Before we can enjoy the benefits of any of these resources there is a complex network of operations and infrastructure that needs to be developed, managed, and maintained by the government. All of which amounts to a cost that needs to be recovered. For a just and equitable system, this utility must be metered, so that each property receiving the supply is paying for what they consumed. The meter installed by the supplier of the utility; this could be Eskom, a Municipality or both depending on the area you live in, remains the property and responsibility of the supplier and revenue collected by the supplier, is then used for infrastructure development and maintenance. We refer to this meter as the primary meter or in some cases the bulk meter. For every property in South Africa, that is receiving the supply of a utility, there will be a primary meter and the property owner is ultimately responsible for that account, irrespective of whether they live or work there as the case may be. This government owned primary meter cannot be removed or replaced by a privately owned meter.

For post paid, you may also hear mention of the term conventional meter. In post paid mode you pay for the utility after it has been consumed. These meters effectively count up, your account is then based on the difference between your previous reading and the current reading. The primary meter can also be a prepaid meter, this is self explanatory, you need to purchase a credit amount first, load that onto the meter, in order to receive the utility supply. A pay as you go of sorts. The prepaid meter counts down and when it reaches zero the utility supply is shut off until the meter is credited again. The above is straightforward when the owner of the property lives there or a property has one single dwelling with one tenant. What he uses he pays for. Where there are multiple users of the utility on one property however, it becomes increasingly difficult to control or even apportion fairly, the costs of consumption. Questions like: How do you know who used how much? Who must pay what if you just have the one primary meter? Is it fair for the neighbour in flat 10 who is a family of 4 to pay the same as you who lives alone?

As a property owner you want to make sure you understand what sort of prepaid electricity or water meter to purchase. It’s always a good idea to talk to your qualified electrician or plumber who should be able to advise you. Understand the most commonly used types of prepaid meters

When it comes to prepaid meter installation costs, there are only two initial upfront costs and that is the purchasing of the meters and the meter installation costs by a certified electrician .

Depending on your location, electricity costs can vary. Power is provided by Eskom or the relevant municipality with each provider setting their own tariffs, within NERSA (National Energy Regulator) guidelines. This results in a wide range of base unit rates from as little as R1,24 to over R1,85 depending on the exact location of the property. Also note that some providers work on ‘volume based’ pricing (Incline Block Tariff), which means the cost increases the more you purchase within a calendar month. For example, there could be different rates for the first 500 units, 1000 units, 2000 units and units over 3000. This is why, for these tariffs, electricity generally costs more when purchased on the 26th of the month than on the 2nd.