Tshwane enforces aggressive credit control

The financially-strapped Tshwane metro has implemented an aggressive credit control plan in its quest to recoup the billions of rands defaulting customers owe it.

Customers whose accounts are in arrears have lost the ability to top-up their electricity prepaid account with effect from Thursday, December 14.

Currently, Tshwane owes Eskom close to R4-billion to for power supplied.

Metro spokesperson Selby Bokaba said this aggressive approach effectively means that, if a customer whose account is in arrears attempts to purchase electricity, they will not get the units, instead, all that money will be channelled towards the outstanding debt.

“Previously, the city used to take 60% of the money for the purchase of electricity, but it became clear that this lenient approach did not jolt customers to keep their accounts up to date,” Bokaba said.

Section 4.6 of the city’s credit control policy allows for 60% or 100% blocking of the prepaid meter until the outstanding arrear amount has been settled.

He said most residents who owe the municipality failed to settle their bills because they are still able to top-up their prepaid electricity account.

With the stricter credit control enforcement, customers have to either pay their outstanding bill in full or make a payment arrangement before the city can unblock their prepaid meter.

Bokaba said to unblock a meter, the customer must pay at least 30% of the outstanding amount.

“There are some customers that have declared a dispute on their accounts, however, this does not put the payment of the bill in abeyance while awaiting the resolution of the dispute,” he said.

TSHWANE ENFORCES CREDIT CONTROL MEASURES TO RECOUP MONIES OWED BY DEFAULTING CUSTOMERS pic.twitter.com/66ziaAYXBN

— City of Tshwane (@CityTshwane) December 15, 2023

Bokaba said it is the responsibility of the customer to pay for the services consumed.

“The city has discovered that some of its customers would deliberately declare a dispute to avoid or delay payment of their account. This abuse of process has now been nipped in the bud with the 100% blocking of the prepaid meter.”

The following customer service centres will remain open on Saturdays from 08:00 to 17:00 until December 23:

– Middestad
– Centurion

“Working teams will resume on December 27 until December 30. Unblocking the meter ordinarily takes about 30 minutes upon receipt of proof of payment, which should be sent to this dedicated email address: outreach20@tshwane.gov.za,” said Bokaba.

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