Construction
N$10
Feb - Mar 2018 | Vol. 3 / No 1
BREAKING
& Mining
NAMIBIA
The essential magazine for Namibia’s construction and mining industry
GROUND
Construction & Mining Namibia, February - March 2018
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Construction & Mining Namibia, February - March 2018
Editorial Welcome to yet another edition of Namibia’s Construction and Mining. Allow us first to welcome Hon. Tom Alweendo and Hon. John Mutorwa , who were appointed Ministers of Mines and Energy and Minister of Works and Transport respectively, key ministries that impact on of sectors. We look forward to the hosting of this year’s edition of the Mining Expo and Conference in April. The annual event will run under the theme, “Maximizing the multiplier effect from Namibia’s mining sector.” With a lot of smaller mining operations coming on stream, the discovery of cobalt near Opuuo and the licensing of the Lead and Zinc mine outside of Swakopmund, we welcome these positive developments, which will also have a direct bearing on employment creation. In this issue, FNB reviews the latest housing index based on statistics from December 2017, including
CONTENT
its bullish outlook for the sector, despite forecasted moderate economic growth in 2018. We also explore green energy in Grid tied-systems, Aerial Surveying with Unmanned Aerial Vehicle systems and tips on to reducing construction machinery downtime. DBN’s footprint is being felt across the country, with the launch of the new SME centre in Windhoek .Kudos to them for believing in the future. We congratulate all our partners and industry players who scooped awards at the PMR Africa awards. We look forward to covering a wide range of issues more specifically in Mining, Energy and Infrastructure. We would definitely welcome back past contributors and builders with whom we’ve worked with in the past. Email us if you are interested in featuring a new project or discussing insightful industry observations. Keep reading
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CIF and Manwu agree on future icrease of minimum...
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Small is beautiful for Namibia
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Ethiopia builds Africa’s first energy plant that converts...
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Aerial surveying with UAV’s
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Namibia’s roads ranked the best in Africa
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AFDB approves N$ 2,000m for rail and road works...
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Modest house price growth of 4% in 2017
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Namibia’s Neckartal Dam ready to collect water
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Concord Namibia, which forms part of the concord...
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Construction of World’s Largest Diamond Mining...
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Newly Renovated John Meinert branch
Roxy Silta Tjarukua
CREDITS
Design and Layout Marcolino Justino designer@constructionnam.com +264 81 668 2855
Marketing Caryn Chanengeta marketing@constructionnam.com +264 81 2967087 Business Developer Roxy Silta Tjarukua info@constructionnam.com +264 81 432 8467 Printers John Meinert Printers
On the cover
Photo credit: Arthur Peuckert
Construction Namibia:
Concrete Construction & Mining Namibia, February site - March 2018
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Namibia’s Construction and Mini
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Construction & Mining Namibia, February - March 2018
ing magazine congratulate you all
Construction & Mining Namibia, February - March 2018
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NEWS
CIF AND MANWU AGREE ON FUTURE INCREASE OF MINIMUM WAGE PAYABLE IN CONSTRUCTION SECTOR
The Construction Industries Federation of Namibia (CIF) and the Metal and Allied Namibian Workers Union (MANWU) have signed a Collective Agreement which includes the future increase on minimum wage payable in the industry, which will be 5.6% for selected job categories in the construction sector. At this stage it is not clear when the increase on minimum wage payable will become effective.
