uMngeni-uThukela Water said the King Cetshwayo District Municipality has served it with an intention to terminate the bulk water supply agreement.
The Water Board currently supplies about 46 mega litres (46 million litres) of water daily to the King Cetshwayo District.
But due to debt of R600-million, owed by the Municipality for water, the Water Board is now planning to cut daily supply to 36 mega litres from the 12 March 2025.
UMngeni-uThukela said it has explored various avenues to get to this stage, including tactics for the Municipality to cough up, since its last payment back in January 2023.
This has placed the Municipality in breach of Section 32 of the Bulk Water Supply Agreement.
Various interventions have failed, including roping in the Department of Water and Sanitation, to play referee.