Namibian electricity distributors, such as Erongo RED and the City of Windhoek, have started imposing caps on solar PV electricity production. They are refusing to approve licences for new solar systems installed by consumers, even if these are for self-consumption only.

Kandjoze said in the interim a number of new electricity generation projects have been initiated, including through the Renewable Energy Feed-in Tariff (REFIT) programme, as well as by NamPower and the Regional Electricity Distributors.

Small scale renewable energy producers are expected to play a leading role in the sector, thanks to the Renewable Energy Feed-in Tariff (REFIT) interim programme that will add 70 MW to the grid this year.