Cape Town, Joburg city councils warn residents of ‘cheap’ prepaid electricity scams

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The City of Cape Town has warned prepaid electricity users about scammers posing as council officials or contractors who are offering cheaper electricity units to gain access to homes.

In a statement, the council said the electricity bought from these criminals did not work on its meters, warning residents: ”Everyone loves a deal, especially in these tough economic times, but remember if the price of the electricity units seems too good to be true, it very likely is a scam.”

In one such incident, a senior citizen reported that someone had visited her home claiming they needed to enter the property to scan her prepaid meter for her to get a rebate, said Beverley van Reenen, Cape Town’s mayoral committee member for energy.

“Municipal workers and contractors must carry a work order number specific to that dwelling and a legitimate city-issued identification card,” Van Reenen said.

“Residents should please ask to check the work order number and the identification card before allowing anyone onto their property and to verify whether the card is legitimate.”

Officials have reported similar scams elsewhere. 

Isaac Mangena, the spokesperson for Johannesburg’s electricity utility, City Power, said the council was aware of a social media scam where scammers use community WhatsApp groups and Facebook to sell what they claim to be cheaper electricity units.

“In most cases customers are robbed by being asked to send E-wallet to numbers where electricity is never sent back and they complain to us afterward when the units won’t charge [load onto the meter],” Mangena told the Mail & Guardian.

He said some cases involved syndicates believed to be working with people employed at City Power or with vendors, in which valid electricity units were cloned.

“We have engaged law enforcement agencies including the Hawks (Directorate for Priority Crime Investigation) and the Group Forensic and Investigation Service to assist us,” said Mangena.

Both the Johannesburg and Cape Town city councils urged consumers to only buy electricity units from legitimate vendors such as supermarkets and garages, and to report suspicious behaviour to law enforcement agencies.