Renthia Kaimbi
Urban and Rural Development minister James Sankwasa has labelled the Henties Bay municipality’s acting chief executive officer (CEO), Ignasia Neis the “poorest of poor performers” and warned the council to act before he is forced to intervene.
The minister’s remarks come in light of a deepening governance crisis in the coastal town, where residents have been left unable to purchase prepaid water after the service provider suspended the vending system in June over an alleged contractual dispute.
Sankwasa, who has been locked in a tense standoff with the municipality over its administration, said Neis had overstayed her welcome and that he had formally objected to her appointment as substantive CEO, despite her being the recommended candidate following a recruitment process.
“The acting CEO is the poorest of poor performers. The municipal council must act before I take action because I cannot allow for a poor performing CEO to throw the community under the bus,” Sankwasa told the Windhoek Observer.
The minister’s frustrations centre on the stalled implementation of an approximately N$27 million prepaid water meter project awarded to ITEM Engineering, a company owned by Cenored CEO Fessor Mbango.
According to Sankwasa, the contract was awarded before he took office in 2024, but Neis allegedly wrote to the ministry to have the installation suspended, citing unaffordability.
Sankwasa said a consultation meeting, held on the advice of the Attorney General and after ITEM Engineering had threatened legal action, resolved to execute the contract.
The municipality indicated it could afford N$11 million, with the ministry agreeing to supplement the outstanding N$15 million.
“ITEM Engineering was suing and when parties sue, the minister is listed as the first respondent. The acting CEO agreed to process the payment but never did,” Sankwasa charged.
The minister expressed disbelief at Neis’s stated priorities, recounting a conversation in which she allegedly told the ministry that prepaid water was not the municipality’s priority.
“The CEO told the ministry that their priority is not prepaid water, but instead the sewer system. A person who answers like that cannot be normal because water is life,” Sankwasa stressed.
The crisis has prompted residents to submit a formal petition to Sankwasa, detailing a catalogue of governance failures, financial mismanagement and lack of transparency at the municipality.
The petition, signed by dozens of property owners and residents and seen by the Windhoek Observer, notes that the suspension of the prepaid water vending system by ITEM Engineering has left the community in an “untenable position” and unable to purchase water vouchers, threatening access to an essential public service.
Beyond the immediate water crisis, the petitioners are calling for an independent investigation into the municipality’s governance, financial administration, procurement processes and administrative practices.
Matters flagged for examination include expenditure on staff development programmes, travel and subsistence allowances, official delegations including a trip to the Lüderitz Waterfront, and delays in the Build Together Housing Project in Extension 7.
Residents also expressed deep concern over substantial public expenditure on legal proceedings, disciplinary processes and investigations involving municipal officials.
These include legal representation for Advocate Werner Boesak in matters involving Redforce, Advocate Ileni Gebardt in proceedings involving the former CEO, and disciplinary proceedings chaired by Advocate Silas Kishi Shakuma.
Investigations conducted by Ramakulta Attorneys and Libius Nawa relating to the former CEO and Redforce matters were also highlighted.
The petitioners requested that the necessity, scope, procurement and value for money of these expenditures be independently reviewed.
Residents further demanded clarification on the implementation of the prepaid water metering system, questioning whether all statutory procurement requirements were complied with, whether council resolutions were properly adopted, and whether adequate public consultation took place.
The petition noted that residents were restricted to only two physical vendors without provision for electronic or online purchases, and questioned the management and accounting of revenue generated through prepaid water sales.
“We further note that the Municipal Budget reflects projected annual water revenue of approximately N$25 million, yet residents have not been provided with sufficient information regarding obligations owed to NamWater or the projected impact of these obligations on municipal finances,” the petition reads.
Given national concern regarding municipal indebtedness to NamWater, including reports that Henties Bay’s outstanding balance has increased significantly, residents believe these matters require urgent independent scrutiny.
Henties Bay mayor Johannes Titus acknowledged he was aware of the petition and told the Windhoek Observer that while the first payment to ITEM Engineering was made, the municipality could not afford to settle the outstanding amount.
He argued that a new agreement signed in September 2025 resolved that the ministry would settle the outstanding amount during the 2026/2027 financial year.
“Before suspending the vending system, they (ITEM Engineering) demanded what was not due. It is the ministry that is supposed to pay what is outstanding and not the municipality,” said Titus.
However, both Sankwasa and executive director Wilhelmine Shivute refuted the council’s claims.
“How do you sign a new contract with a service provider without the involvement of the ministry? The ministry is not a party to this contract. It honoured its part by making the first payment to the service provider. It would have been a different case if the ministry had not made this payment,” Sankwasa stated.
Shivute echoed the minister’s statement, saying the due amount was to be paid by the municipality.
“Prepaid water will be bought upfront from NamWater, with arrangements to be made to pay outstanding debt. We (the ministry) also don’t have the money to pay the outstanding debt to ITEM Engineering, and if the acting CEO is saying prepaid water is not a priority, why should we pay the money?” Shivute questioned.
Sankwasa confirmed that the position of substantive CEO had been advertised and interviews completed, with Neis emerging as the recommended candidate.
However, he said he objected to her appointment based on her performance during her acting tenure.
“The position was advertised, interviews were completed but she is a poor performer. I objected to her appointment. The municipal council must resolve the problem before I take action,” he warned.
Titus confirmed that the interview process was concluded in February and March this year, but said the appointment of a substantive CEO is still pending.
“We advertised the position and interviews were done. Unfortunately, I cannot give you more information,” he said.
Efforts to reach Mbango for comment before publication were unsuccessful. However, the ministry argued that only a service provider expecting payment by a certain date would take action to stop rendering services.
The residents’ petition, which concludes with a “prayer for relief”, requests the minister to intervene immediately to resolve the prepaid water crisis, appoint an independent team to conduct a comprehensive forensic investigation into the municipality’s affairs, review financial management and procurement practices, and grant residents an opportunity to meet with him without the participation of the acting CEO or council members.
“We remain proud of our town and believe that, through decisive leadership and independent oversight, public confidence in the Municipality can be restored,” the petition states.
