Erongo power firm wards off planned protest over tariffs

IN a move to ward off a protest over its tariff increases last Friday, the Erongo Regional Electricity Distributor (Erongo RED) announced that it would cap all pre-paid electricity tariff increases at 30 per cent.

According to Erongo RED CEO, Gert Coeln, prepaid-electricity consumers in Swakopmund paid 97 cents per unit before the overall electricity hike of 18 per cent was introduced on July 1. Since then, prepaid consumers have had to pay N$1,67 per unit. This caused an uproar amongst low-income consumers who threatened to protest last Friday, with up to 300 people expected.While the overall increase was 18 per cent, the community saw a significantly larger increase – especially those making use of pre-paid metres.’Before the hike, we could get 101 units for N$100. Now we’re getting 59 units for N$100. This is more than 18 per cent. It looks more like 40 per cent, and no one wants to tell us how they came to this,’ the source said.The Electricity Control Board (ECB) gave Erongo RED the go-ahead to cap all pre-paid tariffs. The cap means that pre-paid consumers will now only pay N$1,30 per unit. ‘What’s more is that those customers that paid the full price (of N$1,67) since July 1 will receive letters of credit. When they go and buy electricity again, they will be credited on the N$1,30 per unit charge,’ Gert Coeln told The Namibian.He said it was decided to adjust the tariffs over a two-year period instead of introducing a ‘once off’ increase, which could be a shock to low-income consumers.’This is proof that we hear the concerns of the people and this decision should be in line with their concerns,’ he said.While Friday’s planned protest was stopped in its tracks, spokesperson of the concerned residents, Michael Delenge, said that the issue was not the tariff increase as such, but rather the general affordability of electricity for the poor.One electricity consumer told The Namibian that Erongo RED’s concession ‘sounded good’.Gert Coeln said public meetings are planned for the coming Friday to explain the new tariffs to residents.adam@namibian.com.na