Tariff Information2020-09-10T21:38:12+02:00

Tariff Information

No increase in electricity tariffs for Erongo residents

On Thursday, 30 July 2020, the Erongo Regional Electricity Distributor (Erongo RED) announced a weighted average tariff adjustment of -1.6% in compliance with approval from the Electricity Control Board (ECB).

Speaking at the media briefing, the Chief Executive Officer of Erongo RED, Fessor Mbango said that NamPower announced an average tariff adjustment of 0% countrywide in April 2020. Subsequently, Erongo RED submitted an application to the Electricity Control Board (ECB) for a -1.6% tariff adjustment for 2020/2021. The ECB reviewed the submission and has decided to grant a weighted average tariff decrease of -1.6%.

“The -1.6% is attributed by the introduction of the single-season tariff and the change in the Time of Use (TOU) schedule. Thus business customers will see a 0% to a -1.6% reduction based on their usage on their monthly bill, whereas all other customers (residential, pensioners and institutional) will see a zero impact on their monthly bill as tariffs remain unchanged,” explained the CEO of Erongo RED Fessor Mbango.

Mbango explained that before Erongo RED submitted its proposal to the ECB for the tariff adjustment this year various factors were taken into account. “We considered the 0% tariff adjustment by NamPower and the impact it will have on customers, concerns from the community, concerns raised by the Consumer Liaison Committee, envisaged infrastructure development, electrification and operational cost,” said Mbango.

The other factors that the company took into account were, the current economic situation and the impact of electricity cost on its commercial and industrial customers, the impact of COVID-19 on the industries, business and our residential consumers.

Regarding the social tariffs, Mbango said that Erongo RED remains committed to providing subsidized tariffs to registered pensioners up to 40 Amperage. There are currently 6495 pensioners registered on the subsidized tariff.

“The tariffs for the pensioners who are being subsidized will remain unchanged for the 2020/2021 period. Thus, we would like to appeal to all our pensioners to visit the nearest Erongo RED office to re-register again so that they continue to benefit from the subsidized tariff,” Mbango said.

Members of the community who are not able to pay electricity at the normal rate can apply for the lifeline tariff which applies to domestic customers with up to 20 Amperage connection. There are currently 2198 consumers connected to the lifeline tariff. Consumers who would like to benefit from the lifeline tariff are encouraged to visit the nearest Erongo RED office and apply for the lifeline tariff.

Issued by:
Chief Executive Officer
Mr. Fessor Mbango
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

Tariff Analysis2020-10-08T06:15:38+02:00

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.

Consumption Index Table

For more information and advice, please contact the Erongo RED Revenue Protection Division on 064 214 600.

 

Understanding Tariffs2017-02-08T12:05:49+02:00

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.

Step Tariffs2020-10-08T06:00:35+02:00
Time of Use2020-10-08T05:57:33+02:00
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