Nelson Mandela Bay Municipality says it will write off about R500,000 unpaid rates and services bills as a measure to tackle and alleviate poverty‚ unemployment and low standard of living among residents.
This decision is not the first of its kind in the municipality; having written off almost R600-million in debt in 2015.
Shedding more light on the report; the municipality said the write-off will cover three months service bills debts. The months including May, June and July.
Of a truth, this laudable decision will go a long way in helping most poor people in the Nelson Mandela Bay Municipality- especially, residents who cannot afford to pay to their sanitation; water electricity bills. Other people who would benefit from this kind gesture include non-governmental organisations; and residents who requested for debt relief.
About R413-million debt of the R500 million rand to be written off is credited to the bay’s new policy on poverty; which was effected last months. The R413 is a lump-sum write-off for financial 2016/2017, which the municipality concludes residents won’t be able to clear.
The beneficiaries of the programme are said to be about 23 173 in number, living in homes worth R100 000 or less.
More Cost-Cutting Measure In Nelson Mandela Bay Municipality
Earlier this month, Nelson Mandela Bay Mayor Athol Trollip prohibited of all business and first class domestic air travel for city officials; and public representatives in the metro; as a cost-cutting measure.
The DA mayor stressed that the decision was taken in order to save R100m in its first 100 days in office; which would be channelled towards improving service delivery and creating jobs.
He added that officials travelling for the purposes of city business would now use the economy class; because “under previous administrations; an excessive amount of money was spent on luxurious travel instead of on service delivery.”
Trollip became NMB mayor after the DA made an impressive and historic landmark at the August 3 municipal election. The opposition party toppled the traditional ANC base following the ruling party’s freefall.