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Patrick Chitumba, Midlands Bureau Chief

GWERU City Council plans to start pegging its rates on the prevailing bank rate so that it is able to continue providing services, Mayor Councillor Josiah Makombe has said.

In an interview, Clr Makombe said council is charging water for about 80cents per kilolitre, an amount he said was even less than a 500ml bottle of mineral water which goes for around $1,50.

 He said it was inevitable that water, refuse, and sewage charges which are known as service charges will soon be charged using the prevailing bank rate.

“We are saying for us to remain afloat, for us to continue providing service delivery to our residents, there is urgent need for the local authority to start charging service charges and rates using the prevailing bank rate. Right now for example we are charging around 80c per kilolitre, an amount that is far less than a 500ml bottle of water that is being sold for about $1,50. So we can’t stop the inevitable,” said Clr Makombe.

He said they were going to roll out consultative meetings with stakeholders such as residents and companies to find common ground so that council is able to provide service delivery.

“We buy water treatment chemicals, the water pipes and we pay for electricity and you find that suppliers use the prevailing bank rate and that is why we as council need to start charging using the prevailing bank rate. Otherwise we will fail to deliver service,” said Clr Makombe.

He said they have suspended the rehabilitation of roads in Mkoba 12 and Mkoba 17 due to lack of funds.

The mayor said council received RTGS$3, 8 million from Zinara which the contractor has said has been eroded by inflation.

“The money we received from Zinara has been eroded by inflation. In the meantime roads rehabilitation in Mkoba 12 and 17 has since been stopped after the contractor moved from the site,” said Clr Makombe.