Rehoboth Town Council addresses N.dollars 190 million debt to NamPower

REHOBOTH: The Rehoboth Town Council (RTC) has shed some light on the town’s financial challenges, particularly the mounting debt owed to NamPower, Namibia’s national power utility, amounting to a staggering N.dollars 190 million.

The Hardap Region town has been grappling with financial constraints and the council’s debt to NamPower has raised concern among residents and local authorities.

The debt has accumulated over the years, leading to increased scrutiny of the town’s financial management.

In an interview with Nampa recently, RTC’s acting Chief Executive Officer, Ronald Windswaai expressed the council’s commitment to addressing the issue head-on.

‘We are fully aware of the outstanding debt to NamPower, and it is a matter that we take seriously. We are actively working on a sustainable solution to settle the debt while ensuring the uninterrupted provision of essential services to our residents,’ he said.

He noted that one of the key factors contributing to Rehoboth’s financial challenges is the town’s
heavy reliance on prepaid electricity. According to recent statistics, a staggering 95 per cent of the town’s residents utilise prepaid electricity. This reliance has resulted in the town council spending approximately N.dollars 6.5 million per month on purchasing prepaid electricity from NamPower, he said.

‘The high percentage of residents on prepaid electricity places a significant financial burden on the council. The need to consistently purchase electricity from NamPower has contributed to the accumulation of the debt. We are exploring strategies to diversify our energy sources and improve the financial sustainability of the town,’ he said.

The CEO noted that RTC is actively engaging NamPower to negotiate a viable repayment plan and explore potential solutions to alleviate the debt burden. Additionally, the council is looking into alternative energy sources and initiatives to reduce overall electricity expenses.

‘As Rehoboth navigates these financial challenges, we encourage residents to be patient as
the council works hard to find a balanced solution that ensures the wellbeing of both the council and its residents,’ he added.

Rehoboth residents, meanwhile, have expressed concern about the potential impact on services and the need for transparent communication from the council regarding the debt resolution process.

RTC owes NamWater N.dollars 14 million, while residents owe the council N.dollars 200 million in water debt.

Source: The Namibia Press Agency

Rehoboth Town Council reaches end of 2019-2024 strategic plan

REHOBOTH: Ronald Windswaai, Acting Chief Executive Officer (CEO) of the Rehoboth Town Council (RTC), has said that the council has reached the end of term for its strategic plan for 2019-2024.

He stated that even though the council was unable to meet all of the targets outlined in the strategic plan, it intends to deliver on the remaining objectives. The council will meet to assess the strategic plan at the end of January 2024.

Windswaai succeeded Simeon Kanime, who resigned from office in February 2023.

In an interview with Nampa, Windswaai stated that the majority of the issues the council faced over the term of the strategic plan were related to basic service delivery under Section 31 of the Local Authorities Act.

He stated that these services are constantly in demand due to the town’s expansion.

‘The previous census in 2011 showed that the population of Rehoboth was more than 40 000, and I believe we have surpassed that amount,’ he said.

He stated that when the new council took office in 2020, the e
xisting strategic plan was in place with the aim of achieving some of the objectives. However, as with any new council, there were challenges.

Windswaai said the council was able to tackle the majority of its development projects with ‘enthusiasm and determination’ to meet the town’s development goals by 2023.

He said the first project was the long-awaited bitumen upgrading of Luketz Swartbooi Road, for which a local company, Sebke Civil Contractor, was contracted by the RTC Technical Department and supervised and managed by Helios Engineering Consultants.

He further stated that the second project execution step is to appoint and hand over the land to HosDax Investment CC, a local entrepreneur, for the fencing of the soon-to-be built Sports Complex in Block E.

Windswaai also stated that RTC was able to enlarge the town’s current cemeteries because they had reached capacity, as well as upgrade and create a new cemetery site, which will be supplied as soon as the contractors are nearly finished.

He went on
to say that the council’s most notable success, among others, was the construction of the first fire station, which cost N.dollars 4.1 million and was inaugurated in November 2023.

Source: The Namibia Press Agency