# 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.
- Title: South Africa: Midlands Municipality Recovers Millions in…
- Summary: South Africa's uMngeni municipality recovers R900,000 monthly from smart meters after years of electricity losses.
- Keywords: south africa, umngeni, electricity, smart meters, kwa zulu natal, municipality, elections 2026, national treasury, eskom, u thukela water, mpophomeni, municipal revenue
- Source: Allafrica — https://allafrica.com/stories/202610190080.html
- Published: 2026-10-19T05:53:25+00:00
- Read time: 1 min
- Topics: south africa, umngeni, electricity, smart meters, kwa zulu natal, municipality, elections 2026, national treasury, eskom, u thukela water, mpophomeni, municipal revenue
## 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.
## Key takeaway

South Africa's uMngeni municipality recovers R900,000 monthly from smart meters after reducing electricity losses from 60% to 27%.