The Electricity Control Board (ECB) has issued a directive, prohibiting local authorities from disconnecting prepaid electricity meters for unpaid non-electricity charges.
The decision follows a customer complaint regarding a local authority’s practice of blocking power supply due to arrears on water bills, rates, and taxes included in a consolidated municipal account.
“The ECB received a customer complaint regarding a local authority blocking prepaid meters for municipal accounts in arrears. The ECB ruling on the matter is that this practice is not allowed under the Electricity Act, Act No. 4 of 2007,” Petrus Johannes, ECB Executive of Technical Regulation announced on Thursday.
He further explained that the ruling clarifies that the Electricity Act (Act No. 4 of 2007) governs the disconnection or termination of electricity supply.
“This Act, along with its accompanying regulations such as the Economic Rules of 2016, specifies that electricity shutoffs for arrears can only be implemented for unpaid electricity bills,” he said.
Johannes noted that the Electricity Act takes precedence in case of any conflict with the Local Authorities Act or its subordinate legislation concerning electricity supply.
“It is important to note that section 36(2) of the Electricity Act provides that in the case of conflict between the Local Authorities Act and the Electricity Act in respect of the supply of electricity, the provisions of the Electricity Act prevail. The same applies to any subordinate legislation issued under the Acts,” he said.
“This also applies to any policies or procedures established by local authorities to manage electricity provision, which must comply with the Electricity Act and its associated regulations.”
Johannes further explained that the ECB’s decision does not apply to consolidated municipal accounts where electricity (post-paid), water, sewage, and rates & taxes appear on a single bill.
He, however, said in such cases, local authorities are required to separate the electricity portion of the bill, adhering to the provisions outlined in the Electricity Act.
“Regional Councils and local authorities are therefore directed to immediately cease the practice of blocking prepaid electricity meters to recover arrears on other municipal services. They are urged to explore alternative debt recovery methods that comply with the relevant legislation.”
