R81bn owed to municipalities

Unemployment and retrenchments were a problem; some people could not pay for services, because they did not have enough money.

At least R81 billion is owed to municipalities for services, the SA Local Government Association (Salga) said on Tuesday.

"It moves [changes] every year and the interest factor affects it," Salga CEO Xolile George told reporters in Midrand.

"It is growing exponentially and measures are being put in place."

He said there were disputes relating to money owed and some were complicated. In some disputes there had been resolutions.

"When there is no dispute, the money must be paid," said George.

Unemployment and retrenchments were a problem; some people could not pay for services, because they did not have enough money.

"It is huge, and it is a concern," said George.

Salga is an autonomous association of municipalities.