Cabinet says municipal debt to water boards is rising at an unsustainable rate

By Charles Molele

The ongoing outstanding municipal debts to water boards across the country is threatening the financial viability of the entities and the entire water sector.

This was outlined by Minister in the Presidency, Khumbudzo Ntshavheni, during a post-Cabinet media briefing on Wednesday.

Ntshavheni said that the municipal debt to water boards is rising at an unsustainable rate, reaching a total of R23 billion as of 31 August 2024.

She said Water and Sanitation Minister Pemmy Majodina recently met with several of the affected municipalities and received commitments to pay from most non-paying municipalities.

“Cabinet had previously approved the establishment of an Inter-Ministerial Committee (IMC) to address municipal turnaround, Ntshavheni said.

“The IMC will also prioritise measures to address municipal debt payments to water boards, particularly those facing imminent bankruptcy.”

Ntshavheni also said Cabinet was appraised of the level 1 water restrictions that are in place in Gauteng due