Water security at risk as NamWater debt balloons to N$2.8 billion
NamWater has issued a stark warning regarding the country’s future water supply security, as outstanding arrears hit a staggering N$2.8 billion by November.
The figure marks a sharp increase of 15.89% in just nine months, up from the N$2.4 billion debt recorded in February.
The company cautioned that the mounting financial burden directly threatens its ability to maintain infrastructure and ensure sustainable bulk water supplies across Namibia.
NamWater has urged all customers, including local authorities, private customers and government institutions, to settle their accounts immediately or enter into structured payment plans.
“Continued non-payment poses a direct threat to national water security,” the corporation warned in a statement, adding that it may be forced to implement stricter debt recovery measures to safeguard the country’s supply.
Biggest culprits
NamWater said town councils account for the largest share of the debt, owing more than N$926.9 million.
The councils also saw arrears climb by N$150.8 million since February.
Other major debt categories include rural water communities, which owe N$783 million, and private consumers, who owe N$342.5 million. Municipalities account for N$253.6 million, village councils N$169.8 million and mines N$166 million.
The mining sector saw the sharpest rise in arrears, with its debt soaring 53% since February, the statement showed.
Conversely, ministries and regional councils were the only sectors to show improvement, reducing their debt by 19.1% and 3.9%, respectively.
Service provision undermined
NamWater stressed that, as a public utility, it relies almost entirely on water sales to fund its operations. The corporation has not increased tariffs in five years, meaning rising operational costs and unpaid bills are now placing severe strain on its budget.
NamWater added that "persistent non-payments" are hampering its ability to maintain ageing infrastructure and extend water access to remote and underserved rural communities.
"Water security is a shared responsibility. Timely payment today ensures sustainable, reliable water services for tomorrow,” the water utility stated.
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The figure marks a sharp increase of 15.89% in just nine months, up from the N$2.4 billion debt recorded in February.
The company cautioned that the mounting financial burden directly threatens its ability to maintain infrastructure and ensure sustainable bulk water supplies across Namibia.
NamWater has urged all customers, including local authorities, private customers and government institutions, to settle their accounts immediately or enter into structured payment plans.
“Continued non-payment poses a direct threat to national water security,” the corporation warned in a statement, adding that it may be forced to implement stricter debt recovery measures to safeguard the country’s supply.
Biggest culprits
NamWater said town councils account for the largest share of the debt, owing more than N$926.9 million.
The councils also saw arrears climb by N$150.8 million since February.
Other major debt categories include rural water communities, which owe N$783 million, and private consumers, who owe N$342.5 million. Municipalities account for N$253.6 million, village councils N$169.8 million and mines N$166 million.
The mining sector saw the sharpest rise in arrears, with its debt soaring 53% since February, the statement showed.
Conversely, ministries and regional councils were the only sectors to show improvement, reducing their debt by 19.1% and 3.9%, respectively.
Service provision undermined
NamWater stressed that, as a public utility, it relies almost entirely on water sales to fund its operations. The corporation has not increased tariffs in five years, meaning rising operational costs and unpaid bills are now placing severe strain on its budget.
NamWater added that "persistent non-payments" are hampering its ability to maintain ageing infrastructure and extend water access to remote and underserved rural communities.
"Water security is a shared responsibility. Timely payment today ensures sustainable, reliable water services for tomorrow,” the water utility stated.
[email protected]
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