JamboPay to sign up small firms for water bill payments

Electronic payment services provider JamboPay is looking to recruit agents for water bill payments on behalf of Nairobi Water Company, opening commission earning opportunities for small business owners.

JamboPay, the firm which is also powering the cashless parking ticket payment system in Nairobi, currently has big financial service providers including Cooperative Bank and Post Bank serving as its agents.

The e-payments company says it is targeting small businesses — kiosks, supermarkets and restaurants in Nairobi neighbourhoods to serve as utility payments centres.

“We already collect payments for Nairobi Water through our big corporate partners but we have decided to extend this same service further through smaller business owners,” said Mr Danson Muchemi, the JamboPay chief executive.

“This service will help the water firm reduce the transaction expenses incurred by its customers who are willing to pay.”

In the revised partnership with JamboPay, the selected business owners will be given hand-held point of sale terminals from JamboPay.

The initial set-up cost is approximately Sh44,000 and the agent can elect to foot the cost and enjoy a higher commission or have JamboPay pick the tab in exchange for lower commissions until the amount is cleared.

These agents will then process bill payments for Nairobi Water customers and in turn earn 40 per cent (or Sh8.80) of the Sh22 that the utility firm pays JamboPay for the service.

Nairobi City Water and Sewerage Company (NCWSC) currently has about 280,000 customers across the city and collects about Sh560 million from them every month.

However, the firm says it loses about 38 per cent of its revenues through illegal connections – especially in informal settlements – as well as a mountain of unpaid bills.

The utility company has in the past resorted to installing pre-paid meters in a bid to better map its customers and control the vice but this project has not been entirely successful.

City Hall expects to collect Sh5 billion this year from parking, making it the biggest revenue earner for Nairobi.

READ: City Hall automates revenue collection to curb theft

JamboPay is currently working with City Hall to roll out a cashless parking system in the city, in its bid to collect Sh5 billion from the corruption-prone revenue earner.

Motorists are required to deposit cash into e-wallets via their mobile money transfer service like M-Pesa or have the money deposited in the account by agents.

City dwellers can then use the account to settle their parking, land rates and rent dues. Parking attendants are equipped with a wireless gadget to counter check cars whose parking fees have been paid.

Mr Muchemi says the newly appointed agents in the estates will still top up the accounts for customers who want to make parking payments or even other services as they become available.