The Environmental Investment Fund (EIF) of Namibia and the Northern Electricity Distributor (NORED) have signed a memorandum of Agreement to facilitate the construction of a 300kV mini-grid in Puros, a remote region located in the Kunene Region.
According to EIF, the solar mini-grid will include a distribution network to provide energy to 164 households and approximately 500 individuals.
“With a total estimated investment of N$12 million secured from the Ministry of Mines and Energy and the European Union, the project will further support local businesses such as campsites, lodges and shops to foster economic development,” said EIF.
The Fund noted that the construction is scheduled to begin in October 2024 and is expected to be completed within six months.
Upon completion, NORED will take ownership of the solar plant and implement a social tariff to generate revenue for ongoing maintenance beyond the TIDRET funding.
This comes as EIF and NORED, in collaboration with the Ministry of Mines and Energy and the European Union, signed a Memorandum of Agreement under the Towards an Inclusive Design of the Renewable Energy Transition (TIDRET) project.
As part of this initiative, the TIDRET project aims to expand access to affordable solar and renewable energy technologies across three targeted regions—Otjozondjupa, Kunene, and Erongo.
NORED Acting Chief Executive Officer, Toivo Shovaleka, said upon successful completion of this project, NORED expects a new lease of life for the local community of Puros as about 115 new connections are estimated to be made.
“Additionally, we are equally expecting this new venture or project to make a tangible impact and spur economic growth and enhance socio-economic welfare within the local communities of Puros and the Region at large,” he said.
Shovaleka noted that this project aligns closely with national development plans as well as with several United Nations Sustainable Development Goals, particularly SDG7, which focuses on providing affordable, reliable, and sustainable clean energy to rural populations.