Industry owes Gweru $16m

Industries around the city owe the local council $16 million in unpaid rates dating back to 2009, a development that is crippling service delivery, Director of Finance, Edgar Mwedzi has revealed.

The revelations come at a time when the local authority is also saddled with debts amounting to over $10 million. Mwedzi told The Zimbabwean they are struggling to recover the money because of the on-going de-industrialisation in the city.

“The economic environment has not changed much from what it was last year.

The companies that were closed remain shut. Some have even gone into liquidation,” he said.

Some of the companies battling for survival in the city include Zimglass, Tyre Treads and the country’s sole shoe manufacturing firm, Bata. Iron products producing company Zimcast has totally shut down.

Mwedzi said the situation was also negatively impacting ordinary residents’ ability to pay their dues to council.

“Not only have companies closed down but there is a high rate of unemployment resulting in them failing to pay their charges and rates,” he said.

Despite the set back, Mwedzi believes the situation can change for the better. “With the little money coming in we hope to improve on service delivery. At present we are striving to install more streetlights and provide clean water to all parts of Gweru,” he said.

The council is also working on system rehabilitation at the Pakamisa sewer treatment works, Mkoba sewerage plant, Southdowns and Ridgemont pump stations.

The exercise is meant to avoid sewer seeping into Gweru River, a trend which has seen the city fathers clashing with the Environment Management Agency.

Post published in: News

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