Phase 1 · Cost Avoidance Activation38.34% fee
Mine saving61.66%
- UtCS monthly fee
- R 1 683 556
- Monthly avoidance
- R 2 707 767
- Annual avoidance
- R 32 493 202
Applied to the R 4 391 322,60 combined monthly baseline.
Financial Impact
A compounding cost-avoidance model
Each programme phase builds upon the previous one — reducing the mine's effective monthly utility burden from R4.39m toward a R350k optimisation target.
Effective monthly BMM utility cost by programme stage
Tap or hover a bar for exact figures. Values shown in short form (e.g. R4.39m).
Baseline R4.39m → target R350k92.03% reduction target
Phase 2 · Cost Avoidance Optimisation18.5% fee
Mine saving81.5%
- UtCS monthly fee
- R 812 395
- Monthly avoidance
- R 3 578 928
- Annual avoidance
- R 42 947 135
Applied to the R 4 391 322,60 combined monthly baseline.
Zero-CAPEX Financing
Zero upfront capital requirement for BMM
UtCS finances the entire metering programme. The mine commits no capital and carries no installation or technology funding risk.
Total financedR0,00m
- Electricity metering · 910 metersR6.99m
- Water metering · 1 010 metersR10.94m
- Total · 1 920 metersR17.93m
BMM CAPEX
No capital contribution. UtCS funds 100% of the R17.93m programme.
R0
Capital lifecycle
- 1UtCS Capital
- 2Meter Infrastructure
- 3Prepaid Collections
- 4UtCS CAPEX Recovery
- 5Asset Transfer to BMM
Recovery via a 38.34% service fee on prepaid collections over approximately 11 months (6.5% p.a. cost of capital).
Self-Funded Recovery
Self-funded infrastructure recovery
UtCS systematically recovers its financed capital through prepaid collections. On reaching full recovery, the metering assets transfer to Black Mountain Mine at zero additional cost.
Capital financed
R17.93m
Cost of capital
6.5% p.a.
Phase 1 service fee
38.34%
Recovery period
~11 months
On recovery, all 1 920 metering assets transfer to Black Mountain Mine at zero additional transfer cost, and the programme progresses into the lower-fee Phase 2.
Business Case Comparison
Current position vs Phase 1 vs Phase 2
A side-by-side view of how the mine's exposure, ownership and capability evolve across the programme.
BMM upfront CAPEX
- Current
- —
- Phase 1
- R0
- Phase 2
- R0
Effective monthly utility exposure
- Current
- R4.39m
- Phase 1
- R1.68m
- Phase 2
- R812k
Saving
- Current
- 0%
- Phase 1
- 61.66%
- Phase 2
- 81.50%
Annual cost avoidance
- Current
- —
- Phase 1
- R32.49m
- Phase 2
- R42.95m
Meter ownership
- Current
- Existing situation
- Phase 1
- UtCS
- Phase 2
- BMM
Infrastructure management
- Current
- BMM exposure
- Phase 1
- UtCS
- Phase 2
- UtCS service agreement
Optimisation capability
- Current
- Limited
- Phase 1
- Smart metering
- Phase 2
- Advanced optimisation