Free State’s financially troubled Kopanong Municipality has signed a new service level agreement with its water board.
The municipality recently made news over the non-payment of its service providers, including Bloem Water, the non-payment of employees’ contributions to third parties, as well as poor service delivery to its residents.
OFM News earlier this month reported on how the cash-strapped municipality almost had its vehicles auctioned off due to unsettled debt to the municipal workers’ pension fund. The auctioning process was, however, put on hold after it was revealed that the executor of the auction did not follow due process. The municipality, serving the communities of Reddersburg and Trompsburg, amongst others, is one of the Free State municipalities listed in the Auditor-General report as needing urgent intervention.
In 2020, Bloem Water revealed that Kopanong owed them over R300 million. The water Board’s Kido Thoabala now confirms a new Service Level Agreement (SLA) between the two parties has been signed and that the entities agreed on terms of operations, maintenance as well as clear payment obligations that should be adhered to by all.
She, in a statement, adds that “Bloem Water will continue to provide bulk water services to Kopanong Local Municipality for the period of five years effective from the day of signing the agreement” and that both entities commit to forging closer working ties to promote delivery of water services to residents.