Minister Orders Harare Mayor To Settle $78 Million Debt To 'Kuda Tagwirei's Company' Chemplex {Full Text}

3 years agoSun, 23 Feb 2020 16:30:13 GMT
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Minister Orders Harare Mayor To Settle $78 Million Debt To 'Kuda Tagwirei's Company' Chemplex {Full Text}

21 January 2020.

The Mayor of the
City of Harare


Reference is made to my minute X13/13 dated 26 September 2019.

I am gravely concerned that, despite requesting you to improve the management of the Water Account so that Harare City would not fall behind with the payment for water treatment chemicals, your Council has accumulated a debt of $78 Million with Chemplex Corporation, which is your prime chemical supplier.

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I am further concerned that your officials are asking to be permitted to purchase chemicals from other suppliers instead of simply paying the Chemplex account.

As stated previously, the non-payment of a debt to Chemplex Corporation has an impact on all other water authorities in Zimbabwe who purchase their chemicals from Chemplex. Of interest is that most of your sister Councils are purchasing their chemicals on a cash basis.

In light of this, I hereby order you, in terms of Section 316 of the Urban Councils Act, to immediately negotiate a payment plan with Chemplex that will cover the clearing of arrears and allow for the continued supply of the current chemical needs.

You are to submit details of the payment plan to me before the end of this week and thereafter I will require a weekly update on the progress made to adhere to the payment plan.

Hon J.G. Moyo (MP)
Minister of Local Government and Public Works



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