In order for the increase of minimum wage payable and the minimum employment conditions to be implemented, the Minister of Labour, Industrial Relations and Employment Creation, Hon. Mr Erkki Nghimtina, is requested to promulgate the extension of the Collective Agreement, and therefore the agreed minimum wage payable and minimum employment conditions, to the entire construction sector. As the Collective Agreement becomes effective on the date of promulgation, the date of when the increase of minimum wages payable, is not determined as of yet. The duration of the process; i.e. from the signing of the Collective Agreement to the date of promulgation normally takes some time. It can be anticipated that the increase on the minimum wage payable will come into force during the first quarter of 2018. Until that time, the currently gazetted minimum wage payable and minimum employment conditions as per Government Notice No.319 published in Government Gazette No. 5917 of 31 December 2015 will remain applicable; that means a minimum wage of 16.04 per hour. However, with an agreed future increase of 5.6% on minimum wage payable the deadlock of negotiations between the two parties, is resolved. The CIF, representing employers in the
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construction sector, were not in the position to agree to the demands of the union and were of the opinion that the entire sector would be affected if the increases of the minimum wage payable, were to be increased unreasonably high. MANWU’s original demand were an increase of 15% on minimum wage payable. Moreover, additional demands for minimum employment conditions meant that the overall demand constituted an increase of over 70%. The construction sector had been hit severely by the economic downturn and since September 2016, has seen large-scale retrenchment in the entire supply chain; close to 47% of employees in the industry have lost their jobs. The CIF maintained the position that instead of hiking up the increase of only a few remaining employees that one needed to make every effort to keep as many persons employed as possible. A drastic increase would have meant that more employees would have needed to be retrenched as employers would not have been in the position to afford it. After engaging its members, the CIF had been provided with a revised mandate. This provided the CIF the scope to increase their offer. Taking into consideration the current economic climate, both parties to the negotiations felt it was important to reach an agreement
Construction & Mining Namibia, February - March 2018
in order to avoid industrial action; i.e. either a strike or indeed a lockout by the employers. Thus, an agreement was reached regarding a future increase of 5.6%minimum wage payable. This would come into effect only when the Collective Agreement was promulgated. The agreement was reached for one year; i.e. for 2018/2019. Bärbel Kirchner, consulting general manager of the CIF said: ”It is known how badly the construction sector was hit over the last 12 months. Many businesses in our industry needed to make large-scale retrenchments. A large part of our industry has come to a standstill. Some businesses either faced bankruptcy, some are dormant and others closed down. Yet, some employers, that are financially strong enough, kept their teams employed with the hope of work and projects in the near future. “We are aware that an increase of minimum wage payable unfortunately still mean that more persons will be retrenched if there is not an immediate upturn. However, we are hopeful and optimistic that government’s commitment to pay outstanding invoices will increase the cash flow and also that Government’s announcement of a Construction Fund with the Namibia Development Bank will indeed materialise”.
ENERGY
Grid-tied systems – an alternative solution to reduce electricity costs
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ince Namibia is a net-importer of electricity, importing 60% of its electricity from Southern African Power Pool (SAPP) countries such as Zambia, South Africa, Mozambique and so forth, the grid-tied system might just be the solution the country needs to reduce electricity costs. The country charges its consumers some of the highest electricity rates within the Southern African Development Community region, seeing that most of its electricity is imported. According to Wikipedia, a grid-tied electrical system, also known as the tied to grid or grid tie system, is a semi-autonomous electrical generation or grid energy storage system which links to the mains to feed excess capacity back to the local mains electrical grid. The system uses solar energy. Paulus Mulunga, managing member of Light Systems Namibia said by using grid-tied systems, households can save approximately 70% of their electrical bills, depending on how much electricity the household uses. Mulunga urged more households to make use of grid-tied systems because currently the electricity which the country imports is paid at a high premium and is funded by middle and high-income earners. Mulunga, whose company specialises in installing these systems, further advised households to invest in these systems in order to pay lower rates for electricity. Light Systems Namibia started installing this technology in 2014, when the company was formed and the clients who’ve had the technology installed at their houses have given positive feedback on the use of the technology. “The grid-tied system can be used by households, restaurants, supermarkets and any firm that want to save money as they would be guaranteed a reduction in the amount of money spent on the electricity bill. For now we are largely targeting households and they can choose to have a 3kW to 15KW grid-tied system installed at their houses,” Mulunga said. He added that grid-tied systems come in various sizes, ranging from as little as 3KW to 500KW, and customers can choose which size they would like to have installed.
“These systems generate energy from the sun during the day and clients can use the energy generated from it during the day because it only works during that time,” he said. He noted that if customers do not utilise all the energy generated by the grid-tied system during the day, it would be fed into the national grid. “Since the electricity is fed into the National grid, we are looking at ways that the municipality can compensate those producing their own electricity. There is a law promulgated by the Government called the NET METERING RULES in order to deal with ways to have clients compensated who produce their own electricity,” he added.
