- Nored owes NamPower an accumulated debt of $200 million
- Electricity customers fail to remit payments
The Northern Regional Electricity Distributor (Nored) currently runs on huge debt due to illegal electricity connections and customers not honouring their monthly bills on time.
The distributor presently owes NamPower an accumulated sum of $200 million. This was revealed in an induction training session of local and regional councillors in the Oshana region at Oshakati last week.
Nored’s chief financial officer, Ndapandula Tshitayi, at the event, told councillors and stakeholders that the company has an arrangement with NamPower to settle its debts over a certain period.
Philemon Nakashole, Nored’s chief executive officer, said the company is faced with numerous challenges, such as a high rate of copper theft, which continues to hamper its ability to serve its customers and stakeholders efficiently. In addition, he said the trend is increasing, resulting in constant power failures at several towns and settlements.
NamPower supplies regional electricity distributors such as Nored with bulk electricity. However, Nored is nearly insolvent due to deteriorating financial statements and failing to pay its creditors on time.