Uncategorized 24.10.2013 08:36 am

Tshwane metro owed R5bn in consumer debt

Image courtesy stock.xchnge

Image courtesy stock.xchnge

The Tshwane metro’s apparent inability to collect consumers’ growing debts was a matter of concern for the Municipal Public Accounts Committee (MPAC).

But Tshwane has maintained that its monthly collection rate was over 100 percent, even though consumer debt amounted to more than R5 billion, , Beeld reported on Thursday.

The committee said in a council report that a new strategy was needed for collecting accumulated debt.

According to the report, residential defaulters were the biggest culprits and by the end of September they were responsible for R2,8bn of the R4,8 bn debt of 30 days and older.

The business sector’s debt amounted to R1,1bn.

Tshwane said it had, since the previous financial year (2012/13) registered R104,9m in bad debt.

Embassies’ debt amounted to more than R2,1m.

Tshwane said that embassies were protected under international law against the suspension of municipal services.

– Sapa

 

 

 

 

 

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