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Construction & Mining Namibia, February - March 2018
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FINANCE
Small is beautiful for Namibia Development Bank of Namibia opens Windhoek SME Centre, extends service to Walvis Bay, Ongwediva
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evelopment Bank of Namibia (DBN) CEO Martin Inkumbi has announced that the Bank has opened its SME Centre in Windhoek, and that the financing function has been extended to its regional offices in Walvis Bay and Ongwediva. The SME Centre, he says, will bridge the gap in financing left by the closure of SME Bank. Explaining the gap, Inkumbi says that while there is a financing ecosystem for SMEs in the commercial banking sector, there is a national imperative to finance SMEs that have lower levels of collateral availability, but still present a high degree of potential in terms of sustainability of the enterprise in spite of perceived risk. Perceptions of risk, he says, might emanate from lower collateral availability, but also from establishment in centres with lower population figures, rural areas, and in regions with lower economic activities. One of the Bank’s socio-economic purposes is to nurture inclusive economic participation through finance for previously disadvantaged Namibians, including women entrepreneurs. The Bank is also using the vehicle of SME finance to foster the interests of younger entrepreneurs, which it sees as the basis for the future Namibian economy. SMEs are also seen as a mechanism to further develop regions with lower levels of economic activity and provide stimulus in rural areas. Talking about DBN’s SME financing process, Inkumbi states that DBN’s operation bears no relation to SME Bank. Contrary to speculation, the Bank has no intention to operate in the retail banking field, and views itself as a pure development finance institution (DFI). He continues to say that the Bank has a long track record of governance and due diligence in the field of SME finance, stretching back
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Small is beautiful. The newly opened Development Bank of Namibia SME Centre will provide finance for small and medium enterprises to shortly after the Bank’s inception, and this is now vested in the DBN SME Centre, to provide DBN with greater control in the form of a siloed operation, which due to its nature and relative risk, has intensive diligence requirements. Previously the Bank processed finance for infrastructure and larger enterprises alongside SMEs. Talking about the day-to-day operation of the SME Centre, Inkumbi says that although the output can superficially be seen as finance for SMEs, the operation will be underpinned by several layers of support, particularly in the pre-application phase. In the pre-application phase, the Bank particularly seeks to draw attention to the process of business planning. Without a realistic and achievable business plan, Inkumbi stresses, the applicant places herself / himself in a position of financial risk when borrowing.
Once the complete application, business plan and set of documentation is received, the due diligence can proceed, after which the Bank will give a response to the application. Once the loan agreement has been concluded, Inkumbi says, the Bank will engage in rigorous monitoring to identify borrowers who run into difficulty, and provide corrective support if justified. In closing, Inkumbi urges applicants to give their best during the planning and application phase. He says, DBN is a Bank that seeks excellence. When borrowers succeed in their enterprise endeavours, the Bank has succeeded in its endeavour to assist them, and to develop the nation.
To this end, the Bank has developed a business plan content guide which will be freely available to potential borrowers. The Bank’s support will also extend to advising on completion of applications, and documents and certification required for the application. We want our borrowers to have the best possible prospect of success, Inkumbi adds. Inkumbi says that a failed SME is a lost opportunity cost to the Bank, as that capital might have been directed to a different SME which might have flourished. This, he continues, is a matter of the need to preserve the Bank’s sustainability.
Construction & Mining Namibia, February - March 2018
Opening doors for SME finance. Development Bank of Namibia CEO Martin Inkumbi at newly opened DBN SME Centre which will provide finance for small and medium enterprises.
ENERGY
STIMULUS INCREASES ITS EXPOSURE IN SOLAR-SAVER
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timulus, with its co-shareholder, has concluded a second round funding call to Khomas SolarSaver (Pty) Limited (“Solar Saver”). The shareholders have advanced proportionate shareholder loans, which funding will be used to grow Solar-Saver’s extensive portfolio of solar rental assets throughout Namibia. Established in 2016, Solar-Saver offers a long-term rental solution for the installation of rooftop solar photovoltaic (“solar PV”) systems to corporate and commercial clients in Namibia. The business model focuses on clients with high-grade properties of long-term relevance and enables them to install a complete solar PV system without any capital outlay. These systems go a long way in fulfilling the demand for cost effective, renewable energy solutions. “Our current rental portfolio includes 46 solar PV systems, with clients ranging from retailers to fuel stations to hospitals, and many other businesses. Demand for our offering has been tremendous and our project pipeline should see us commission a further 60 PV systems this year”, said Mr Tim Frankish, one of the founding shareholders and a director of Solar-Saver. “Our clients appreciate the opportunity to ‘go green’ and reduce their monthly electricity costs without the expense and hassle of buying and maintaining their own roof top systems”, he continued. In an announcement issued through the Namibian Stock Exchange, Mr Josephat Mwatotele, Executive Director of Stimulus Investments Limited said, “SolarSaver has a highly competent management team with a unique combination of technical and financial expertise. We appreciate the opportunity to support them as the business grows from strength to strength throughout Namibia”. Construction & Mining Namibia, February - March 2018
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ENTREPRENEURSHIP
Keeping Your Oudoor Bin Clean and Hygenic
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ur dustbins at homes and businesses are filled with dirt and bacteria causing diseases. Although the bins get emptied, they are still gross and stinky. All that stain and dirt that remains in the bin afterwards become smelly overtime as the bacteria grows. FMT Wheelie bin cleaning have brought a solution.
