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THE City of Windhoek’s outstanding debt in unpaid water, electricity and other municipal services has jumped by N$14 million from N$223,9 million in May 2008 to N$237,3 million in May 2009 as residents, including senior politicians, continue to default on their accounts.
Although City of Windhoek Chief Executive Officer Niilo Taapopi said more ratepayers were paying on time compared to the same time last year, when senior Government officials owed the city over N$500,000 in unpaid bills, the debt situation is not any better. On 1 May 2008, Windhoek residents and companies owed the City N$223,943,970.37 in unpaid debts for electricity, water, rates, taxes, ambulance accounts and other services. This year, over the same period, the debt increased by N$14 million to N$237,389,790.00 as of 1 May 2009. Geingob clears N$372,000 debt Former Prime Minister and ruling Swapo Vice President Hage Geingob has made substantial payments on his municipal accounts, reducing his balance from an estimated N$372,000 in May 2008 to a mere N$19,500 by the end of May 2009. Geingob and the municipality had settled for a monthly payment of N$10,000, but he managed to settle 90% of the debt in one year. In October 2008, Dr Geingob made a payment of N$200,000 on his account WHK00099864, which stood at N$371,897.25 in April 2008. The account had been at the centre of a legal dispute between the City’s Credit Control Department and Geingob, who at that time said he was under the impression that the Prime Minister’s Office was supposed to take care of his account as a former prime minister. Geingob this week confirmed that he had settled his municipal account, saying he never owed the municipality anything. “I paid up everything. I never owed municipality anything. I am gonna sue you,” he said. Plumbing issues According to information obtained by Informanté, Speaker of the National Assembly, Theo Ben Gurirab, who owed N$37,366.58 in May 2008, owed N$22,311 on his account by the end of June 2009. Gurirab’s Personal Assistant Willem “Mannetjie” Hanse declined to comment on the Speaker’s outstanding account, saying it was a personal issue. Gurirab is currently in Geveva Switzerland, and could not be reached on his cell phone. Education Minister Nangolo Mbumba, whose bill was at N$24,531 in May last year owes N$20,187. Mbumba’s wife said they had leakages at the property, which have been pushing the bill up despite an arrangement with the municipality to pay N$500 per month to clear the account. “I have problems with the municipality. When you talk to them they do not listen to you. We changed all the pipes in the house and we still have storm water problems,” she said, adding, “We put copper pipes outside and have spent N$30,000 on repairing the plumbing but everytime we get a municipal bill its high. According to my records I don’t have an outstanding bill with them.” Financial issues Among other debtors still owing the City of Windhoek is Scandia Kitchens and Joinery, a manufacturing company based in Prosperita with an outstanding amount of N$237,496.42. Scandia, which is currently under judicial management, owed N$417,682.00 as of 18 December 2008, and has since paid more than N$180,000 to settle its account. Scandia Chief Executive Officer Fritz Schutz said the company had been going through a “difficult time” and had arranged to clear its arrears with the City of Windhoek. “We are reducing the debt drastically. We are a big business and have a big factory with at least 100 employees,” said Schutz, adding, “We really appreciate the support the City of Windhoek has given us. They are taking companies involved in manufacturing and job creation very seriously.” According to City of Windhoek Debt Manager, Ingrid Cupido, the current outstanding water and electricity debt, excluding arrears for other municipal services is N$91,8 million. “The majority of ratepayers are paying their bills on time. There are only a few who are not complying,” said Taapopi. He added, “Since last year we noticed that there is a lot of improvement. We just want to indicate that there is progress, people are paying their accounts or they come in to make arrangements when they have problems.” |