Lahja Nashuuta
Auleria Wakudumo
Private individuals, State-owned enterprises, government institutions and local authorities have been asked to honour their financial commitments to the Namibia Water Corporation.
NamWater is owed a cumulative N$2.4 billion, of which N$889 million is from accounts owed by local authorities. The entity is not considering writing off any debt.
Speaking to this publication recently, NamWater spokesperson Lot Ndamanomhata provided a breakdown of their debtors.
“It is crucial for local authorities to recognise the gravity of this situation and take decisive action to fulfil their obligations, ensuring uninterrupted access to water for all residents,” he said. He acknowledged the continued rise in the cost of providing water, as the growing debt burden poses a significant risk to sustainable revenue-collection.
“NamWater is a bulk water supplier which relies on revenue from water sales to maintain operations, upgrade infrastructure, and expand access. When local authorities or other customers fail to settle their debts, it directly affects our ability to provide reliable services,” he added.
“When non-payment becomes unsustainable, as seen with outstanding debts exceeding N$2.4 billion, NamWater is forced to take measures to recover funds and ensure service continuity”, he stressed.
There are no plans to write off debts.
However, he emphasised that they are open to collaborating with local authorities to find practical solutions, such as structured repayment plans, government intervention, subsidies and enhanced revenue-collection mechanisms at the local authority level.
In a further statement issued yesterday, he reiterated the company’s difficult financial position.
Ndamanomhata revealed that debt for rural water communities stands at N$676 million.
Meanwhile, private consumers owe NamWater N$341 million, municipalities have an outstanding N$211 million and village councils owe N$146 million.
Ndamonomhata added that NamWater has not increased tariffs in four years, despite rising operational costs.
“Without debt recovery, investments in ageing infrastructure will be delayed, jeopardising reliable water supply,” he said.
Figures show that the Rundu Town Council owes N$333.9 million, while Rehoboth has debts of N$108.5 million.
The town council of Khorixas’ water bill is at N$71.7 million, while Otavi’s stands at N$70.7 million.
The Municipality of Keetmanshoop owes N$56.6 million, whereas Opuwo is in the red with N$47.5 million.
The Municipality of Gobabis is not an exception, owing N$45.3 million.
Karasburg, the Otjozondjupa Regional Council and the Okakarara Town Council owe N$35.7 million, N$35.2 million and N$34.1 million, respectively.
The list goes on, with the Omaheke Regional Council owing N$24.8 million.
“The goal is to ensure that water supply remains uninterrupted while maintaining financial sustainability. Additionally, residents have raised concerns that they pay their local authorities for water, yet these payments are not forwarded to NamWater,” he said.
Furthermore, to address illegal connections, water theft and towns struggling with debts, NamWater is implementing several strategies.
This includes working with law- enforcement, traditional authorities and regional and local authorities to prevent illegal connections and water theft.
“The goal is to ensure fair and sustainable water distribution, while safeguarding NamWater’s financial stability,” he said.
Consequences
Furthermore, delays in expanding water coverage due to unpaid bills while government relies on NamWater to provide water to 87% of the population has placed underserved communities at risk.
NamWater is a bulk water supplier that relies on revenue from water sales to maintain operations, upgrade infrastructure, and expand access.
Urgent call for debt settlement
To prevent potential service disruptions and ensure continued water provision, NamWater appealed to all debtors, including local authorities, government institutions, industries and private consumers to settle their outstanding accounts.
“As seen with outstanding debts exceeding N$2.4 billion, NamWater is forced to take measures to recover funds and ensure service continuity. The goal is to ensure that water supply remains uninterrupted while maintaining financial sustainability,” Ndamanomhata said.
Additionaly, residents have raised concerns that they pay their local authorities for water, yet these payments are not forwarded to NamWater.
However, NamWater admits that strengthening accountability in revenue management remains critical, especially at local authorities.