Polokwane - Government departments owe Limpopo municipalities a whopping R324 million.
This was revealed by Co-operative Governance MEC Makoma Makhurupetje in a municipal performance report published in the Government Gazette on Tuesday.
The report presents a consolidated account and comparative analysis of the state of provincial municipalities from 2010 to 2013, she said.
However, the report provides no further details of the debt.
Makhurupetje said her department had established a provincial debt forum that comprises officials from municipalities as well as provincial and national government departments.
Department spokesman Motupa Selomo said defaulters included provincial and national government departments operating in the province.
He said the debt related to trading services such as property rates, electricity, water, waste management and refuse removal.
Selomo said the majority of departments disputed the amount they owe.
“The main aim of the (debt) forum is to deal with those disputes,” he said.
The amount owed to Limpopo municipalities forms part of the multibillion-rand debt owed to the rest of municipalities countrywide. In July, the National Council of Provinces’ select committee on finance heard that the aggregate municipal consumer debt stood at R93.4 billion as of March 31.
Of the total amount, the government’s share of the debt was R4.1bn and the remainder was owed by households, business and other debtors.
These figures were presented to the select committee by a team of senior officials from the national Co-operative Governance Department.
The committee was told that if settled, outstanding debt could make material changes in some municipalities.
In August, Makhurupetje said Limpopo municipalities returned to the National Treasury nearly R1bn of municipal infrastructure grants for the financial year that ended in June 2013.
The Star