via Zinwa owed $140mln, near bankruptcy | The Source April 28, 2014
The Zimbabwe National Water Authority is bankrupt after major debtors, including the government and farmers, defaulted on nearly $140 million, leaving the parastatal struggling to pay salaries since December, an official has said.
“We are now also failing to acquire chemicals to cater for water treatment and that is why in some towns like Beitbridge we have introduced water rationing,” Zinwa spokesperson Marjorie Munyonga told The Source at the weekend.
Government owes Zinwa more than $100 million while Green Fuel owes more than $7 million incurred at its Chisumbanje ethanol project.
Munyonga said Green Fuel had failed to honour several payments plans, and Zinwa had cut water supplies to the company on March 11.
Among the debtors, farmers owed more than $20 million while Beitbridge and Gwanda town council had debts of $6.7 million and $4.9 million.
“There is no money for operations. We are also failing to pay for medical aid and the company is having problems meeting its tax obligations to Zimra,” she said.