Technological advances and the Coronavirus disease (COVID-19) pandemic have forced higher education institutions to be innovative in delivering education in their countries. E- assessment using e-portfolio illustrates the importance of assessment practices that promote constructivist perception, allowing students to create their own learning as active participants through innovative learning and assessment activities. The purpose of this paper was to explore lecturer's understandings on the functionality of e-portfolio as an alternative assessment in an Open Distance e-Learning (ODeL). For this qualitative study, within an interpretative paradigm, interviews were conducted with four lecturers using thematic approach. The findings revealed that e-portfolio is beneficial for assessment in the ODeL as it allows students the opportunity to self-embrace their learning, e-portfolio enhances student-centeredness through authentic assessment practices. However, e-portfolio is not implemented to its potential due to challenges and constraints experienced by lecturers. Based on the findings, it is recommended that training workshops beneficial for lecturers should be conducted at the beginning of the course/module on how to create their e-portfolios. Furthermore, an e-portfolio assessment framework to be facilitated for the successful implementation of e-portfolio assessment strategy.