Otjiwarongo faces N$80m debt mountain

The Otjiwarongo Municipality recorded a sharp increase in outstanding rates and taxes from N$65 million in January to nearly N$80 million by the end of March.

In presentations at two separate meetings at the town on Tuesday, the municipality’s strategic executive for finance, Laudia Hamukwaya, said private residential properties owe the municipality N$58.3 million, while pensioners at Orwetoveni owe over N$11.3 million.

Local businesses are in arrears by approximately N$6.4 million, and various government ministries owe the council about N$3.7 million.

Hamukwaya said several measures, such as water disconnection and issuance of notices to those in arrears, have failed to yield the necessary results.

“Some of these accounts are as old as 20 years and keep on accumulating,” she said.

In attempts to recover funds, the municipality initiated a mass disconnection campaign on 31 January, which targeted residential homes, church buildings, government offices, and business properties that had failed to settle their rates and taxes for two consecutive months.

Hamukwaya said residents at the time owed the municipality more than N$65 million.

“The municipality is still calling on residents to make arrangements with the debt office to settle their bills,” she said.

The town currently manages 8 968 active accounts, comprising 1 760 holders in informal areas and 7 208 in the formalised sections. – Tampa

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