Yesterday The Namibian revealed how SELCo had secured 15-year contracts that give it exclusive rights to operate and manage electricity infrastructure of almost all the local authorities in the Hardap and Karas Regions.

Recently the company, which is at the centre of growing community discontent over escalating electricity bills at towns where it has already started operating, told its shareholders that it was confident of signing similar long-term contracts with Mariental and Luderitz. "...

[T]he board believes that SELCo Namibia's track record relating to its existing operations in southern Namibia and the concomitant confidence of the ECB (Electricity Control Board) and the relevant local authorities in SELCo Namibia's capabilities, should ensure the awarding of the Luderitz and Mariental contracts to SELCo Namibia," the company reported in a profit forecast for the financial year ending June 30 2003.

But the Town Clerk of Luderitz, Esau Kangandjera, yesterday said the town's municipality had decided against contracting out the running of its electricity network.

"We were approached by a number of private companies, including SELCo, but the Town Council decided that we would continue to run our network ourselves, we have the capacity," he said.

Mariental Town Clerk Paul Nghiwilepo confirmed that SELCo and Premium Electricity had both made a bid to run the town's network, but said a deal had not been concluded with either company.

"We intend to involve the community of Mariental.

They should be the first to know before we can contract out any utility," he said.

SELCo is a majority South African-owned company with Namibian shareholders - many with strong political connections.

The company's controversial contracts were thrust into the spotlight in the wake of last week's demonstration by Karasburg residents against spiralling electricity costs at the town.

Karasburg residents have accused their Council of "selling" them out amidst allegations that costs have sky rocketed by between 100 and 250 per cent since SELCo took over the operation and management of the Karasburg electricity network.

Local News Headlines Of The Last 48 Hours

•  Delays in tourist murder case test court's patience
•  Fire Minister: RDP youth
•  Cool, rainy weather in South
•  Community farm 'commandeered', residents face a barbed future
•  Court administration takes fast lane at Swakopmund
•  Devastating fire in Okahandja area
•  Huge donation for hospital
•  Veterans Board announced
•  Roessing man accused of assaulting child
•  Region's dream to come true
•  Merlus gets double certification
•  Train wheels grind to a halt as railway strike takes effect
•  Three go free in gang-rape trial
•  AirNam wraps up probe
•  Minister gags cell firms Mobile price wars 'embarrassing' Govt