Government debt cripples Masvingo City

Masvingo City Council is facing mounting challenges in delivering basic services due to the government's failure to settle substantial debts owed to the local authority, with claims that various government departments now owe the council millions.

The alarming debt figures were highlighted during a recent full council meeting, where councillors warned that unpaid government obligations have delayed infrastructure repairs, worsened chronic pipe bursts, and constrained funding for essential services.

Ward 6 Councillor Wilstaf Sitemere revealed that while the council owes Zimbabwe Electricity Supply Authority (ZESA) ZWL$59.6 million, government institutions collectively owe the council about ZWL$108 million. "We are making efforts to pay ZIMRA, which is part of government, but government owes us $108 million. There is a need for realistic debt settlement agreements; otherwise, we will continue facing issues such as the 52 water bursts reported in recent months," Sitemere said.

He added that the council's engineers are capable of addressing these challenges, but a lack of funds prevents timely repairs. "The 52 water bursts recorded are a result of procurement issues. We have very competent engineers, but there are no materials to address these problems," he said.

Ward 9 Councillor and Finance Committee Chairperson Benard Muchokwa noted that the council is negotiating debt arrangements with creditors such as ZESA but cautioned that energy costs remain unsustainable. "We are trying to set off arrangements with ZESA because we also provide services to them. The reality is ZESA is expensive for us, and we owe them more than they do us," Muchokwa said, adding that implementing water augmentation phase two could significantly reduce electricity costs, given the long distances over which Masvingo pumps water.

Masvingo City Mayor Alec Tabe called for a national dialogue with the Ministry of Local Government to address the problem, noting that delayed government payments are hampering service delivery across the country. "The issue of government institutions not honouring their payments is affecting all councils. We are taxed while government owes us, and the few funds we collect are often garnished, which paralyses service delivery," Tabe said.

He stressed the need for government intervention to enable councils to meet service delivery obligations. "Councils are compelled by the ministry to meet service delivery standards, but when the treasury delays payments, local authorities cannot meet their debts. This requires a national policy dialogue to bridge the existing gap," Tabe said.

The council's warnings highlight growing concerns over the financial sustainability of local authorities amid escalating government arrears, with implications for infrastructure maintenance and public service provision.