ECG Replaces Credit Metering System

The Electricity Company of Ghana (ECG), last Wednesday introduced a new prepaid metering system to replace the conventional credit metering system. The new system is intended to boost revenue for the company and to recoup massive losses incurred due to unpaid bills by customers under the former system.

Launching the "Pay and Smile" programme at the ECG/VRA Cafeteria in Accra, M. I. Vukania, Director of Customer Services, said a prepaid system run by ECG between 1994 and 1999 in Accra, Tema and Kumasi for residential and non- residential customers with small loads, had proved a "total success".

Those customers whose electricity consumption have reached a level determined by ECG to be 'economically viable', he added, will face a compulsory move to the new system.

According to Vuknai, customers on pre-payment metres have become more aware of energy conservation. Residential customers that were included in the pilot programme, he said, introduced demand side management practices into their electrical installations and operations.

The pre-payment metering programme, he added, has proven cost effect.

Commenting on the former system, Vukania said the traditional methods used by the company to improve its account receivable situation, such as the threat of disconnection and premise to premise collection by bonded cashiers did not achieve it purpose. Rather, a significant amount of billed revenue remained uncollected.

Mr. Sam Yartey, the Director of Metering and Technical Services, who gave a demonstration of the new meter system, pointed out the advantages of the system to customers. He said, "some customers, once they have judged how much electricity they waste, manage to make savings in their electricity costs of up to 70%". He also cited the environmental benefits of power conservation.

Yartey noted that as of June 2000, ECG was owed 276.3billion cedis, 42% (115.5bilion cedis) of which was owed by residential and small non-residential customers, a group from which ECG claim they glean little economic benefit.