Ugandan electricity distributor, Umeme, has partnered with telecoms companies MTN and Airtel to launch an electricity bill payments system using mobile money.

Umeme will be an add-on to the already present payment systems such as banks, allowing customers to avoid disconnections caused by delayed payments.

Mobile money payments can be made to nine banks, which include Bank of Africa, Barclays Bank, Citibank, Post Bank, Stanbic Bank, and Standard Chartered Bank.

Ruhakana Rugunda, minister of information and communication technology, said the instant payment solution launched under the banner ‘Touchpay Solutions’ was the result of a partnership that would improve service delivery to a wide range of customers.

“I am extremely pleased that a utility company that is at the core of our economic development has reached out to other companies to find common ground for common good,” he said.

“Think for a moment about customers in Rakai who have to travel to Masaka to pay their bills. Today I am proud to inform them that inconvenience is now history,” Rugunda added.

Charles Chapman, managing director, Umeme, said Touchpay Solutions was designed specifically to ease the customer experience, and would encourage more customers to connect to the national grid.

“Our focus on customer service did not stop with the decentralisation of customer service centres. Making bill payment easier and instant is a key element of good customer service,” Chapman said.

Umeme chief financial officer, Selestino Babungi, explained that Touchpay Solutions would involve payments at banks both over-the-counter and through ATMs, and payments by internet and phone banking.

This means customers can pay bills at any hour of the day or night and avoid disconnection.