City to borrow $3m for water chemicals

waterMunicipal Reporter
Harare City Council is set to borrow US$3 million from a local bank to finance water production activities following a decline in the city’s water revenue flows. Harare Water director Engineer Christopher Zvobgo told the Finance and Development Committee that the city’s water revenues had declined while debts ballooned. “However, demand for water continued to increase due to more properties being connected to water supply systems.

“Challenges were now being encountered as suppliers of water treatment chemicals were now demanding upfront payment before delivery of the supplies.

“The director also brought to the attention of the committee that usually the lowest revenue inflows were experienced in the months of December hence the request of the overdraft facility,” read part of the minutes.

Eng Zvobgo recommended the city to borrow US$3 million from BancABC to finance water production activities within the next two months.

The committee noted a decline in Harare Water revenues in 2013 and 2014 when compared 2012.

It resolved that subject to the provisions of Section 291 of the Urban Councils Act (Chapter 29:15, the director of Harare Water be authorised to borrow US$3 million for the water production and supply activities.

Water purification gobbles up to US$3 million monthly, an amount council says is unsustainable and has forced Harare to shelve other developmental projects.

Analysts say the city should be moving to create new and cleaner water sources if it is to reduce its purification bill and the overall cost of water production.

Scholars and researchers have in the past attributed the water quality and quantity problems faced by Harare to rapid population growth, inadequate maintenance of the water and waste water infrastructure treatment, use of expensive technologies, a poor institutional framework, and rampant illegal urban agricultural practices which result in the washing off and leaching of nutrients and siltation of lakes.

The city says it will reduce its water purification bill by 50 percent through use of an alternative chemical and after completion of the ongoing rehabilitation of sewage treatment plants.

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