The Umngeni-Uthukela Water (UUW) Board, the bulk supplier of water in most parts of KwaZulu-Natal, claims that the King Cetshwayo District Municipality owes R1.1 Billion in unpaid water fees.
The water board claims that the last time the Inkatha Freedom Party (IFP) led district municipality made a payment was in January 2023.
The King Cetshwayo District Municipality (KCDM) is anchored in Richards Bay in KwaZulu-Natal. It is made up of the City of Umhlathuze, Mthonjaneni, Umfolozi, Nkandla and Umlalazi municipalities.
It supplies water and sanitation services to all local municipalities except the City of Umhlathuze.
On Thursday, 13 March, the district municipality announced that it had decided to terminate its contract with Umngeni-Uthukela, saying its decision to restrict water supply was pitting it against its water starved residents and likely to ferment unrest.
In a statement, King Cetshwayo did not mention that there is an ongoing dispute between it and the water. African Times later learnt that the district municipality is at loggerheads with the board over the amount the water board charges per kilolitre.
A letter dated 11 March 2025, written by Sandile Mkhize, the CEO of Umngeni-Uthukela and addressed to Philani Sibiya, the Municipal Manager of King Cetshwayo District Municipality spells out the debt of R1.1 billion.
Mkhize said the water board continued to supply KCDM with water hoping that a resolution would be
found regarding their dispute.
“In September 2024 UUW met with the Acting Mayor and KCDM officials whereafter the Acting Mayor reported that at a Council meeting a resolution was passed on withdrawing the intention to terminate the bulk water services agreement,” reads part of Mkhize’s letter.
“As of the date of this communication, UUW has not received the aforesaid withdrawal and as such we have reviewed the status of the impasse. Whilst a mediation process was instituted by COGTA and DWS in September 2024 with a determination due at the end of November 2024, nothing has been determined as at resolution of the impasse”
Mkhize added: “The last payment received for the bulk water services was in January 2023. As a result of the non-payment by King Cetshwayo District Municipality, the gross overdue balance has accumulated to R 1.17 Billion (Excluding estimated amounts due to you of R457 Million).”
UMngeni-uThukela water board confirmed that the arbitration process began a while back.
“Even the then Minister of Water and Sanitation, Mr Senzo Mchunu convened a meeting between uMngeni-uThukela Water and the King Cetshwayo District Municipality in an attempt to settle the impasse but the debt was still not paid. Instead, the King Cetshwayo District Municipality said it would terminate the bulk water contract.”
The water board also said a total of R600 million is owed to uMngeni-uThukela Water by the King Cetshwayo District Municipality for bulk water sales once the R457 million refund is paid back to the latter.
The district municipality said it considered itself having paid over to uMngeni-Uthukela Water (UUW) all outstanding payments as at 13 March 2025 in accordance with its contractual obligations and the dispute at hand. It added that calculations to this effect have been shared with UUW and the mediators, the Department of Water and Sanitation, as well as all relevant stakeholders in government.
“It is important to clarify that the disputed debt being publicly announced by UUW of R600
million, includes R210 million in interest charges. The actual disputed capital amount is
R400 million, which is currently being addressed through mediation in accordance with
intergovernmental relations processes,” KCDM said.
