Wawasan Open University (WOU) established in 2007 has been adopting the latest applications in e-learning along with the principles and practices of open education movement. This paper reports the development of OER-based e-learning in the University since 2011 after the commencement of the OER-Asia initiative and the formulation of an OER Policy and adoption of the Open License Policy. The paper also reports the OER initiatives and integration of OER-based e-learning in course development in WOU in which courses materials were developed using either the ‘wrap around textbook’ or the ‘stand-alone’ model. Further attention is channelled towards the integration of OERs in the development and delivery of the course EED502/05 ICT in Education. Guidelines and challenges of working with OERs in course development for the said course are also highlighted. Finally, the paper attempts to discuss how integration of OERs in course development has made a positive impact on the quality and cost-effectiveness of course development and presentation.