roaming around dustbin areas. However, although bin cleaning is the main focus, the business also provide additional services such as: Interlock cleaning , tree grooming, window cleaning, fat trap cleaning, spring cleaning, debushing, carpet cleaning and yard cleaning. They also make use of machines that save water to help build awareness on water saving.
Based in Windhoek, FMT Wheelie bin cleaning is a dustbin cleaning business founded in 2016, by Angelheart Munenguni, Fredriek Kashiyulike and Hofni Shavuka. However, due to a lack of funds, the business could not be functional. The three young entrepreneurs then managed to raise enough funds for a year and in December 2017, Wheelie bin cleaning began to function. “We realized a gap within the rural community regarding health risks to do with residue in dustbins caused when not cleaned, that’s why we came up with this business” said Angleheart, one of FMT Founders.
According to this trio, one of their greatest satisfaction of owning their own business is that they have the privilege to challenge themselves and also give back to the community.
The business focuses on removing waste from dirty dustbins and adding chemicals to disinfect the germs in the dustbins. The young entrepreneurs reveal that this process helps avoid the breeding ground of germs, reduces air pollution, provide a healthy environment for dustbin owners and keep flies, ants and wasps from
Angelheart Munenguni One of Wheelie bin cleaning values is to contribute responsibility to improve the community and environment. The business is marketed through, social media platforms such as Facebook and word of mouth. FMT urged their clients and community to take care, as there are certain airborne diseases discovered such as (hepatitis E). FMT can be contacted at +264817955450 or email fmtwheeliebincleaners@gmail.com for bookings and enquiries
Fredriek Kashiyulike
Hofni Shavuka
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Construction & Mining Namibia, February - March 2018
ENERGY
Ethiopia builds Africa’s first energy plant that converts trash into electricity
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aste management is one of the biggest challenges confronting many African countries. The issue of collection, management and disposal of solid waste still features highly in major towns and cities across the region. Failure to correctly manage waste disposal has often led to flooding and the outbreak of diseases.
percent of the city’s waste generation. The plant will also supply the people with 30 percent of their household electricity needs.
In Ethiopia, its largest rubbish dump Koshe was for almost 50 years, home to hundreds of people who collect and resell rubbish trucked in from around the capital Addis Ababa. It, however, made headlines last year when it killed about 114 people, compelling the government to rethink an alternative use for the site which is said to be the size of 36 football pitches.
We hope that Reppie will serve as a model for other countries in the region, and around the world,” Zerubabel Getachew, Ethiopia’s deputy permanent representative to the United Nations said in Nairobi last year.
Ethiopia has since turned the site into a new waste-to-energy plant via the Reppie Wasteto-Energy Project which is the first of its kind in Africa. This forms part of efforts to revolutionise waste management practices in the country. The plant, which was expected to begin operation in January, will incinerate 1,400 tons of waste every day. This represents about 80
“The Reppie project is just one component of Ethiopia’s broader strategy to address pollution and embrace renewable energy across all sectors of the economy.
The waste-to-energy incineration plant will burn the rubbish in a combustion chamber. The heat produced will be used to boil water until it turns to steam, which drives a turbine generator that produces electricity.
standards of the European Union, as it contributes towards alleviating air pollution. Waste-to-energy plants are already popular in Europe, as nearly 25 percent of municipal waste is incinerated. In France alone, there are about 126 waste-toenergy plants, with Germany having 121 and Italy having 40. The Reppie plant in Addis Ababa is the result of a partnership between the Government of Ethiopia and a consortium of international companies: Cambridge Industries Limited (Singapore), China National Electric Engineering and Ramboll, a Danish engineering firm. The consortium is hoping that the project will be a series of similar ones in major cities across Africa.
