NamPower has increased its electricity price to bulk consumers, increasing municipalities by a whopping 13.9 percent. This was done in consultation with the Electricity Control Board. The initial price hike was near 19%, but was lowered by five percent. The step was necessary after Eskom in South Africa increased its electricity tariffs. Electricity demands will outstrip Eskom’s supply capacities by 2006/07. New electricity sources will have to be found and electricity will become a lot more expensive over the next few years. This will not only affect South Africa and Namibia, but other SADC countries as well. This topic will be on the agenda for a SADC power pool meeting hosted in Windhoek on 14 April, where all power utilities of the SADC member states will meet. NamPower intends to build a 30 MW power plant on the Okavango River next to the scenic Popa Falls, which received severe criticism in Namibia and Botswana. Another option is to construct 2 small hydropower plants on the Orange River, once the boundary dispute with South Africa is set aside. According to the MD of NamPower, Dr Leake Hangala, new electricity sources for Namibia will become necessary by 2007.