From Allafrica · · 1m 50s
South Africa: Midlands Municipality Recovers Millions in Electricity Revenue
South Africa's uMngeni municipality recovers R900,000 monthly from smart meters after years of electricity losses.
In brief
South Africa's uMngeni municipality recovers R900,000 monthly from smart meters after years of electricity losses. South Africa's uMngeni municipality recovers R900,000 monthly from smart meters after reducing electricity losses from 60% to 27%. Originally reported by Allafrica.
Smart Meters Boost Revenue
uMngeni Local Municipality installed nearly 1,900 smart meters to curb electricity losses.
Electricity Losses Drop
The municipality reduced electricity losses from 60% to 27% in 2025/26 after a decade of losses.
Revenue Generation
Smart meters generate R900,000 monthly in additional revenue for uMngeni municipality.
Municipal Spending
uMngeni spent R5.7-million to buy and install 1,885 smart meters for homes without meters or needing replacements.
National Treasury Rejection
National Treasury denied uMngeni's application for funding to tackle electricity losses, citing default on Eskom.
Underbilling Discovery
uMngeni discovered it underbilled uThukela Water for 20 years, costing R25-million in electricity.
Electricity Theft in Mpophomeni
Mpophomeni residents report widespread electricity theft due to informal settlements and illegal connections.
Affordability Concerns
Some residents cannot afford electricity costs after smart meter installation, leading to complaints.
Municipal Litigation Plans
uMngeni plans to take uMgungundlovu District Municipality to court for sewage leaks and environmental damage.
Water Infrastructure Issues
Raw sewage flows into rivers and streams, threatening KZN's water source at Albert Falls Dam.
Housing Project Benefits
28 families received building materials to construct new homes since the mud house eradication program started in 2023/24.
Election Results
uMngeni was won by the DA in 2021 with 47%, beating the ANC's 39%.
Financial Improvements
uMngeni reduced accumulated unauthorised expenditure from R269-million to R3.2-million in 2025.
Next Steps
uMngeni plans to take Msunduzi Municipality to court for operating without an electricity license.
The key point
South Africa's uMngeni municipality recovers R900,000 monthly from smart meters after reducing electricity losses from 60% to 27%.
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