Determinants of financial performance and sustainability in Namibia's electricity distribution sector

Hilkka Soondaha Etuna Aimwata and Tafirenyika Sunde

Utilities Policy, 2025, vol. 96, issue C

Abstract: This study examines the drivers of financial performance and financial sustainability in Namibia's electricity distribution sector using a mixed-methods case analysis of Central North Regional Electricity Distributor (CENORED). Guided by contingency theory, it integrates econometric modelling and qualitative insights to understand how operational capabilities and external constraints shape utility outcomes. Key predictors include metering quality, staff competence, institutional trust, and socioeconomic stressors such as poverty and unemployment. The study reveals that internal improvements are contingent on local realities. It recommends region-specific tariff reforms, improved governance, and targeted infrastructure investment to enhance utility resilience in fragile political economies.

Keywords: Financial performance; Electricity utilities; Financial sustainability; Namibia; Contingency theory; Governance; Metering; Mixed-methods (search for similar items in EconPapers)
Date: 2025
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Persistent link: https://EconPapers.repec.org/RePEc:eee:juipol:v:96:y:2025:i:c:s0957178725001237

DOI: 10.1016/j.jup.2025.102008

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