Erongo RED and the Olthaver and List Cronimet Arandis Solar Energy (OLC) have signed a power purchase agreement at Walvis Bay in the region. Erongo RED is a parastatal that distributes electricity to the local authority, villages and settlement areas in Erongo, while OLC Arandis Solar Energy is a developer of independent power products. The agreement between the two parties is for a period of 25 years. OLC Arandis Solar Energy was the successful bidder of Erongo RED’s tender for the construction of a grid-tied solar power plant with a generation capacity of three Megawatts. Once in operation, the plant will save the parastatal an estimated 127-million dollars over the 25-year period. The 80-million dollar plant will be built at Arandis with a ceremony expected to take place in November. With the new agreement, Erongo RED will supply the electricity, while the Electricity Control Board will provide the regulatory oversight with OLC Arandis Solar Energy the plant operator and seller of generated power. Erongo RED Chief Executive Officer, Robert Kahimise, said the envisaged plant will supplement the company’s drive for renewable energy. He noted that the solar plant will NOT only ease Erongo RED’s electricity bill from NamPower, but also allows consumers access to clean energy at a reasonable price.