CoW takes Ongos fight to court
The Windhoek municipality (CoW) approached the high court to stop Ongos Valley Development's (OVD) plan to generate its own power, arguing that the CoW has the sole right to supply power to all developments within the capital's borders.Ongos approached the CoW in July 2019 and indicated its intention to develop a virtual power plant (VPP) using renewable energy through solar power as part of its plans to establish a "green city".
OVD is located on the northwestern outskirts of Windhoek.
Electric industry players have warned that the municipality could lose millions of dollars in potential revenue if Ongos gets its way.
There are also fears that, if the CoW does not seek to stop Ongos' plans, it could pave the way for other developers and businesses with the financial capacity to generate their own power.
The municipality further argues that the Minister of Mines and Energy, Tom Alweendo, who gave Ongos the right to develop its own power plant, is not legally authorised to approve such requests.
The argument is contained in an affidavit that Moses Matyayi, the CoW's chief executive, submitted to the high court on 22 August.
'Acting unlawfully'
Alweendo is also accused of acting unlawfully after granting a power generation licence to Ongos last year, despite the development falling within the city limits.
Matyayi presented his case as to why the minister's decision was illegal, arguing that normal procedures were not followed. "It should be the second respondent (Electricity Control Board) who should have made the decision only after the first respondent (minister) and after being allowed to be heard by the applicant (Ongos). All this did not happen," he said.
Matyayi argued in his affidavit that the municipality received a letter in which they were informed of the minister's decision without being given an adequate opportunity to respond to Ongos' request. "Furthermore, the decision is unfair and unreasonable. This is on the basis that, after the first respondent wrote to the applicant on 15 June 2022, the applicant was still busy preparing his answers when he (suddenly) received a response from the second respondent in which the first respondent's illegal decision was contained," he said.
In communication with the OVD developers, the municipality has long argued that it has the right to supply electricity within its borders and can supply end users with power.
The CoW's acting chief executive, George Mayumbelo, has reportedly informed OVD that the municipality will be responsible for power generation within city limits.
"It should be noted that the proposed model of operations and maintenance of the distribution network has been extensively discussed by the developer, and the council has decided not to support Ongos Valley Development's proposal as it can supply power to the end users distributed in its distribution license territory.
"The council plans to take over the power distribution of all its developments in its license area. It should also be noted that the license area of the [City of Windhoek] has been extended," Mayumbelo said in a letter to Ongos, dated 23 June 2021.
Matyayi requests the court to grant a review of Alweendo's decision.
Matyayi is represented by Gilroy Kasper, while Appolos Shimakeleni acts as OVD's legal representative.