Representatives of the two governments held a meeting at Swakopmund on Wednesday and decided to appoint the company called Cunene Project Consortium, Paulinus Shilamba, the Managing Director of NamPower announced on Thursday.

Shilamba was speaking at the opening of the Power Pool meeting of the Southern Development Community (SADC) in Windhoek.

The organisation deals with the trading of electricity.

"We had a meeting of the Permanent Joint Technical Committee (PJTC) this week, which consists of Government officials of both countries.

It was decided to appoint the Brazilian consortium and the pre-feasibility study will hopefully start early next year," Shilamba stated.

He could not say whether a tender process had been followed and whether other companies also applied to carry out the study.

The proposed dam on the Kunene River in the Baynes Mountains is opposed by the local Ovahimba people.

The dam was originally to be built at Epupa, several kilometres upstream, where the scenic Epupa waterfalls are situated.

Epupa has developed into a popular tourism spot.

Although the Namibian Government was prepared to have the dam built at Epupa, which would have submerged the falls and the whole valley with its 5 000 palm trees, the Angolan government was opposed to the site.

After lengthy discussions over several years, Angola agreed to the Baynes Mountains site, where a smaller dam is planned.

Electricity generated from the dam is to be fed via a new transmission line into the existing power grid.

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