The prepaid metering system, successfully implemented by the municipality  has already improved revenue flows and has also solved the problem of inaccurate billing which had in the past created tension between the community and the Municipality.

An estimated 3 500 households have benefited from the prepaid electricity metering system. The initial plan was that each household will make a down payment of R1 200 for the installation and commissioning of the meters. However, the Municipality reduced the amount to R160 per household due to concessions it received from the Bank’s funding.

The DBSA provided the municipality with an investment loan of R3,8 million. The loan was for financing infrastructure that will improve service delivery and generate revenue for the municipality. Of the total loan, R2 million was to be used for the prepaid metering system and the balance used for buying movable assets and equipment to maintain roads.

The second part of the funding has also yielded satisfactory results for the community as it has enabled the Municipality to buy its own equipment to maintain roads. The resultant improved road access, together with the improved electrical services has promoted economic activity and raised living standards in the area, which is mainly rural, with high poverty levels and a limited financial base.

Speaking at the launch of the Development Bank of Southern Africa’s annual report at Nokeng tsa Taemane on August 30, DBSA’s Managing Director, Paul Baloyi, said the project has proven highly successful in delivering on government’s promise of Batho Pele and in addressing the service delivery challenges in the Nokeng tsa Taemane community.

Residents of the area came in droves to celebrate the success of the installation of the new system at the event. Joining the celebration was Finance Minister Trevor Manuel, DBSA Chairman Jay Naidoo, Municipality Executive Mayor Executive Cllr. Anna Digoro and a number of dignitaries.