Windhoek:Industries, Mines and Energy Minister Modestus Amutse has urged electricity suppliers to reduce costs before implementing tariff increases. This call was made during the opening of the Namibia Electricity Supply Industry Forum.
According to Namibia Press Agency, Amutse emphasized the importance of ensuring that all reasonable measures are taken to minimize service costs before asking the public to pay more. He questioned the Electricity Control Board on the necessity of approved tariff increases and sought evidence of efficiency expectations being met.
Amutse also highlighted the importance of showing how savings from digital platforms benefit customers, urging NamPower and distributors to demonstrate the path from investment to household savings. He referenced data from the Namibia Statistics Agency, noting that historical figures should not be used to represent current incomes, and discussed the challenges faced by households below the poverty line.
He raised concerns about the affordability of tariffs, noting that even properly calculated tariffs might be beyond some families' means. He pointed out that prepaid customers could be going without power without anyone noticing, as their meters could stop supplying electricity without a disconnection team visiting.
Amutse called for a policy response to ensure that households can afford basic electricity levels and requested each institution at the forum to identify an action, a responsible person, and a date to address these issues. He also urged the development of a standard method to assess the cost of basic household electricity services.
The forum's theme is Driving Affordable Energy Transformation Through Digital Innovation, Collaboration and Investment, and Amutse expects the next gathering to report on progress made in reducing costs and improving services.