By Richard Mantu

Cabinet has endorsed a Municipal Revenue Enhancement Programme (MREP), which details measures to reduce the municipal arrears of both households and businesses.

Cabinet announced this today at its mid-year lekgotla, which started yesterday afternoon and is expected to end tomorrow.

President Thabo Mbeki and relevant ministers are expected to brief the media next week on matters discussed at the lekgotla.

Cabinet said the programme would also detail measures to address causes of non-payment of municipal services by households and businesses.

"A programme has been developed, including a payment protocol, through which affected national and provincial government departments would settle their arrears and ensure regular payment of bills in future," a spokesperson for Cabinet said.

Cabinet also noted progress being made to strengthening the economic and financial viability of municipalities, which had been affected by the non-payment of municipal services.

Earlier this year, Provincial and Local Government Minister Sydney Mufamadi released figures that indicated an increase in consumer debt figure at municipalities - about R25-billion.
- BuaNews

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