Waste-to-energy incineration is also vital for cities where land is in short supply, as apart from generating electricity, space will be saved and there is a substantial prevention of the release of toxic chemicals into groundwater, and reduction in the release of the greenhouse gas – methane – into the atmosphere. The Reppie plant operates within the emissions
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SURVEYING
AERIAL SURVEYING WITH UAV’S
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nmanned Aerial Vehicles , Drones and Remotely Piloted Aircraft Systems RPAS are terms that are doing the rounds in Namibia. For the last 10 years this technology has improved from your original “crash & burn” UAV’s to the multi-rotor and on to the parachute landing solutions.
The multi-rotor solution has a much higher survival rate but unfortunately are limited to the size of the area that they can cover effectively, similar the parachute landing has a higher survival rate but are still prone to getting stuck in trees and suffering some damage
The original catapult launch & belly landing UAV systems were the first designs, they were very effective but not very reliable, being prone to frequent crashes and needed constant repairs Namibia proudly developed a UAV system called the Survoyer , this system autonomously takes off and landed on wheels, this being the achievement of the Joe & Gisela Noci based in Swakopmund. The system operates very effective and wheel landing preserving the aircraft and very importantly the most crucial element being the camera.
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Construction & Mining Namibia, February - March 2018
The Survoyer, a Namibian built UAV , one of very few UAV’s that has the ability to automatically land on wheels - no crash landings. The newest technology is the VTOL, Vertical take off and Landing systems, allowing take off and landing in confined spaces, while providing the ability to cover larger areas
SURVEYING equal to the areas covered by the fix wing UAV system. Strydom & Associates recently acquired a state of the art Swiss build VTOL UAV system known as the WingtraOne. The system was ordered at the international survey exhibition InterGeo held annually in Germany in 2016 and delivered in 2017, the first system shipped to Africa. The WingtraOne was successfully used to conduct the year end audit survey of the biggest Uranium mine in Africa , an area of 15km2 consisting of two open pits and various stockpiles was covered in a single day and the survey used for volumetric calculations .
Very high temperatures, being mid-summer and winds of up 25 m/s. We therefore chose the WingtraOne given the systems reliability and the amazing powerful full frame Sony RX1RII, which offers an ultra high resolution of 42MP. The 42 MP RX1RII camera carried by the WingtraOne takes single images of extremely high resolution. This combined with the ultra low distortion lens leads to high quality orthomosaic and 3D model generation.
Namibia is the 4th largest Uranium producer in the world, Uranium mining itself contributes to more than 10% of Namibia’s GDP. For a country that barely occupies 0.16% of Earth’s surface, Namibia produces a significant share of world’s Uranium – 10%. In the coming years, these percentages are only going to go higher with the Husab mine reaching its full production capacity. The mine, located 50 km south-east of Swakopmund, has the potential to produce 15 million pounds (6800 tonnes) of uranium oxide per annum and contains approximately 280 million tonnes of uranium ore. This makes it Africa’s largest, and the World’s second largest open pit Uranium mine. The task of surveying the main pit and stockpiles to determine volumes for 2017 year end audit was awarded to Strydom & Associates. The high pressure deadline was easily met and volumes delivered on the 3rd of January Husab mine in the Namib Desert is to be the largest Uranium mine in Africa at full production – the 2nd largest in the entire world. Beyond the project constraints, there were environmental challenges to account for as well.
The WingtraOne is a VTOL UAV that takesoff and lands vertically like a multi-rotor and transitions into flying like a fixed-wing aircraft. VTOL combines best of both worlds – as a fixed wing, WingtraOne can deliver large coverage and as a multi-rotor – it can take off and land anywhere without damaging its powerful camera.
imagery for the entire 15km2 area. The next few days were spent processing the images which were already geo-referenced by the onboard GPS on WingtraOne. At the end, the team was able to achieve down to 1 cm relative accuracy both horizontally as well as vertically – extremely important for volumetric measurements.
