STAFF WRITER
Municipalities, private consumers and miners owe Namibia Water Corporation (NamWater) about N$2.8 billion – threatening the viability of the water utility as well as its water distribution infrastructure.
The water utility released a statement on Wednesday saying growing debt by its bulk water consumers has shot up by t N$387 million as at end of November this year.
In February this year NamWater was owed about N$2.4 billion by its bulk water consumers.
The water utility said the failure by bulk water consumers to service their debt is threatening the survival of the non profit making water utility.
Worsening the situation is that Namwater has not seen any water tariff increase for the past five years
“NamWatewr is not a profit driven entity, it is a public entity that relies entirely on water sales to fund operations , maintenance and capital investments. The continued accumulation of debt causes serious consequences,” NamWater said in a statement.
According to the debt breakdown, Town Councils nationwide owe NamWater about N$926 million, Rural Water Communities owe N$783 million, private consumers N$342 million, municipalities N$253 million, mines N$166 million and Village Councils N$169 million.
The water utility pleaded with the various bulk water consumers to pay their dues in ample time to allow them to operate effectively.
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