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Considering the imminent electricity tariff increase from 14% to twenty Percent and much more (based on regions in Nigeria), property proprietors are quickly implementing independently possessed, secondary, prepaid electricity metering methods to help curb utility revenue collection risks on rental fees. Both residential and commercial tenants that has to pay greater electricity costs are also searching for methods to monitor their electricity usage and check out and save money on usage as power bills are beginning to improve and can most likely continue every year.
Additionally to assortment of rent, land lords also need to collect revenues from tenants for utilities consumed. What this means is land lords must collect money for electricity and water in arrears, and tenants need to pay afterwards, which exposes the owner to the chance of needing to collect needed amounts prior to the bill is because of be compensated towards the town. For both land lords as well as for tenants, this case has not been the very best, consider the electricity prices happen to be somewhat acceptable and never excessive, each side resided using the situation. To resolve this issue for land lords and tenants, many commercial and residential land lords have switched to independently possessed, secondary, prepaid electricity metering methods to help which help reduce risk and improve cash flow on sides.
These meters don’t switch the existing municipal meter on the property and therefore are installed within the dwelling alongside the primary distribution board.
Power bills could be substantial but they are typically greater throughout the wintertime several weeks when individuals begin using electrical heating units in order to push away the cold. Non-payment with a tenant during these occasions often means a considerable loss to land lords, who frequently depend on rental fees for added earnings in order to cover mortgage obligations. The danger connected with overtime or non-payment for electricity is significantly elevated as prices of electricity escalate.

While primary prepaid metering solutions can be found from cities, acquiring a municipal option would be frequently a lengthy and inefficient process.
Cities will also be prepared to install just one prepaid meter per ERF, that is a problem for land lords with multiple tenant dwelling models or gran houses and commercial qualities. When in comparison using the municipal, primary meter option, in the outlook during a landlord, the independently possessed, secondary, prepaid solution has a number of benefits. For that tenants, income enhances whenever they can really monitor their using electricity rather than again get surprise power bills that eat into plan for other activities, or finish in disputes for land lords. Many tenants happen to be able to lower their usage by getting a meter in their own individual premises that shows them, on daily-basis, just how much electricity they’ve remaining. As electricity prices along with other costs increase, the popularity towards prepaid solutions appears to become attaining momentum as land lords shoot for better control over the standard risks connected with rental fees.
Unlike rental, that is due on the given date, utility collection is problematic for the reason that bills are just open to land lords within the month after that where the utilities were consumed through the tenant.
They actually implement a method whereby tenants pre-spend the money for landlord ahead of time for electricity so the tenants can monitor their usage rather than again get a surprise bill. Tenants usually obtain a massive shock in the winter months when out of the blue the debts are bending.
In most of cases the municipal route may also be more pricey compared to cost of purchasing and setting up another prepaid meter.

An identical kind of issue is also present in sectional title schemes in which the building or complex is equipped having a single bulk meter, and resident billing is calculated with different participation quota. Additionally to being easily bought and installed in a lesser cost, the independently possessed character from the secondary prepaid meter implies that the owner not just remains in charge from the utility management around the property, but encounters a noticeable difference in income and removal of the chance of loss connected with non-payment of electricity. Used, this case presents a danger towards the landlord and uncomfortable bills for tenants. Utilities revenue collection has become much more of an issue than anybody wants to cope with. Using the landlord prepaid the chance of non-payment for electricity through the tenant is removed. Conscious of this, an growing quantity of Land lords are choosing for that prepaid means to fix steer clear of the connected financial chance of not doing this, and lots of tenants both commercial and residential are asking land lords to set up prepaid meters to watch their very own usage. This is when the tenants dispute their charged amounts using the landlord, and also the landlord collects power bills late.
Tenants can monitor their very own usage while land lords could possibly get their power bills compensated over time all the time.

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