A sample from the resulting Digital Elevation Model (DEM). The DEM shown here as a 3D relief representation of terrain. Again the 42 MP Sony RX1RII camera carried by the WingtraOne extremely high resolution images allows for a very high resolution DEM , in this instance a 8cm grid or a 150 points/m² density, this very dense data set is used for very accurate volumetric calculations
On 31st December, equipped with a WingtraOne UAV, the Strydom & Associate’s team set out to map the area of 1500 Ha or 15 km2. It was a windy day with the wind on ground being 15-25 m/s. Flight planning was done with WingtraOne’s custom flight planning software, the WingtraPilot. Before the flight, WingtraPilot ran a host of automated safety checks, to make sure that operations will be undertaken safely. The mission planning features of the app allows the surveyors to make minor adjustments to the flight plans and allow a completely handsoff safe operation.
A 3D view of the contour map produced.
Strydom and Associates team planned 4 flights in total, each one set to a GSD of 4 cm/ px resulting in a flight altitude of 390m. In 2.5 hours of flight time, they collected aerial
The 42 MP Sony RX1RII camera carried by the WingtraOne extremely high resolution images allows for a minute detail to be visible , in this instance the blast holes are clearly visible and the little earth mounds from the soil spilled shows up in the relief DEM
Construction Construction & & Mining Mining Namibia, Namibia, February February -- March March 2018 2018
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INFRASTRUCTURE
NAMIBIA’S ROADS RANKED THE BEST IN AFRICA
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he Roads Authority (RA) is proud to announce that Namibia was once again accorded the top position for having the best roads in Africa by the World Economic Forum (WEF). The results were released via the WEF’s Global Competitiveness Report for 2017/18. The Global Competitive Report index tracks the performance of approximately 140 countries on 12 pillars of competitiveness, including the quality of Road Infrastructure Development. Namibia is topping the list of African countries in the category of road infrastructure development with an impressive score of 5.2 out of 7, above Ecuador, Bahrain, Qatar and Great Britain which all scored a 5.1. The only other African countries to make it to the top 50 list were South Africa and Rwanda with a score of 5.0 respectively followed by Mauritius with a 4.7 score. The United Arab Emirates took the overall top position with a remarkable 6.5 score.Since the establishment of the Roads Authority in April 2000, the organization has continued to play a vital role in the socio-economic development
of Namibia, and in particular the advancement of previously neglected areas of our country. The expansion of our road network has already started to bear fruit as many of the communities in Namibia have access to the main centers of the country. Also, our road network continues to contribute to the economic growth of other SADC countries. Namibia is the only country in SADC that has well developed and functioning corridors such as Trans-Caprivi Corridor that links Namibia with Zambia, Zimbabwe and DRC, the Trans Kalahari Highway that links Botswana and South Africa’s industrial hub (Gauteng) to Namibia and the Trans Kunene Corridor that links Namibia with Angola and the DRC via the Port of Walvis Bay. All these corridors continue to play a pivotal role to the economic development of SADC. “This accolade is a re-affirmation of the efforts made by the RA to continue to develop our road infrastructure and to ensure that it is on par with global standards. I would, therefore, like to express our sincere gratitude to our Government for the visionary leadership and for continuously availing funds for
road infrastructure development,” Mr Conrad Mutonga Lutombi, RA CEO noted. Mr Lutombi also expressed his gratitude to stakeholders such as the Road Fund Administration, the municipalities and all road users for their contribution towards this praiseworthy achievement.“We pride ourselves on this important recognition and see it as a measure of not only how far we have come and achieved but also as a re-assurance that we are on the right path in our mission to manage a safe and efficient national road network to support economic growth in line with the National Development Plans (NDP), Harambee Prosperity Plan (HPP) and Vision 2030,” he concluded. The World Economic Forum is a Swiss nonprofit foundation, based in Geneva. The Foundation is recognized by the Swiss authorities as the international institution for public-private cooperation and its mission is cited as "committed to improving the state of the world by engaging business, political, academic, and other leaders of society to shape global, regional, and industry agendas". Source: The Global Competitive Report 2017/18
Finance for affordable land and housing Development Bank of Namibia provides a comprehensive range of flexible, tailored financing products for the construction industry and local authorities. Term loans Installment sales agreements Property development finance Contract (tender) based finance PPP financing arrangements Performance guarantees Visit www.dbn.com.na or call 061 290 8000 for more information. We’re waiting to hear from you.
Expect more.
