Nampower Tariffs to Go Up 9,53 Percent

NAMPOWER’S bulk electricity tariffs will increase by 9,53% on 1 July. The Electricity Control Board (ECB) said yesterday that the board decided that a 9,53% tariff increase would suffice for NamPower to cover its allowed operating costs, keep the lights on and fulfil its financial obligations.

“This means an effective bulk tariff increase from N$ 1,17 to N$ 1,28 per kWh,” said Foibe Namene, CEO of the ECB.

The board says electricity tariffs in Namibia, just like in most other Southern African Development Community (SADC) countries, will continue to rise until enough generation capacity is available.

The board has embarked on two studies the national electricity support mechanism and a study to improve electrification of peri-urban and rural areas.

The reasons provided by NamPower to justify the tariff increase include covering incremental costs of electricity supply from imports and local generating thermal power stations.

Namibia remains a net importer of electricity, at times importing up to 70% of its requirements from the region depending on the availability of water at the Ruacana Power Station.

The ECB also provided percentages of the bulk electricity tariff awarded by regulators in southern Africa, which showed that Malawi had increased by (13,5%), Lesotho (4,5%), Swaziland (11,7%), and NERSA (South Africa) (12,69%,). Eskom has applied for an additional 9,58% increase.

Source : The Namibian