POLOKWANE – While the municipality was owed over R620 million at the end of December last year, only R200 000 of bad debts had been handed over to debt collectors for collection.
This was revealed during a council meeting last Thursday.
State organs’ debt amounted to R26,5 million, commercial debt to R147,8 million and households to R348,5 million. Other debt amounted to R86,8 million.
Among the debtors were five municipal councillors who owed the municipality a total of R90 116, which had already been owed for more than 90 days.
Mayor Thembi Nkadimeng warned the councillors that she knew who they were.
According to the report tabled before council, the municipality was complying with Section 65 (e) of the Municipal Finance Management Act and was able to pay all creditors within a period of 30 days as required.
The municipality’s collection rate of debtors was 88% while the target was 95%.
In the financial year from July 1 2014 to the end of December 2014, the percentage of electricity losses amounted to 17,7 % and the water distribution losses amounted to 35%.
Revenue generated from the Peter Mokaba Sports Complex did not come up to expectations, as the projected crowd attendance of between 22 000 and 30 000 people per match had not realised. Between 10 000 and 15 000 people had attended matches. There were also fewer bookings made for paid events than expected.
