The City of Tshwane has defended its confrontational revenue collection initiative, "Tshwane Ya Tima", which involves pursuing defaulting clients and disconnecting their electricity supply due to outstanding bills.

Deputy Mayor Eugene Modise, who also serves as Finance MMC, said clients receive notifications through multiple communication channels before any decision is made to disconnect their electricity supply.

He said the city follows a thorough notification process before disconnecting a client from the grid.

For example, he said, city officials make phone calls and send emails, WhatsApp messages, SMSes, and a Section 129 notice as a formal demand for clients to make payments.

"Only after these attempts at communication have been met with no response will the city take action to disconnect the supply. We don’t wake up one morning and say we are going to switch off this company," Modise said.

He explained that before sending out municipal officials to address outstanding municipal bills, they first verify the payment status of clients through the system.

He shed light on the inner workings of the Tshwane Ya Tima campaign amid disputes with some government departments.

Last month, the Department of Social Development (DSD) claimed it was wrongly targeted for a R2.1 million debt, saying the bill should have gone to their landlord instead.

On the other hand, the Department of Agriculture, Land Reform and Rural Development (DALRRD) denied owing R1.2m in unpaid municipal bills.

At the time, the Human Sciences Research Council (HSRC), the DSD landlord, acknowledged the debt, explaining that according to their arrangement, the DSD is responsible for covering 54% of the electricity bill.

Modise said it was up to the DSD to negotiate with their landlord to resolve the issue.

He cited that the National Department of Health was recently in the same predicament.

"We went there and upon arrival, they told us that they paid the landlord. We told them that we wanted the payment in the city’s account. They were diligent in the process and said 'We are not going to make squabbles with you. We will talk with the landlord separately'. They paid us immediately before we could leave."

He said the DALRRD paid their outstanding debt after they were shown proof of their outstanding bills.

Denel, a South African state-owned defence and technology company, initially disputed a R13m municipal bill but eventually paid up after receiving proof of the debt, according to Modise.

Theo Nkonki, spokesperson for Gauteng MEC for Infrastructure Development and Cooperative Governance and Traditional Affairs, Jacob Mamabolo, said municipalities have established guidelines and legal frameworks for recovering unpaid accounts, which are governed by several legislations.

For example, he said, the Municipal Systems Act (No. 32 of 2000) Section 96 mandates municipalities to collect all revenue due, and adopt a credit control and debt collection policy.

The policy, outlined in Section 97, includes procedures for disconnection of services, debt repayment agreements, and debt collection protocols.

Nkonki said the Municipal Finance Management Act (No. 56 of 2003) (MFMA) mandates municipalities to implement robust revenue collection strategies, which include enforcing debt recovery measures.

He added that the Intergovernmental Relations Framework Act (No. 13 of 2005) enables municipalities to coordinate with provincial and national governments to recover debts owed by government departments.

Nkonki said the guidelines support the city’s approach of cutting off services to compel payments.

He explained that unpaid municipal accounts severely impact a municipality's ability to provide essential services and limit its capacity to maintain and deliver vital services such as electricity, water, sanitation, and refuse collection.

"It is important to note that the City of Tshwane has the authority to disconnect services for non-payment, but such actions must adhere to legal and procedural safeguards," he said.

rapula.moatshe@inl.co.za

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Tshwane defends aggressive revenue collection strategy amid disputes