Concerned Business Forum Leaders in the North West have called on local businesses to pay their municipal debts following a campaign by the Madibeng Local Municipality to cut off services for those who were defaulting on rates and taxes.
The campaign dubbed Óperation Patela Madibeng, kicked off in earnest this week where officials went around disconnected businesses and households said to be in arrears and owed the Madibeng Municipality millions in unpaid money.
Through Operation Patela Madibeng, the municipality also removed illegal connections, disconnected services for consumers/businesses owing the municipality, issuing of contravention notices for any illegal land use or non compliant buildings.
Buantja business forum member Neo Kgatje urged his counterparts to pay for their services and comply with business regulations by ensuring that their rates and taxes are paid.
“When talking about rates and taxes in most cases we are referring to water and electricity being paid. To avoid seeing the municipality switching off either water and electricity, pay up because not paying would automatically compromise your business.
“And in a case where the municipality has switched off but you have paid, make sure that you take all relevant particulars and go to the municipality to rectify the mistake, “said Kgatje.
Tlhoriso Motibedi from the Legend Business Forum expressed concern that some of the businesses are not adhering to business regulations by not paying what is owed to the municipality and urged compliance for the sake of good customer care and quality services..
According to the municipality, the financial sustainability of Madibeng Local Municipality is currently threatened by the entrenched culture of non-payment of municipal bills by consumers in most categories, businesses, households and associate government organizations.
It further stated that the culture of non-payment impedes the municipality to deliver on its constitutional mandate of providing quality and sustainable services to the people, including the fundamental responsibility of infrastructure maintenance.
Furthermore, the municipality said the precarious situation makes it impossible for it to service its bulk accounts with creditors like Eskom, City of Tshwane, Rand Water and as result, the municipality is vulnerable worryingly and remains susceptible to disconnection of services by these creditors.
The Municipality currently owes its creditors an inclusive amount of over R600 million, a debt that the institution is legally bound to pay.