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Nqobile Tshili, [email protected]

THE Bulawayo City Council (BCC) says the establishment of a corporate water utility company is critical in unlocking and ring-fencing the necessary funding to finance the upgrading of obsolete water and sewerage infrastructure, which requires between US$600 million and US$1 billion.

This emerged yesterday as the council conducted a consultation meeting with the city’s stakeholders on its plans to establish the new utility company.

The move comes at a time when the city is experiencing recurring pipe bursts, resulting in the loss of up to 50 per cent of non-revenue water amid acute shortages due to low levels at the city’s supply dams.

The council has over 2,000km of water infrastructure, much of which is old and urgently needs replacement to curb leakages. The consultations come as the Government has hinted that local authorities should privatise water provision.

The Deputy Director of the Water and Sanitation Department, Engineer Kwanele Sibanda, outlined to residents how the council intends to establish the water utility company.

She said the agency would be wholly owned by the council and run as a private unit within the local authority, answerable to a board. Eng Sibanda also explained to residents the asset structure and management of the water utility company.

While the presentation provided clarity on the structure of the water utility, some residents questioned what had failed under the existing system that would be resolved by a privately run entity.

Bulawayo Town Clerk, Mr Christopher Dube, responding to questions from residents, said that ring-fencing water finances would improve the council’s ability to supply water efficiently. He noted that the council was struggling to attract investors under the prevailing conditions.

Mr Christopher Dube

“Our infrastructure has collapsed, and the collapse was a result of a lack of maintenance. These pipes were installed more than 50 years ago, and over the years, there has been no maintenance.

“Even if you bring in external experts, there is nothing they can do because what is needed is financing. With a water utility company, we hope to be more attractive to investors. At the moment, potential investors say we are unattractive and that there is too much red tape,” said Mr Dube.

“Our employees are dedicated, but there is nothing they can do without resources. The water utility will bring efficiency, enabling us to raise the money we need to fix the collapsed infrastructure.

“We need between US$600 million and US$1 billion, and we may not be able to secure that funding unless we seek external investors. Investors want to invest in the Government; they do not want to invest in the council.”

He said the proposed establishment of a water utility company was the result of wider engagement to address water shortages.

Mr Dube also acknowledged that creating a water utility company could cause anxiety, particularly among poorer citizens who may fear that access to water will become a privilege for the wealthy.

“What we are trying to do is not unique; we are trying to create a more efficient system. We know there are residents who cannot afford to pay bills, and as a council, we are working on a pro-poor policy,” he said.

“This policy will cater for residents who are unable to pay bills. However, those who are able to pay should do so. Right now, the budget we have submitted to the Government is US$309 million. Even if we allocated the entire amount to  water, it would still be inadequate,” said Mr Dube.

Mr Dube dismissed claims that the Dutch water company Vitens Evides International (VEI) was taking over Bulawayo’s water resources, clarifying that the company had provided financial resources and expertise to the local authority free of charge.

Deputy Mayor, Councillor Edwin Ndlovu, added that residents should trust their elected representatives and management in their plans to improve water services.

“This company (VEI) has been assisting the City of Bulawayo, but they have highlighted the limitations of what they can do. It is not just them—other organisations that want to help us have also stated that unless we establish a water utility company that separates  accounts, they will not provide resources,” he said.

“They are not the ones setting up the water utility company. This will enable the council staff to provide efficient services to residents,” said Cllr Ndlovu.

Although the engagement was heated, Bulawayo United Residents’ Association chairman, Mr Winos Dube, sought to calm tensions, calling for extensive engagement in policy formulation.

Winos Dube

He said the council needed to address issues of mistrust, particularly when introducing new projects, as residents had previously been let down during implementation.

“When ZESA took over the power station, we were promised a reliable power supply, yet today we still experience outages. When Terracotta came, we were promised that Egodini would be transformed into something akin to South Africa’s Park Station, but to date, nothing has changed,” he said.

“It is our concern that the way consultations are conducted does not inspire confidence,” said Mr Dube.

He noted that when the Zimbabwe Electricity Transmission and Distribution Company introduced prepaid electricity meters, there was widespread resistance. However, the system has since been fully embraced due to its efficiency.

Mr  Dube said the council had previously attempted to introduce prepaid water meters, but the initiative was met with resistance—not because it was a bad idea, but due to a lack of understanding of how it would work.

“In hindsight, if the council says it will introduce prepaid water meters, I will be the first to volunteer for a pilot project at my home,” said Mr Dube.–@nqotshili