Prepayment meter systems are non-standard electricity or gas meters, with additional functionality to a standard electricity or gas meter, designed to allow for the prepayment of electricity or gas through mechanisms such as tokens, electronic ticket, smart card or keypad technology.   SA currently only has prepayment meters for electricity.

With a prepayment system, the consumer purchases credit and then uses gas or electricity until such time as the credit expires. The consumer can purchase more credit for the system, which is "fed into" the meter at any time. 

The Commission's Prepayment Meter System Code ensures protection of consumers' rights in respect of the use of prepayment meters.

Key areas of consumer protection in this Code include:

• Establishment of standards for prepayment meter market contracts and minimum prepayment meter system requirements;
• Provision of comprehensive written information, including operating information for customers;
• A mandatory three month trial period;
• Provisions for dealing with payment difficulties and hardship, including provisions for the removal of the meter in some circumstances; and
• Strict limitations on the recovery of debt and charging for other goods via the prepayment meter.

Energy retailers cannot offer prepayment meter systems without the approval of the Commission.