21 July 2011, Hilton Hotel Fillemon Nakashole Chief Executive

21 July 2011, Hilton HotelFillemon Nakashole

Chief Executive

OPE background Vision, Mission, Values & Slogan Milestones achieved & Activities Capex 2011/2012 Financial Graphs

•White Paper on Energy of 1998 identified need for ESI restructuring with aims to:

•Improve efficiency•Upgrade aging infrastructure•Lower tariffs•Accelerate electrification projects and therefore stimulate economy

•OTC and NamPower agreed for JVC called OPE

•JVC (OPE) was supported by both MME & MLRGH•Some of the objectives of a JVC were:

•Reduction of illegal connections & technical losses•Electrification of urban poor localities of Oshakati•Improved administration of Electricity Services•To keep tariffs affordable, yet sustainable•Reduction of power failures•To grow the Demand for electricity in Oshakati•Rehabilitation of the aging electricity network•Job creation•Make electricity profitable etc,

•OPE established in 2000•Shareholding structure was like:

OTC NamPower

OPE

50%50%

•In 2007, NamPower handed over its share certificate to OTC, which made OTC a sole shareowner:

OTC

OPE

100%

To be the preferred electricity distribution and supply Company in all areas where it operates.

Through effective and efficient service, provide its customers with affordable and reliable electricity, while exceeding shareowners’ expectations, caring for its employees, and expanding its market share.

Transparency Ethical Business Practices Integrity Accountability Teamwork Loyalty Excellence Honesty Commitment Good Corporate Citizen

Energizing Your Future.

Master Plan for Electrification in 2001 Electrification of Uupindi North and Uupindi

South Electrification of Evululuko Ext. 10, 11 & 12 Electrification of Okandjengedi Ext. 15 Erection of 32 scissor high mast lights Equipping almost all streets with street

lights Equipping 6 intersections in Oshakati with Traffic Lights (Robots)

Ensure and enable fast connection to new customers

Ensure that technical losses are less than 10% currently at 7%.

Ensure that debtors pay on time- 32 days Ensure that suppliers are paid on time Setting up of 04 Vending Stations 24 Hours Fault reporting centre

Adequate maintenance of our network to ensure zero power failure◦ Network upgrade (MV & LV)◦ Minisub & Transformer refurbishment

OPE 11kV Intake Station upgrade 11kV Feeder Cables upgrade Power Factor Correction Return to the Shareowners to date N$31Millions.

Online Vending Business intelligence 2 x Vending Stations due to electrification Customer service centre planning Electricity Distribution masterplan update Network upgrade Installation of 15 High Masts lights – total 47 Install new traffic lights at one Junction Power Quality System set-up

Thank youwww.ope.com.naTel: 065 220 229