MSB wheeling framework awaits minister’s approval

The Electricity Control Board (ECB) has approved the sixth version of the wheeling framework to support the operationalisation of the Modified Single Buyer (MSB) market, and to guide the determination and implementation of wheeling services and charges for the use of transmission and distribution networks in Namibia.Electricity ‘wheeling’ allows a generator to sell electricity to a customer to whom it is not directly connected by using the existing infrastructure of another utility. This facilitates the transport of electricity across different locations without the need to build new transmission lines.The approval was one of several decisions taken by the board at its meeting on 12 June 2025.In addition to approving the wheeling framework, the ECB also approved the revised Transmission Grid Code, the revised Distribution Grid Code, the Connection Code, and the Embedded Generation Standard. All three codes have been submitted to the Minister of Industrialisation, Mines and Energy for approval, while the standard has been submitted to the Namibia Standards Institution for adoption.The board further approved the National Connection Charge Code, which has also been submitted to Minister Natangwe Ithete’s office for approval. Ithete, who also serves as Deputy Prime Minister, has been briefed on developments regarding the implementation of the National Integrated Resource Plan (NIRP), through which the government intends to reduce electricity imports to 29% of demand by 2028.Project progressThe recent completion of the Anixas II and Khan power plants has marked further progress in this regard. However, the board has expressed concern about delays affecting the CERIM Lüderitz 50 MW Wind Power Station project, reportedly due to land-related issues.On a more positive note, the recent groundbreaking of the Rosh Pinah solar plant indicates that the expected commissioning in the second quarter of 2026 remains on track. The Otjikoto biomass plant is also still scheduled for commissioning in the second quarter of 2027.Nampower’s own Battery Energy Storage System (BESS) is set to come online in the fourth quarter of this year.“These plants will aid Namibia’s efforts toward achieving electricity supply security and reducing dependence on electricity imports, which are costly,” said ECB Chief Executive Officer Robert Kahimise.Measured approachKahimise emphasised that the ECB continues to take a measured and responsible approach to every step related to improving Namibia’s electricity supply situation, with a focus on ensuring “electricity affordability, reliability, and security of supply, as well as sustained economic and industrial performance.”The ECB also reported on the issue of debts owed by local authorities and regional councils to Nampower.Although the overall debt continues to grow by an average of N$10 million per month, the Rehoboth Town Council remains on a bulk prepayment arrangement. However, its specific debt is increasing by about N$1.2 million per month due to interest charges. Currently, only 10% of the prepaid amount is applied to the outstanding debt. As a result, ECB directors have recommended that Nampower consider suspending interest charges on arrears for local authorities that demonstrate a good-faith effort to settle their debts.NORED, meanwhile, continues to honour its repayment agreement, with arrears standing at N$38.5 million as of early May this year, the ECB confirmed.

MSB wheeling framework awaits minister’s approval

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Republikein 2025-07-15

Meld asseblief aan om kommentaar te lewer

MSB wheeling framework awaits minister’s approval

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Republikein 2025-07-15

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