking of roads, repairing of street lights, registering indigents, and encouraging payment of accounts and encouraging young people to form co-operatives and assisting youth to develop business plans.

Council has delegated the mayor and the municipal manager to meet with the labour force, ward committees, and other strategic stakeholders to unpack the #Thuma Mina programme.


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