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Municipal accounts - Buffalo City

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Page 12<br />

Arrangements by Indigent Consumers<br />

1. You must have an electricity prepayment meter installed at your house.<br />

2. You are required to pay your current monthly account, which is the amount after indigent subsidy<br />

has been deducted, regularly every month by the due date.<br />

3. Your current monthly account will be payable before you may purchase electricity each month.<br />

Thereafter 40% of payment tendered to purchase electricity will be allocated to arrears.<br />

4. As an Indigent consumer you will not be charged interest on arrear debt.<br />

Arrangements by non-Indigent Low Income Consumers<br />

1. This category is determined by the municipal value of the property in which the consumer lives.<br />

Council will determine the threshold value from time to time.<br />

2. You must have an electricity prepayment meter installed at your house.<br />

3. You are required to pay your current monthly account regularly every month by the due date.<br />

4. Your current monthly account will be payable before you may purchase electricity each month.<br />

5. Thereafter 40% of payment tendered to purchase electricity will be allocated to arrears.<br />

Arrangements by non-Indigent Consumers<br />

1. You are required to pay your current monthly account regularly every month by the due date plus<br />

an agreed payment towards your arrear debt.<br />

2. Your instalment will be calculated according to the following:<br />

a) Gross household income up to R8000<br />

i) The down-payment will be equal to two month’s charges<br />

ii) The balance is payable over 24 months plus the current monthly account interest<br />

free, provided payments are made by the due date each month<br />

b) Gross household income over R8000<br />

i) The down-payment will be equal to four month’s charges<br />

ii) The balance is payable over 12 months plus the current monthly account interest<br />

free, provided payments are made by the due date each month<br />

Arrangements by Businesses<br />

1. You are required to pay 50% of the capital arrear debt as a down-payment.<br />

2. The balance is payable over 6 months plus the current monthly account interest free, provided<br />

payments are made by the due date each month<br />

It is important that you visit the nearest municipal office to make the necessary arrangement<br />

and to sign an arrangement agreement that includes an acknowledgement of debt agreement.<br />

What will happen if I break my arrangement?<br />

1. If you are a domestic consumer, Council may entertain one more arrangement with the following<br />

stipulations:<br />

a) Gross household income up to R8000<br />

i) The down-payment will be equal to 25% of the existing debt<br />

ii) The balance is payable over 24 months plus the current monthly account interest<br />

free, provided payments are made by the due date each month<br />

<strong>Buffalo</strong><strong>City</strong>Metropolitan<strong>Municipal</strong>ity<br />

BUFFALO CITY<br />

METROPOLITAN MUNICIPALITY<br />

C O N S U M E R G U I D E

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