The municipality reported that their major outstanding creditor was the water account owed to Tshwane water. The outstanding account, as at 31 July 2011, was R91.5 million. It was reported that several engagements took place and resolutions were taken including, amongst others, the following: a contribution of R15 million by Bojanala District Municipality, the Department of Water Affairs to settle R17 million which was in arrears and accumulated on the account as from the 2006 calendar year. It was agreed that the City of Tshwane should waive all arrears and penalties accumulated by the initial service level agreement between the City of Tshwane and the Moretele Local Municipality.