Landless People’s Movement (LPM) local authority councillor at Otjiwarongo, Sebetius Guiteb on Tuesday called for a shutdown of the Central North Regional Electricity Distributor (Cenored), alleging it is on a shopping spree.
Guiteb at a media conference here called on other local authority councillors to also relook at what grounds Cenored was created for.
The company which was created to generate money and pay dividends to shareholders such as regional and local authority councils has failed to do so, but it is instead: “On a shopping spree of cars, buildings and into paying fat salaries to its executives.”
The LPM Otjiwarongo branch secretary further accused Cenored of depriving the local authority’s finances, saying before the Otjiwarongo Municipality handed its electricity department to it, the municipality would in 2003 generate over N.dollars 43 million a year from electricity sales.
“But since inception in 2005, Cenored only paid us over N.dollars 6 million in dividends, which is not enough,” he fumed.
Guiteb now wants the Otjiwarongo Municipality to pull out of Cenored and restart supplying power itself, like Oshakati’s Premier Electric company, stating that the high electricity tariffs currently experienced by consumers will be a thing of the past.
Cenored Public Relations Officer, Charlie Matengu on Wednesday reacted, saying Cenored has a dividend policy approved by shareholders who are mostly the local authority councils.
“We pay them money on a monthly basis in surcharges, which is the money Cenored collects from the sales of electricity units on their behalf,” he said.
Matengu stated that Cenored’s charges are all uniform, with different surcharges which makes electricity tariffs to be different.
He added that only two levies are added to its electricity charges as that of the National Energy Fund and Electricity Control Board (ECB).
He said the complexes Cenored acquired are strictly for office accommodation, while vehicles are for heavy duties.
“Therefore, we cannot close the company which is regulated and closely monitored by ECB and shareholders on a sole mandate of electricity supply,” he said.
Source: Namibia Press Agency