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Construction & Mining Namibia, February - March 2018
RESEARCH
BUILDING PLANS
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total of 153 building plans were approved in January, representing a 32% m/m increase from the 116 building plans approved in December. In value terms, approvals increased by N$170 million from December’s N$100 million to N$269 million in January. January 2018 is getting off to a slower start in terms of the 153 plans approved, compared to January 2017 in which 171 building plans got the nod. In value terms however, January 2018 fared slightly better than January 2017, approving N$10 million more plans than the N$259 million approved in January 2017. For completions, the y/y statistic paint a rather skewed picture given that the increases are calculated off a rather low base. Looking from a rolling 12-month perspective, a 50% increase in the number of completions is more reflective of the state of building plan completions which equates to 640 worth N$674 million. Additions to existing properties made up the largest portion of the total building plan approvals in terms of both number and value. For the month of January 129 building plans were approved worth N$233 million, 49% more in value terms than in January 2017, although the number of plans approved dropped by almost 10%.
New residential units were the second largest contributor to the total building plans approved in January. Approvals for new residential units for January 2018 were 32% lower than they were in January 2017. 17 new units worth N$25 million were approved in January 2018, representing a 60% decline from the N$62 million approved in the first month of 2017. The number of new commercial units approved in January amounted to 7, valued at N$12 milion. Almost the same number of approvals in January 2017 were worth N$40 million. On a rolling 12-month cumulative basis, the number of approvals contracted by 35% y/y, a trend that has been on the decline since March 2016.
institutions are currently under pressure and this is further amplified by the slowdown in the extension of credit to the private sector. There is optimism that rests squarely on interest rates that might offer some respite to the consumers and corporates alike. Inflation has moderated well within the SARB’s target band and the new political landscape provides for greater market sentiment and belief that SA will not be downgraded by Moody’s. Coupled with the need to kickstart a muchdesired economic recovery might just set the scene for interest rates to be cut in SA and thus affording BoN the opportunity to follow suit.
The 12-month cumulative number of building plans approved ticked up slightly in January with a 4.6% y/y increase. A total 1,903 building plans to the value of N$ 2.2 billion were approved and represents an increase in value terms of 4.7% y/y. The number of building plans approved, on a cumulative 12-month basis, has been on the decline for the greater part of 2017. Depressed consumer and business confidence are pronounced by economic indicators such as building plans statistics. Consumers and Construction & Mining Namibia, February - March 2018
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INFRUSTRUCTURE
AFDB approves N$ 2,000m for rail and road works in Namibia
“The project is strongly aligned with the Government’s priorities, and complements the other three projects approved by the Bank for Namibia this year. It is in line with two of the AfDB’s High 5 strategic priorities: ‘Integrate Africa’ and ‘Improve the quality of life for the people of Africa’ through the creation of construction jobs during the works and other employment after completion.”
T
o help speed up travel and transportation in Namibia, the Board of the African Development Bank has approved a loan of N$ 2,000 million to the Government of Namibia to upgrade a 210km stretch of railway in the west of the country. The support will also finance the upgrade of a section of the road from the capital, Windhoek, to its international airport. The two interventions are part of the priority projects identified in the government’s Harambee Prosperity Plan, an action plan launched in April 2016, to support priority interventions identified in the Government’s national development plan. The upgrading of the railway track between Walvis Bay and Kranzberg will speed up both freight and passenger traffic. The current railway line, of Cape Gauge standard, was last upgraded in the 1960s and, in its current condition with speed restrictions is an infrastructure bottleneck, resulting in increased transport costs. The upgrading is particularly important because it will involve a direct linkage to Walvis Bay Port, and therefore will speed the passage of goods to and from the port into Namibia and beyond into other Southern African Development Community countries. The AfDB is also providing support in the expansion of the container terminal at Walvis Bay Port.
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After improvement, freight trains will be able to travel at up to 80km/hr and passengers will enjoy speeds of up to 100km/hr. The rail upgrading work will be implemented over three years. As to the road to the airport, which will be implemented over a period of 42 months, this will be a new dual carriageway with two lanes in each direction, and will incorporate an option for a third lane in the future. The existing road will be retained as an alternative to service local traffic. The Government of the Republic of Namibia is a co-financing partner in the project. The Government recognizes that the combination of having direct access to the South Atlantic and a good transport network can improve its competitiveness and desire to become an international logistics hub. It shares borders with Angola, South Africa, Botswana and Zambia, and the latter two countries are landlocked.
