Keetmans, Erongo deal under scrutiny
The Keetmanshoop municipality is finalising its agreement with Erongo RED for electricity supply after a fallout with SELco.
The arrangement pertaining to power supply at the southern town of Keetmanshoop between the municipality and regional electricity distributor, Erongo RED is currently under scrutiny according to Keetmanshoop municipal spokesperson Dawn Kruger.
According to her, senior personal at both the municipality and Erongo RED are attending to the contract, which upon completion will transfer the responsibilities once provided by the Southern Electricity Company to the regional electricity distributor.
Kruger could not be drawn to say when the deal would be finalised. “The agreement is currently being scrutinised by the Board and Management of Erongo RED, and the Keetmanshoop Municipal Council for approval and the terms will be communicated as soon as all the necessary approvals have been obtained,” she said.
The Keetmanshoop municipality is in the process of entering into an electricity management contract (EMC) with Erongo Red to handle the day-to-day operations of the newly established electricity business unit at the municipality, until such time that the envisaged SORED is established.
However, explaining probable structure of the deal with Erongo RED, the business unit will be managed by qualified engineer until such time that the position of area manager for the business is filled. The acting area manager will put processes in place for the running of the business unit. The area manager will report to the CEO of the Keetmanshoop with dotted-line reporting to the CEO of Erongo Red.
The municipality was also in the process of obtaining funds from the National Energy Fund to ensure continuation of operations.
“The municipality is in the process of obtaining funds from the National Energy Fund as bridging capital and to purchase material for the continued operations,” she said.
“The disputed NamPower account will be settled from the N$10 million outstanding debtors [owed the municipality] and the remainder from the funds withheld by SELCo. The municipality decided to resolve the dispute with SELCo through legal channels,” added Kruger.
She also called for calm, saying that her municipality would ensure power supply is not interrupted. “The Keetmanshoop Municipal Council wants to ensure the residents of Keetmanshoop that the situation is under control and that there is no danger of electricity down time,” concluded Kruger.
OGONE TLHAGE
According to her, senior personal at both the municipality and Erongo RED are attending to the contract, which upon completion will transfer the responsibilities once provided by the Southern Electricity Company to the regional electricity distributor.
Kruger could not be drawn to say when the deal would be finalised. “The agreement is currently being scrutinised by the Board and Management of Erongo RED, and the Keetmanshoop Municipal Council for approval and the terms will be communicated as soon as all the necessary approvals have been obtained,” she said.
The Keetmanshoop municipality is in the process of entering into an electricity management contract (EMC) with Erongo Red to handle the day-to-day operations of the newly established electricity business unit at the municipality, until such time that the envisaged SORED is established.
However, explaining probable structure of the deal with Erongo RED, the business unit will be managed by qualified engineer until such time that the position of area manager for the business is filled. The acting area manager will put processes in place for the running of the business unit. The area manager will report to the CEO of the Keetmanshoop with dotted-line reporting to the CEO of Erongo Red.
The municipality was also in the process of obtaining funds from the National Energy Fund to ensure continuation of operations.
“The municipality is in the process of obtaining funds from the National Energy Fund as bridging capital and to purchase material for the continued operations,” she said.
“The disputed NamPower account will be settled from the N$10 million outstanding debtors [owed the municipality] and the remainder from the funds withheld by SELCo. The municipality decided to resolve the dispute with SELCo through legal channels,” added Kruger.
She also called for calm, saying that her municipality would ensure power supply is not interrupted. “The Keetmanshoop Municipal Council wants to ensure the residents of Keetmanshoop that the situation is under control and that there is no danger of electricity down time,” concluded Kruger.
OGONE TLHAGE
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