The City has noticed an increase in the number of prepaid customers – both business and residential, who are not paying for other services such as refuse, sewer and property rates. These are customers who have either converted to prepaid electricity and or prepaid water meters. 

 

The City provides five services to customers, namely, electricity, water, sewer, refuse collection and property rates which are charged to property owners monthly. 

 

City’s Spokesperson for Group Finance Department, Kgamanyane Maphologela, says the City will soon invoke its Credit Control and Debt Collection Policy to recover the debt owed. 

 

“The amended Credit Control and Debt Collection Policy, empowers our Credit Control unit to recuperate the outstanding debt from other services from prepaid customers,” says Maphologela. 

 

The amended Credit Control and Debt Collection Policy was approved by Council on the 31 August 2022. Under the new amendments, “the City reserves the right to offset a percentage portion of any arrear debt against the purchases of prepaid units.” 

 

“If a customer on prepaid electricity, purchases the electricity units worth R1800, and have an outstanding debt on other services, then the city will deduct a percentage portion of the debt from prepaid units,” says Maphologela. 

 Maphologela further warns that, the new Credit Control and Debt Collection Policy makes it illegal for customers to illegally connect to the electricity grid and water supply. 

 

“The illegal connection and/or tampering with water or electricity supply is a criminal offence, which may result in legal action been taken against the offending customers,” reads the policy. 

 

Maphologela says customers who are struggling to pay their bill, should approach the City to sign the Acknowledgement of Debt in order to workout a payment arrangement.