Nored to cut off customers in arrears for 30 days or more

The Northern Regional Electricity Distributor (Nored) says it will start cutting off electricity supply to customers whose accounts have been in arrears for 30 days or more.

This is meant to encourage them to pay as Nored pushes to settle its debt with NamPower.

The Namibian last year reported that NamPower’s managing director, Simson Haulofu, said Nored is its biggest headache as the distributor accounts for 23% of its debt book.

Currently the national power utility is owed about N$1,8 billion by its customers, including bulk power consumers.

Nored spokesperson Simon Lukas in a statement says all defaulting customers are reminded to settle their accounts in full or make payment arrangements with Nored on or before 17 June to avoid disconnection.

“To enable Nored to continue delivering on its mandate, that of ensuring the supply and distribution of electricity to its customers, it is important that customers honour their commitment of paying their electricity on time,” he says.

Lukas says many defaulters are using electricity for free, straining services to paid-up customers.

He, however, cannot tell how much Nored is currently owed by defaulters.

The electricity distribution company is busy drafting a statement on this, he says.

“But we have people who have been using electricity for free and we want to put an end to that. Everyone must pay up, because if everyone decides not to honour their electricity bills, I don’t think we will be able to provide services to those who are in much need of our services. We will issue a formal statement next week,” he says.

NamPower spokesperson Tangeni Kambangula says many of its creditors have not managed to settle their outstanding debts with NamPower.

The total debt owed to NamPower stands at N$1,8 billion as at 30 April, she says.

“NamPower continues to engage its customers on their overdue accounts, and during these engagements, NamPower encourages defaulting customers to offer instalment arrangements, which they can honour to help reduce their outstanding debts.

“Customer engagements are on an ongoing basis and NamPower has always tried to enforce debt collection in line with its credit policy,” she says.

Kambangula says Nored has an arrangement in place with NamPower.

She can, however, not state how much Nored owes NamPower.

“That is unfortunately privileged customer information that we cannot provide,” she says.

Over the past years, Nored has not been honouring its huge debt to NamPower, resulting in constant power failures and interruptions in the northern regions.