CAPE TOWN — City Power, Johannesburg’s municipal electricity utility, has announced the immediate suspension of all prepaid electricity meter conversions scheduled between 27 August and 1 November 2025. The decision comes amid growing concerns over financial discrepancies, system errors, and customer billing issues raised during recent internal audits and public feedback.
The suspension affects thousands of households across Johannesburg that were scheduled to migrate from traditional postpaid (credit) electricity meters to the newer prepaid meter system.
In a statement released this week, City Power confirmed that the halt is necessary to conduct a comprehensive investigation into the conversion process, following the emergence of multiple red flags tied to operational integrity and customer fairness.
“This suspension is not a cancellation,” said City Power spokesperson Isaac Mangena. “It is a proactive measure to ensure that we address the legitimate concerns raised by both customers and internal stakeholders before proceeding further.”
Mangena said the company is committed to maintaining transparency and fairness in how the conversion process is handled and stressed that rectifying existing issues is a top priority.
Why City Power Is Pausing the Prepaid Meter Conversions
City Power began rolling out prepaid electricity meters in 2010 as part of a broader initiative to modernize the city’s energy infrastructure, improve revenue collection, and give customers more control over their electricity usage.
Under the system, customers pay upfront for the power they use, reducing the risk of non-payment and helping the city manage load distribution more efficiently. The shift from postpaid meters, where customers receive monthly bills after consuming electricity, has been steadily gaining traction—until now.
According to City Power, the decision to suspend prepaid meter installations is based on three key issues discovered during recent reviews:
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Non-purchasing Prepaid Customers
A significant number of customers who have converted from postpaid to prepaid meters are reportedly not purchasing electricity as expected. This raises concerns that some meters may not be functioning correctly—or that tampering or bypassing may be occurring. -
System Discrepancies in Billing and Account Balances
City Power has also identified instances where customer accounts are not accurately updated after meter conversions. These discrepancies can lead to incorrect billing, overcharges, or customers unfairly carrying outstanding debt from the old system. -
Tariff Structure and Hidden Costs
Until July 2024, prepaid electricity tariffs excluded fixed service and network charges, making them seem more affordable than postpaid billing structures. Now that these charges are being included in prepaid billing, some customers are surprised by higher costs, prompting questions about transparency in pricing.
To ensure the issues are thoroughly resolved, City Power will:
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Conduct a full audit of all prepaid meter conversions done in the past 18 months.
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Review technical systems to identify and fix data integration problems affecting billing accuracy.
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Launch a public communication campaign to educate customers on the true costs of prepaid electricity, including service and network charges now included in the tariff.
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Work with law enforcement and security teams to investigate suspected meter tampering or illegal connections.
Mangena emphasized that customer trust and service delivery are at the heart of the investigation.
“We understand how disruptive this may be for customers who were scheduled for conversion. But ensuring that the process is legally sound, technically reliable, and financially accurate is more important,” he said.
If your household was scheduled to switch to a prepaid meter between 27 August and 1 November, your appointment has been put on hold. City Power says affected customers will be contacted individually with updates on new installation timelines, pending the outcome of the ongoing review.
In the meantime, all existing postpaid and prepaid services will continue as normal, and no interruptions to electricity supply are expected as a result of the suspension.
The decision by City Power to suspend conversions has sparked mixed reactions. Some customers have applauded the utility for acknowledging faults and prioritizing fairness. Others are frustrated, especially those who had already made preparations for the switch.
Energy analysts have praised the move as a necessary intervention.
“Utility companies must be transparent, especially when customer finances are affected,” said energy economist Thabo Mthembu. “City Power is doing the right thing by pausing, investigating, and fixing the problem before expanding the rollout.”
With electricity infrastructure under increasing pressure, City Power’s prepaid meter program remains a crucial part of Johannesburg’s long-term energy strategy. However, the utility’s leadership now faces the challenge of restoring public confidence, addressing technical failures, and ensuring that future meter rollouts are carried out smoothly and fairly.
As the investigation unfolds, City Power promises to keep the public informed and has urged customers to report any issues or irregularities through their official customer service platforms.
Source- EWN
