[Namibia] NamPower renews agreement with Eskom
Namibia electricity company NamPower has signed a new five-year power supply agreement with South Africa's Eskom.
The parastatal's spokesperson, Tangeni Kambangula, said in a statement that Eskom will supply of 200MW and additional non-firm supply dependent on transmission capacity. She, however, did not disclose financial figures involved.
The agreement was signed in Maseru, Lesotho, on the sidelines of the 42nd Southern African Power Pool (SAPP) executive committee meeting, she said.
“NamPower has entered a number of power purchase agreements of which the biggest import portfolio is with Eskom through this new bilateral agreement in an effort to supplement its generation capacity, improve its import portfolio and have diversified energy sources. In addition, the company has also concluded a number of plans to establish renewable energy projects in the country to enhance its local generation,” said Kambangula.
NamPower said it continues to use all possible means to supplement generation capacity to ensure security of supply.
Berthold Mbuere from NamPower's energy trading unit noted that the power supply situation in Namibia and the region “is currently under control and NamPower will continue to implement various efforts, including demand side management initiatives, to ensure that the delivery of electricity supply services to the national economy is carried out in a sustainable manner.”
With due consideration of the credibility and good standing of the relationship between NamPower and Eskom, NamPower is confident that the agreement will be beneficial to both parties and by extension, to electricity customers.
In a statement on their website, Eskom's interim chief executive, Matshela Koko, said Eskom has turned around and they are now open for business with surplus capacity available to empower economic growth.
He said the agreement provides energy security to Namibia and allows for economic development and growth in the country with no concerns over the availability of electricity.
“It is tragic that our region still struggles to provide access to electricity for all its citizens and to power their industries and mines, stunting economic growth and failing to provide employment for our people,” he said.
He added that Eskom believes that the challenge now is to focus on strengthening the transmission interconnection between the various countries to allow the sharing of the available power.
“Eskom stands ready to supply electricity to the region, allowing the growth of our economies, creating an increased demand for electricity, which in turn will stimulate the regional power generation sector,” he stated.