The Environmental Investment Fund (EIF) has signed a Memorandum of Understanding (MoU) with the Erongo Regional Energy Distributors (ErongoRed) to provide 32 shack dwellers community houses with electricity.
The EIF’s latest electrification development is signed through its Towards an Inclusive Design of the Renewable Energy Transition (TIDRET) Project.
EIF’s Chief Operations Officer Karl Aribeb said the homeowners are low-income working individuals, who cannot afford to purchase supply equipment to connect to the grid due to the costly pricing of electrical installations.
“The electrification drive further targeted individual households within the identified communities of which 50% are women-headed households and MSMEs looking to pilot and scale their inclusive business models and solutions are enterprises that include low-income people as customers, owners, employees, producers and entrepreneurs at various points within the value chain,” said Aribeb.
Speaking at the signing of the MoU, Erongo Region Governor Neville Andre Itope stated that the signing of the MoU is a step in the right direction in terms of reaching the TIDRET goal of electrifying 300 households and five MSMEs.
“We will establish a working concept for the installation and supply chain function that speaks to current market needs. This collaboration will develop an alternative financing model that addresses a gap in the renewable energy financing segment, such as for example developing and applying funding models like concessional loans or results-based funding/development, targeting in particular female/women-lead, vulnerable households,” said the Governor.
Itope further explained that meeting electricity demands in vulnerable areas is difficult because of the increased demand.
“It is a reality that post-independence a significant portion of the Namibian rural and peri-urban population still does not have access to modern energy technologies and services. The existing supply of electricity cannot cover its demand, especially in times of a changing climate and increasing requirements for clean and sustainable energy solutions,” he said
The MoU was signed by the Chief Executive Officer of Erongo Red, Immanuel !Hanabeb and Chief Operations Officer, Karl Aribeb of the EIF on behalf of the Chief Executive Officer.
The MoU outlines the duties and functions pertaining to the solar electrification of the identified communities in the three regions which includes funding solar installation coupled with mentoring, capacity building and technical development training for MSME owners.
