Enoch Mgijima Launches Debt Relief Programme for Residents and Businesses

KOMANI – Residents, businesses, pensioners and qualifying indigent households in the Enoch Mgijima Local Municipality are being offered an opportunity to reduce or clear long-standing municipal debt through a newly launched Debt Relief Programme.

The municipality says the initiative is aimed at helping customers regularise their municipal accounts while improving revenue collection and long-term financial sustainability.

According to information released by the municipality, the programme provides different forms of debt relief depending on the type of customer and the age of the debt.

Relief for Residential Customers

Residential customers who settle the most recent 12 months of municipal debt in full can qualify for a 50% write-off on capital debt older than 12 months, along with a 100% write-off of interest on that older debt.

The remaining 50% of the capital amount must be paid through an approved payment arrangement.

Customers whose debt is less than 12 months old may qualify for a 100% interest write-off, provided the outstanding principal amount is paid in full.

The municipality noted that meter connections must be regularised to qualify for the programme.

Assistance for Pensioners

Pensioners earning less than R10,000 per month may enter into payment arrangements and qualify for a 100% write-off on debt older than 12 months.

For newer debt, qualifying pensioners may receive a 100% interest write-off.

Indigent Households

The municipality says qualifying indigent residents may be eligible for a full debt write-off through indigent registration and conversion to prepaid metering systems.

Residents who believe they qualify are encouraged to contact municipal offices for assistance and registration requirements.

Business Debt Relief

Businesses are also included in the programme.

According to the municipality, businesses that settle three years of municipal debt in a single payment will qualify for a 100% write-off of older debt as well as a 100% interest write-off.

Businesses with debt that is less than three years old may qualify for a 100% interest write-off if the principal debt is paid in full.

Government departments that settle their municipal accounts in full may also qualify for a 100% interest write-off.

Provision for Deceased Estates

The programme further includes provisions for deceased estates.

The municipality says estates that settle debt incurred during the last 12 months in full may have debt older than two years written off, subject to the submission of the required documentation and approval by the municipality’s Credit Control Section.

Municipality Seeks to Improve Revenue Collection

The municipality says the Debt Relief Programme is intended to improve its revenue base and cash flow while assisting financially distressed households and businesses.

Officials say the initiative is also aimed at resolving long-outstanding accounts, encouraging a culture of payment and strengthening the municipality’s financial sustainability.

Residents and businesses wishing to participate in the programme are encouraged to visit their nearest municipal office within the Enoch Mgijima Local Municipality area to discuss eligibility requirements and available payment arrangements.

The municipality noted that all relief granted under the programme remains subject to the approved terms and conditions of council as well as the municipality’s Credit Control and Debt Collection Policy.