Utility bill transfer to tenants sparks concern, fix underway

Minister of Tourism and Environment Thoriq Ibrahim has revealed that efforts are underway to amend the regulation that allows utility bills from rented properties to be billed to the tenant instead of the property owner.

The Utility Regulatory Authority Act was amended in the previous session of Parliament to address difficulties faced by people in paying utility bills due to differences in billing periods. The amendment was aimed to protect the rights of both landlords and tenants.

The legislature allows for meters to be registered to the names of the people using the utility services, in cases where the registered meter holder is not the actual user. Regulations outlining the procedures were published on November 14, 2023.

However, North Galolhu MP Mohamed Ibrahim (Kudu) noted that some people have complained that meters installed under property owners’ names cannot be transferred to tenants. In a letter to Speaker Abdul Raheem Abdulla, Kudu requested STELCO, MWSC, and Fenaka to investigate the issue.

On Monday, in response to Kudu’s letter submitted in May, Parliament stated that its State-Owned Enterprises Committee had sought information from the three companies and the Environment Ministry.

According to the parliamentary office, the companies submitted complaints to the ministry regarding challenges in implementing the rule. The ministry is currently working to amend the regulations, the office said.

The parliamentary office also shared with Kudu the documents sent by the Environment Ministry, MWSC, and STELCO to the committee.

One of the concerns raised by MWSC relates to Article 10 of the regulation. It states that if a tenant is living in a building without a formal agreement, the service can be registered upon submission of a document confirming no objection from the property owner. Even if the owner later objects, the service can only be terminated upon written request from the person who originally registered for it.

MWSC expressed concern that building owners may lose control over utility services once registered to the tenant. The rule requires services to continue until the registrant requests termination, even if the lease expires.

MWSC raised additional concerns, while STELCO stated in its letter that some provisions prevent service activation. The company is in discussions with the ministry to find a solution.

Minister Thoriq informed the committee that consultations have been held on the proposed amendments. He signed a letter on August 20, confirming that the necessary changes are being made.