Cape Town’s Sandulela Technology wins city’s prepaid electricity vending contract

Sandulela Technology, the Cape Town-based wholesaler of prepaid electricity has been awarded the City of Cape Town’s contract as one of its point of sale service providers for prepaid electricity vending services to third parties.

The company’s High Performance Switch (HPS) provides the ability for the municipalities to sell prepaid electricity to aggregators and municipal consumers using various distribution channels including point of sale, retail, online and mobile vending. Sandulela adds Cape Town to its impressive portfolio of municipal clients that include Eskom, City Power, and eThekwini municipalities.

Cape Town has 580,000 prepaid electricity customers consuming R4,2 billion per annum and 200,000 free basic electricity consumers. Sandulela is 49% owned by Paycorp’s subsidiary, Kazang, which provides a micro-payment processing service. Its network of ~3,500 vendors located in and around Cape Town, secures the company’s position as a prominent player in the city’s informal market.

“Cape Town is not just the biggest municipality in South Africa, it is also consistently voted the top municipality in the country and the most efficiently run. This is exactly the kind of business every service provider dreams of winning! It positions Sandulela in the premier league of prepaid electricity vending,” says Sandulela CEO Nkululeko (NK) Mvulana.

“Sandulela is a credible, and highly competent vendor of prepaid electricity and we’re pleased they have been awarded this lucrative contract” commented Martin Wright, CEO of Kazang. “The fact that they scored 100% on IT requirements is significant and Kazang’s 3,500 existing merchants in Cape Town was more than double the number required by the tender, and will allow us to roll our services out at scale.”

The three-year contract commences 1 July 2019.


About Paycorp

Paycorp is an end-to-end payment solutions provider with best-in-class capabilities across ATM services, merchant acquiring, micro and bill payments and prepaid and mobile payment solutions in developing economies. Its purpose is to connect people to their money and businesses to their customers.

After installing Africa’s first independent ATM in 2000, today Paycorp offers a broad range of payment solutions across 18 countries in sub-Saharan Africa and South East Asia with fledgling businesses in Eastern Europe and Central America and has deployed over 5 500 ATMs, 27 000 terminals and 400 card programmes.

About Kazang

Kazang, a subsidiary of Paycorp, is one of Africa’s leading micro-payment processing services providing terminals that enable retailers to sell prepaid airtime, data bundles, electricity, lotto tickets, remittance and mobile wallet top ups. With over 25 000 terminals, Kazang processes more than R3 billion and 350 million transactions annually. In 2018, Kazang acquired a 49% equity stake in Sandulela, a BEE accredited electricity payments distributor.