Trouble Looms for Houses in Harare as over 100,000 Illegal Homes Are Not Paying Rates

Harare Mayor Jacob Mafume has raised concerns over the city council’s chaotic billing system, which is resulting in significant revenue losses. The council has failed to collect rates from over 100,000 houses built illegally in the capital, with Mafume stating that these irregular settlements will soon outnumber the legal rate-paying houses. This issue is further complicated by the lack of a proper database, making it difficult for the council to track and bill households effectively.

The city council’s struggles with its billing system have been ongoing, despite government pressure to address the issue. In June 2024, Mafume highlighted the need for a functional Enterprise Resource Planning (ERP) system to improve revenue collection and service delivery. However, the council’s proposed US$2.8 million billing system tender was blocked by procurement regulators due to concerns over violating laws and exposing public funds to litigation.

The illegal settlements are not only causing financial losses but also posing social challenges. Mafume noted that these settlements are built on areas meant for amenities like schools, clinics, and open spaces, forcing children to travel long distances to access education and healthcare. The land invasion has been linked to politicians and land barons, who parcel out land without approval or regard for regulations.

The city council’s financial woes are deepening, with reports suggesting that over US$100 million has vanished from its coffers. A commission of inquiry has been established to investigate the council’s operations since 2017, uncovering allegations of corruption and misappropriation involving senior council management and councillors. Addressing the billing system and land invasion issues will be crucial in restoring transparency and accountability in Harare’s city council.

Source: New Zimbabwe