THROWBACK: Eskom says prepaid meters are the way to go but communities disagree
Prepaid electricity may solve Eskom’s cash flow problems.
Eskom interim chief executive Brian Molefe has proposed the installation of prepaid electricity meters for everyone in the country.
Prepaid metre boxes will mean that Eskom will collect funds directly from electricity users and not via municipalities.
Molefe was speaking at the parliament’s public enterprise committee members meeting on Wednesday.
He said this was his idea and has not been canvased with the government or Eskom at the moment.
Starting with owing municipalities will be a good idea according to Molefe because it will prevent them from using Eskom as their source of funding at the expense of the national grid.
Municipalities depend on electricity tariffs as one of their sources of income.
It has been noted that the overall municipal debt is R25 billion and Soweto alone is sitting at R8 billion.
Molefe said if Eskom can collect R20 billion through prepaid meters their current cash flow problems can be solved.
The installation of prepaid meters has been an issue with Soweto residents sparking protests in some areas.
Early this year, Pimville residents signed a petition opposing the installation of prepaid meters saying they are expensive and they were not consulted.
