The Department of Water and Sanitation is considering blacklisting individuals, companies and organisations that continue not to honour their debts that are due to the department.
This proposal was tabled before the Parliament’s Portfolio Committee on Water and Sanitation today, 23 August 2017 when the department presented its Quarter One report for the 2017/2018 financial year.
By the end of June 2017, the department only managed to collect R115 million out of more than R7 billion of the money owed to it by municipalities and water boards, an amount that is more like a drop in the ocean.
The department views the failure of water users to pay for the services in a serious light as this failure has adverse implications for the department in the execution of its mandate.
On its Quarter One report, the department revealed that it has 15% of its original R15 billion budget with Acting Director-General, Mr Sifiso Mkhize saying the department is on the right track in as far as achieving its set targets for the year.
In the first quarter, the department has used over R800 million to pay for its 2016/17 accruals which amounted to R1.5 billion. These were mainly due to the late submission of invoices amongst other things. This has resulted in the department reprioritising its Accelerated Community Infrastructure Programme and Water Services Infrastructure Grant projects to cater for the accruals.
As of 30 June 2017, the department had spent over R1 billion for its infrastructure projects out of the R11 billion that is allocated. In as far as the Bucket Eradication Programme is concerned, the department overspent by R45 616 000. The budget allocated was R145 000 000 and the department spent R190 616 000.
For more information contact:
Sputnik Ratau
Departmental Spokesperson
Tel: 012 336 6813
Cell: 082 874 2942
E-mail: rataus@dwa.gov.za
