TCM to take 70% of prepaid sum for arrears
Council approved the following initiatives as part of a broader revenue-enhancement strategy which include the 70/30 arrears collection
LYDENBURG – Thaba Chweu Municipality (TCM) has now implemented a 70/30 arrears-collection initiative.
The chief financial officer at TCM, Mr Lesley Mokwena told Steelburger/Lydenburg News that in its endeavour to increase revenue collection and to improve service delivery, it is implementing a mix of strategies within the ambit of its credit-control policy to realise this.
“Council approved the following initiatives as part of a broader revenue-enhancement strategy which include the 70/30 arrears collection.
“This plan is only implemented in arrears accounts through electricity prepaid purchases for whose accounts the owners do not have payment arrangement with the municipality,” Mokwena said.
This means that those who are in arrears with their municipal account will, when purchasing prepaid electricity, only be awarded 30 per cent and 70 per cent will go to the arrears account.
If a consumer, for instance, purchases R100 prepaid electricity, only R30’s units will be awarded to the household and R70 will be deducted to go to the arrears account.
“Please note that this arrears-collection split was improved from 90/10. There are no more blockings of meters and it is also not meant to be a permanent arrangement, but just to allow consumers less electricity until an arrangement is made with the municipality for repayment of their outstanding accounts.”
Mokwena said in their efforts to continuously improve their customer-service systems, they erroneously applied 70/30 arrears to accounts that were up to date.
“The problem has since been corrected and those affected accounts have been credited with the same amount. We apologise to our consumers for the inconvenience caused.”
He emphasised that consumers whose accounts were in arrears should come forward and make payment arrangements in line with the provisions of the municipal credit-control policy.
“This allows people space and time to deal with the payment of their accounts over time.
“Accounts on payment arrangements will not be affected by electricity cut-offs.”
Mokwena said provision packages had been made for indigenous accounts. “This social package is to allow consumers who fall below affordability levels to continue receiving services from the municipality.
“Such people must complete the necessary indigent form and bring proof documents to qualify for limited free water, electricity, refuse, sanitation and to some extent, property rates.”
He said TCM still had the 50 per cent debt-relief plan in place.
“It is designed to remove the municipality’s debt burden from the consumers by allowing them discount or rebate of up to 50 per cent when they pay and settle their outstanding consumer debts.
“It, however, does not cover property rates as these are regulated by national legislation.”
Mokwena said people were encouraged to take advantage of this gesture to settle their long-outstanding accounts.
“The so-called parked amounts have been completely written off, anyone with any problem regarding this, must come forward to the municipality to correct this.”
TCM has recently also implemented its repair of household water-leaks initiative. “Water leaks are a source of high consumer accounts, but also a waste of precious and scarce resources.
“The municipality is implementing this campaign to repair all reported household leaks as part of our customer-care ethos, but also to stop water wastage.
“Communities are encouraged to report their household leaks and any other leak within our public sphere for repairs at the municipality.
“This gesture is paid for by TCM. This is in line to give reality to the municipality’s mission and vision to serve the community.
“Re direla batho (we are doing it for the people),” Mokwena said.
