ECB approves 13% power hike for NamPower
The Electricity Control Board (ECB) has approved an electricity tariff
hike for NamPower to bulk suppliers by 13.22% with effect from July
The increase is in line with Government’s bid to see the national
power utility charging cost reflective tariffs until the country is able
to sustain its market needs.
ECB is also expected to deliberate on the eventual increase to the
consumers when the bulk suppliers (municipalities and regional
distributors) apply for their annual increases from the electricity
Speaking at a media briefing ECB Acting at ECB this morning ECB
Acting Chief Executive Officer, Rojas Manyame said the bulk
suppliers will soon make their propositions to the regulator for
increase spreads to the consumer.
“NamPower made an application to the ECB in terms of section
27 of the Electricity Act (Act 4 of 2007). In its request NamPower
requested for an effective bulk tariff increase of 21.29%, an increase
from N$1.03 to N$1.25 per Kilowatt hour, to meet its service delivery
costs and for the tariff to remain cost reflective. After a thorough
review process, the ECB board awarded a 13.22% effective bulk tariff
increase to N$1.17 PER KwH.
Namibia currently imports between 50% to 70% of its power needs
from other sister utilities in the Southern African Development
Community (Sadc) including Zimbabwe Electricity Supply Authority
(Zesa) and Eskom from South Africa.
Manyame also revealed that ECB and Government will this month
conclude a Supply Tariff Mechanism, (STM) that aims to cushion poor
Namibians from paying heavy tariffs.
Manyame explained that upon endorsement the STM will see a
certain quarter in society that consumes a certain level of electricity
paying lower tariffs. The mechanism, Manyame added that will see
those in the high tariff bracket subsidising those in the lower tariff
“We did research and found out that it will be difficult to base the
pricing on income but rather on how much individuals consume in
terms of electricity.