The City of Cape Town has shared practical advice to help prepaid electricity users save money and clear up some common myths.
Here’s what you need to know:
💡 Saving Tips
Q: Should I buy electricity in bulk to save money?
A: No. Buying in bulk can push you into a higher tariff block, making your units more expensive. Rather buy smaller amounts as needed, and try to stay below 600 units per month to remain in the cheaper Block 1.
Q: How can I reduce my electricity bill?
- Switch your geyser on for only 1–2 hours a day.
- Lower the geyser thermostat to 60°C.
- Take shorter showers.
- Use LED bulbs and energy-efficient appliances.
- Only boil the amount of water you need in the kettle.
- Track your usage monthly – your municipal bill shows how much you’re buying.
🔎 Common Myths Busted
Myth 1: Electricity costs more in winter or during peak hours.
❌ False. The price per unit is the same all year round. Usage just tends to be higher in winter.
Myth 2: Units are cheaper if you buy on the 1st of the month.
❌ False. The tariff resets monthly, so the date you buy does not change the price.
Myth 3: Prepaid electricity is more expensive than postpaid.
❌ False. A prepaid meter does not cost more – it simply measures your usage and helps you manage household expenses.
Myth 4: I’m losing units because of “utility” or “service and wires” charges.
❌ False. Since July 2025, fixed charges apply across tariffs. This ensures the City can cover infrastructure and service costs. The usage charge has been reduced to balance this.
📊 Understanding Fixed Charges
- Domestic Tariff: A fixed monthly charge of R59,90 (excl. VAT) applies.
- This is billed daily (R1,97/day) and collected whenever you buy electricity.
- Example: If you buy every 15 days, you’ll pay about R29,55 in fixed charges that time.
- Regardless of how much you use, the maximum monthly bill increase is:
- R109,09 on the Home User Tariff
- R70,33 on the Domestic Tariff
Many customers will see smaller increases – or even decreases – especially at higher usage levels.
🧾 Special Protection for Lifeline Customers
- Lifeline customers using up to 600 units/month pay about the same as three years ago.
- They also receive 25 or 60 free units monthly, depending on their usage.
- Even if winter demand pushes them over 450 units, they remain on Lifeline if their 12-month average stays below 450 units.
📞 Need Help?
- General electricity enquiries: Electricitycustomer.support@capetown.gov.za
- Call Centre: 0860 103 089
- Rates rebates: rates.rebate@capetown.gov.za
- Indigent support: indigent.relief@capetown.gov.za
- Debt write-off/payment arrangements: payment.arrangements@capetown.gov.za
👉 For Eskom-supplied customers, check tariffs at eskom.co.za.
