Tshwane Municipality found guilty of overbilling resident

Tshwane Municipality found guilty of overbilling resident

The Tshwane Municipality has been ordered to pay a property owner R89,314.

Electricity bill
iStock

The City of Tshwane Municipality has been found guilty of maladministration after charging the wrong electricity tariffs to a residential property, leaving the owner more than R89,000 out of pocket.

According to IOL, the Public Protector's office stepped in and secured a refund of R89,314.77 for the affected property owner through mediation.

The case was brought forward by Top Charge Pty Ltd, administrators of ERF 79 Lynnwood, Queens Crescent, who noticed that their electricity account was billed at a commercial tariff instead of the approved bulk residential tariff.

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According to the official report released by Public Protector Advocate Kholeka Gcaleka, Tshwane failed to apply the correct tariff despite earlier approval for a residential supply.

"The evidence before the Public Protector indicates that Top Charge applied to the City of Tshwane for electricity supply under the bulk residential tariff for Erf 79, Lynnwood," the report states.

"Despite such approval, the City of Tshwane billed the property under a commercial tariff, resulting in substantial overcharging."

The matter dragged on for more than three years, with delays not only in adjusting the tariff but also in refunding the money, despite repeated correspondence.

The Public Protector flagged systemic weaknesses in Tshwane’s billing controls, citing failures in transparency and accountability.

"The protracted delay and initial failure to refund the overcharge in a timely and transparent manner is contrary to section 152(1)(b) of the Constitution, which requires municipalities to ensure the provision of services in a sustainable manner," stated Advocate Gcaleka.

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The report also stressed that municipalities must prioritise communities' needs through responsible governance.

Following an Alternative Dispute Resolution (ADR) process, the City admitted that the commercial tariff had been wrongly applied and recalculated the charges, resulting in the refund.

Top Charge's administrator, Nelly Seanego, welcomed the outcome: "Subject to the credit being effected, I consider the matter resolved and capable of closure."

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