Tariff Information
ERONGO RED TARIFFS FOR THE 2024/2025 FINANCIAL PERIOD
Dear Esteemed Stakeholders and Customers,
The subject of electricity tariffs often evokes strong emotions and interest among our stakeholders, especially given the impact that tariffs have on households and businesses. As a company, we understand the critical responsibility we bear in delivering essential services, and we remain steadfast in our commitment to ensuring the distribution and supply of safe, reliable, sustainable and accessible electricity to all our customers.
In April 2024, the Electricity Control Board (ECB) announced an increase in NamPower’s average tariff from N$1.98 per kilowatt-hour (kWh) to N$2.14 per kWh for the 2024/2025 financial period. Subsequently, Erongo RED engaged withvarious stakeholders, including our Board, Shareholders, and the Consumer Liaison Committee, before submitting our tariff adjustment application to the ECB. The ECB subsequently approved a 6.6% tariff adjustment, effective 01 July 2024. However, the ECB later revoked this decision after government intervention.
At Erongo RED, we continue to prioritise support for pensioners and low-income community members through subsidised tariffs. To ensure the integrity of these subsidies, we encourage pensioners to re-register annually to remain eligible. Wealso urge qualifying community members to apply for social tariffs by visiting their nearest Erongo RED office. Terms and conditions will apply, in accordance with our Social Tariffs Policy. In addition, we offer debt management and payment extension options. The purpose of the Debt Management Scheme is to allow consumers who have been disconnected due to non-payment to have access to electricity while settling their debts. All these initiatives are designed to protect the most vulnerable members of our community. During the 2023/2024 period, Erongo RED invested over N$20 million to support pensioners and vulnerable households. We are committed to easing the financial burden on these groups while maintaining the highest standards of service.
With regard to infrastructure development, we are focused on reliable infrastructure by investing in various network upgrades and development projects. With these investments, we ensure that our distribution network is robust and reliable, and able to meet the needs of our communities. Over the next twelve months, we will continue to invest in upgrading and maintaining our electricity infrastructure.
Our key objectives include:
• Completing the feasibility study and commencing procurement for a 20 MW
Solar PV Plant;
• Electrifying 850 houses in DRC, Swakopmund, and other projects in Henties Bay,
Walvis Bay, Karibib, and more;
• Upgrading the Walvis Bay Old Power Station and replacing secondary switchgear; and
• Completing the Swakopmund Bulk Upgrade
In addition to these investments, we are exploring alternative sources of cheaper electricity. Recently, our Board approved a 20 MW solar project, with plans to appoint a strategic partner for its development soon. This tariff booklet provides detailed information on the adjustments across various categories and offers useful electricity saving tips for residential consumers. It also includes Erongo RED’s contact information, should you require assistance.
I would like to express my sincere gratitude to all our stakeholders for your continued support.
Issued by:
IMMANUEL TINO !HANABEB
ERONGO RED: CHIEF EXECUTIVE OFFICER
064 201 9000
For further information, kindly contact:
Mr. Benjamin Nangombe
Corporate Communication & Marketing Specialist
064 201 9000/ 0811426176
ABOUT ERONGO RED
Erongo RED is an electricity distributing company established in 2005 and is registered under the Companies Act of Namibia. The company has a significant presence in Erongo Region; and currently provides electricity to towns and villages in the Erongo Region and their surrounding farming and rural areas. It is the only company in Namibia that now offers electricity as low as N$1,44* (excluding NEF and ECB Levy) per unit. Erongo RED has through the implementation of the new tariff structures actually empowered the consumer to be in control of his/her electricity bill.
*terms and conditions apply
The suite of electricity tariffs at Erongo RED is designed to cater for a range of electricity consumption profiles. Where a customer implements a change in plant operation that alters the electricity consumption profile, it may be necessary to migrate to alternate tariff structures to avoid unnecessary electricity charges.
Erongo RED also works closely with various large power users to provide advice on energy efficiency matters with the intention of helping customers to attain high levels of energy efficiencies within their industrial unit.
Customers are encouraged to periodically study their load profiles and ensure that they purchase electricity on the most efficient tariff structure available.
For more information and advice, please contact the Erongo RED Revenue Protection Division on 064 214 600.
Network Demand Charge (NDC): is a charge that is variable on a monthly basis and is charged on the actual charge demand measured.
Network Access Charge (NAC): The network access charge should be the highest kVA that the customer expects the utility to be in a position to supply. The NAC is a tariff component that is fixed on an annual basis and is charged as a Charge N$/kVA on the greater of the Notified Maximum Demand or the actual demand.
Time of Use (TOU): means that the use of electricity at peak hours will be charged at a higher price than the normal flat rate.
Notified Maximum Demand (NMD): is the maximum demand notified in writing by the customer, which the customer requires in order to be in a position to demand and remains in force for a period of one year. Service Charge: is a fixed charge payable per account to recover service related costs.
