The Knysna Municipality has issued this information. It will be of particular interest to those of you in arrears.

It is Council’s intention to introduce prepayment electricity throughout the entire Knysna Municipal area, i.e. to all consumers as far as is practically possible.

This process will run over a three to five year period whereby all households with existing credit electricity meters, will be converted to pre-payment electricity meters. The process will commence on 1 June 2014.

Pre-payment meters will be installed free of charge and prior notices will be served on consumers to inform them of their date the conversion

1. What if I do not want a prepaid meter?
Council has, after thorough investigation, opted for the prepaid metering system to affect savings for the Municipality and the consumers alike.
Unfortunately, you will have no option than to be converted to prepaid system.

2. Can I have a prepaid meter now?
The intention is to begin the process of switching over to prepaid for those consumers currently in arrears. The point behind the conversion is to allow all residents to be placed on an equal footing and to encourage a culture of payment. Those people wishing to transfer across to prepaid can phone the Council prepaid line (044 302 6558) or send an email to prepaid@knysna.gov.za. You will then be contacted as to an appropriate date.

3. In which areas will the conversion process commence?
The intention is to commence the process in Wards 2, 9, and 10, where the bulk of the credit meters are in use. The process will begin with those consumers who are in arrears.

4. What will it cost?
The cost to the consumer as from 1 June 2014 will be nothing. The meter will be purchased and installed free of charge by the Municipality and programmed accordingly.

5. I have a conventional meter in a housing development that has a bulk meter and is managed by PM&D – will I also be required to go over to prepaid metering?
Yes, but the prepaid meters and bulk meter will still be managed by PM&D as well as the internal electrical reticulation.

6. I don’t live in one of the mentioned wards but I want a prepaid meter now. Can I have one?
In that case you need to pay the subsidised conversion fee of R820, VAT included, to have the meter installed by the municipality as from 01 July 2014.

7. What benefit is there for me by being forced to change to a prepaid meter as I pay my accounts on time?
Council cannot afford to run two different systems in the years to come.
Prepayment metering is the chosen payment vehicle.

8. If I allow my service accounts to go into arrears will I get
a prepaid meter sooner? Or will I be cut for non-payment?
You will get one sooner, but you will have arrears plus interest transferred to your meter and you will be cut.

9. Who is paying for all these free meters? Is this why my rates and taxes are the highest in the Western Cape?
Council is paying from the cash generated by the pre-payment vending system. The answer to the second part is NO; this has no effect on your rates and taxes.

10. How will the Council collect arrears through the prepaid system, similar to the current procedure?
Currently many consumers who have credit electricity meters are in arrears on their assessment rates and other charges. Legislation now allows
Council to collect those rates via the electricity account. The simplest, and in the long run, the cheapest way for both Council and the individual to avoid unnecessary penalties, interest or disconnection and reconnection fees, is via the prepaid system. Those residents currently with no arrears will be amongst the final consumers involved in the switchover but it is ultimately Council’s intention to do away with all credit meters.

11. How do you intend using the pre-paid electricity system as a collection mechanism?
Any future arrears as from 1 July 2014 will be transferred onto the pre-payment system and a percentage or pre-debit (between 20% and 40%) will first be allocated to the arrears e.g. a purchase of R100 @ 20% = R20,00 towards the arrears. Every time a consumer makes an electricity
purchase, whilst in arrears, the fixed percentage will be allocated to the arrears. The pre-debit will be removed from the pre-payment system once all arrears have been collected.

12. I am on conventional 3Phase metering. As I have to go onto prepaid I want to have a single phase prepaid meter.
No, this is not possible as there are additional costs to change from 3Phase
to 1Phase, which must be covered by the applicant. This Council policy only allows for the change of metering and not the change in a service connection

Further enquiries can be directed to our Helpdesk at 044 302 6558 or by email to prepaid@knysna.gov.za.