The Electricity Control Board (ECB) has conditionally granted the City of Windhoek a 7.9% tariff hike as opposed to the 10% increase proposed by the municipality.
To finalize approval, the ECB has requested the City of Windhoek to submit an updated progress report on the ring-fencing of its Electricity Department.
This comes as ECB’s Executive for Technical Regulation, Petrus Johannes, also revealed on Thursday that NORED’s approved 6.6% increase is also on hold until it complies with the board’s conditions.
“NORED must submit audited, up-to-date financial statements for the 2022 financial year,†he said.
He added that NamPower Distribution received a 6% increase from its 6.4% application while CENORED will receive a 6% increase from its proposed 7.5%.
He said Okahandja and Omaheke will receive a 6.2% and 1.5% tariff increase, respectively.
“CENORED will be consolidated as one tariff as from the 2025/2026 financial year,†he said.
Meanwhile, Erongo RED will get a 6.6% increase from its 7.3% application, and the Keetmanshoop Electricity Business Unit (KEBU) will receive a 6.4% increase as opposed to a proposed 7.1%.
Oshakati Premier Electric applied for 7% but will receive 6.4%, and Rehoboth Town Council will receive a 6.4% increase out of the 8.9% application.
“The tariffs requested by licensees differ due to different cost structures per licensee,†Johannes said. “I wish to take this opportunity to assure end-consumers who participated in the public consultations that their inputs were considered in the distribution tariffs that I announced a moment ago. The key concerns that emanated from the public consultations are: electricity access, affordability, and service delivery by the licensees.â€
He, however, commended the distribution utilities for complying with the directive to submit their tariff applications on time.
“As we cautioned during the last tariff review period, all distribution utilities ought to apply for their annual tariff reviews immediately after the announcement of the NamPower bulk electricity tariff. This is so because utilities that do not apply for tariff adjustments in time to coincide with the implementation of the bulk tariffs, which is effective 01 July 2024, stand to lose revenue because they will be selling electricity based on outdated tariffs while purchasing on new tariffs, especially pre-paid revenue that is collected through pre-paid sales,†he said.
