{"id":31403,"date":"2022-10-15T14:07:43","date_gmt":"2022-10-15T14:07:43","guid":{"rendered":"https:\/\/www.africa-press.net\/namibia\/all-news\/otavi-residents-owe-n57-million"},"modified":"2022-10-15T14:16:44","modified_gmt":"2022-10-15T14:16:44","slug":"otavi-residents-owe-n57-million","status":"publish","type":"post","link":"https:\/\/www.africa-press.net\/namibia\/all-news\/otavi-residents-owe-n57-million","title":{"rendered":"Otavi residents owe N$57 million"},"content":{"rendered":"

Africa-Press – Namibia. <\/strong><\/span>The total debt owed to Otavi town council for municipal services stood at N$57.6 million as of 6 September 2022.<\/p>\n

This is an increase of 19.6% from the N$48.2 million owed during the financial year 2020\/2021.<\/p>\n

Otavi CEO Sakaria Haulofu said as with most local authorities across the country, the issue of debt collection because of poor payment patterns by different consumers and customers remains a challenge.<\/p>\n

On water and other municipal services, Haulofu indicated the biggest defaulters are the residential consumers. When combined, they make up the largest share of the total debt owed to the council.<\/p>\n

According to him, there are a few government offices, ministries, and agencies that owe the council but they eventually pay over time.<\/p>\n

Regarding rates and taxes, the council stressed the biggest defaulters are mostly owners of unimproved (empty) erven with no connected municipal services.<\/p>\n

Other defaulters Haulofu mentioned include the owners of townlands, which are farms and other institutions such as factories and mines within the boundaries of the town.<\/p>\n

However, he assured the council has a credit and debt management policy, which is used to ensure effective and efficient debt management.<\/p>\n

\u201cNon-adherence to proper credit management can result in serious cash flow problems for the council and that will affect the operations of the council negatively. As a means to ensure that these defaulters do honour their monthly bills, the council has resolved to not issue clearance certificates whenever these properties are being sold or transferred,\u201d he remarked.<\/p>\n

Council has over the past year increased the accuracy of data collected to ensure a correct billing process; a timely preparation of accounts that ensure that every consumer and customer receives their accounts on time to ensure a steady payment and flow of revenue.<\/p>\n

Further, Otavi has updated its client information and acquired a dedicated telephone number and mobile phone for the sole purpose of constantly calling clients to remind them to pay before the due date.<\/p>\n

Council has also entered into payment agreements with clients that owe council huge amounts to set up payment plans on their outstanding debt.<\/p>\n

These agreements range between three to six months and are constantly monitored with the defaulters risking their services being discontinued immediately.<\/p>\n

Haulofu said the council disconnects water services to clients that are constantly defaulting on their payments.<\/p>\n

\u201cThis is a very effective method because it targets the most basic service that is important to the client. Council can also refuse to approve business registration \/renewal, building plan approvals as well as other statutory documents or requirements if a client owes the municipality. Through our community meetings organised by the local authority councillors, consumers are educated about the importance of paying for municipal services,\u201d he added.<\/p>\n

Sourcing the services of an external debt collector and or attaching the properties of the defaulters is another recovery measure Otavi has mooted.<\/p>\n

For More News And Analysis About Namibia<\/a> Follow Africa-Press<\/a><\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"

Africa-Press – Namibia. The total debt owed to Otavi town council for municipal services stood at N$57.6 million as of 6 September 2022. This is an increase of 19.6% from the N$48.2 million owed during the financial year 2020\/2021. Otavi CEO Sakaria Haulofu said as with most local authorities across the country, the issue of […]<\/p>\n","protected":false},"author":84,"featured_media":31402,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2,12],"tags":[234,236,233],"class_list":["post-31403","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-all-news","category-policy","tag-africa-press","tag-africa-press-namibia","tag-namibia"],"yoast_head":"\nOtavi residents owe N$57 million - Namibia<\/title>\n<meta name=\"description\" content=\"The total debt owed to Otavi town council for municipal services stood at N$57.6 million as of 6 September 2022. 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