Niël Terblanché
The government has reiterated that it does not intend to profit from the electricity sector, aiming instead to ensure the industry is affordable, reliable, and self-sustaining.
This message was delivered by Robert Kahimise, chief executive officer of the Electricity Control Board (ECB), during the Regional Energy Regulators Association of Southern Africa (RERA) media briefing in Windhoek.
“The electricity industry faces challenges in balancing affordability, reliability, and sustainability, all while remaining financially viable,” Kahimise said.
He reiterated that the government’s goal, through regulatory mechanisms, is not to profit but to subsidize costs where necessary and maintain an efficient and self-sustaining industry.
“The intention is for the electricity sector to sustain itself,” Kahimise explained, stressing the importance of managing operational costs through subsidies.
He pointed out that government subsidies have been crucial in keeping electricity affordable for the public.
“For instance, earlier this year, the Namibian government allocated N$365 million to subsidize electricity, staving off a potential 8% tariff increase for consumers,” he said.
Kahimise made it clear that apart from taxes, the government does not derive revenue from the electricity sector
RERA plays an essential role in the Southern African Development Community (SADC) by promoting the harmonization of energy regulatory policies across the region.
Established in 2002, RERA aims to create a unified regional energy market that is efficient, sustainable, and investment-friendly.
Over the years, the association has introduced important initiatives such as frameworks for independent power producers (IPPs) and cross-border energy exchange agreements to bolster regional cooperation.
The meeting in Windhoek also provided a platform for discussions on ongoing projects and initiatives under RERA’s purview.
These include strategies to enhance universal access to clean and affordable energy services and to foster investment in the region’s energy infrastructure.
Kahimise said that Namibia aligns with these goals, particularly by focusing on renewable energy projects, which contribute to lowering carbon emissions and promoting sustainable energy solutions.
At the event, Francois Robison from the ECB was announced as the interim executive director of RERA for six months, succeeding Elijah Sichone, who had served for 19 years.
RERA chairperson, Skhumbuzo Tsabedze, praised Robison’s vast expertise in the energy sector, noting that his leadership will be critical during this transitional phase.
Robison expressed his gratitude for the opportunity and pledged to uphold RERA’s high standards while continuing to advance its strategic goals.
Kahimise said that RERA continues to lead efforts to harmonize energy policies in Southern Africa and added that Namibia’s participation, and its commitment to maintaining an affordable and reliable electricity industry, reaffirms the country’s role as a key player in the regional energy landscape.