Construction & Mining Namibia, February - March 2018
While presenting the project to the Board, the Bank’s Deputy Director-General, Southern Africa Regional Development and Business Delivery Office, Josephine Ngure said: “The project is strongly aligned with the Government’s priorities, and complements the other three projects approved by the Bank for Namibia this year. It is in line with two of the AfDB’s High 5 strategic priorities: ‘Integrate Africa’ and ‘Improve the quality of life for the people of Africa’ through the creation of construction jobs during the works and other employment after completion.” Amadou Oumarou, director of the Bank’s Infrastructure, Cities and Urban Development Department, further noted the opportunities for the involvement of the private sector in the project. “This road and rail project will have a welcome effect on Namibia’s ability to integrate with the other members of the Southern African Development Community, improving access to both sea and air ports.” africanbrains.net
LOGISTICS
LOGISTICS HUB OF NAMIBIA SHOWCASED IN EUROPE
“ The tour saw WBCG renewing its Memorandum of Understanding (MoU) with the Southern African “
A
s part of its ongoing efforts to promote the Namibia Logistics Hub Project, the Walvis Bay Corridor Group (WBCG), with support from the Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ), conducted a Europe benchmarking and study tour in late November. Engaging in businessto-business sessions with transport and logistics industries, the programme included visits to Germany, Belgium, Netherlands and Switzerland. Head of delegation, Mr Clive Smith, WBCG Logistics Hub Manager, is confident that this type of interventions will translate into the successful implementation of the logistics hub project for Namibia. “Initiatives such as these allow for the continuous sensitization of markets and customers that we want to attract.
container transport and logistics across road, rail and sea. The event provides an invaluable industry forum, bringing together highquality speakers and key exhibitors. The tour saw WBCG renewing its Memorandum of Understanding (MoU) with the Southern African – Netherlands Chamber of Commerce and Industry (SANEC), which cites their collaboration to strengthen business and trade relations between Namibia and the Netherlands. According to Mr Smith, the constant search for opportunities for Namibia, with the
focus on the logistics hub project remain a perpetuating effort. “We are attracting business not only on our corridors for the neighbouring countries, but also to Namibia itself, focusing on sectors such as energy, agriculture, mining and manufacturing”, he stated. The Namibia Logistics Hub Project is co-ordinated by the National Planning Commission and Ministry of Works and Transport, with WBCG as the mandated implementing agency.
WBCG and partners will continue to seek for opportunities to promote Namibia’s transport and logistics sector and the corridors to the international markets through similar programmes”, he reiterated. The group comprised of Namibian officials directly involved in the implementation of the master plan, with the intended purpose of introducing them to international best practices in port operations, as well as the overall logistics systems employed by specifically Germany and the Netherlands, both of which are recognized as top logistic nations. The mission came about through WBCG’s continued efforts by engaging development partners, specifically GIZ, to gain support for this programme. The week-long programme included workshops in Hamburg and Rotterdam that saw participants of both the public and private sector of those countries joining the Namibian team. Ideas were shared on overall logistics and transport programmes and initiatives that focus both on infrastructure and capacity development. The programmes further included site visits to the Ports of Hamburg and Rotterdam as well as selected transport and logistics operating companies. An information session, hosted by WBCG and Namport, was held in Antwerp where selected companies with business or interests into Southern Africa were invited.
SUBMISSION OF EMLOYMENT COMPENSATION WAGE RETURNS (E.As 6 and E.As 7) SUBMISSION OF EMLOYMENT WAGE employers RETURNS (E.As 6 andwith E.Asthe 7) Employees’ The Social Security Commission COMPENSATION (SSC) hereby reminds registered Compensation Fund (ECF) that the due date for submitting Wage Returns (E. As.6 or E.As.7) for 2017 SUBMISSION COMPENSATION RETURNS 6 and E.As 7)anytheof Employees’ The Social Security Commission (SSC)ofhereby reminds employers registered with financial year isOF onEMLOYMENT 31 March 2018. Copies WageWAGE Return forms can(E.As be obtained from the SSC’s Compensation Fund (ECF) that the due date for submitting Wage Returns (E. As.6 or E.As.7) for 2017 offices countrywide. The Socialyear Security Commission (SSC) hereby reminds with financial is on 31 March 2018. Copies of Wage Returnemployers forms canregistered be obtained fromtheanyEmployees’ of the SSC’s Compensation Fund (ECF) thatAct, the (Act due No date30for Wage68Returns (E. As.6 E.As.7) for 2017 offices countrywide. The Employees’ Compensation of submitting 1941) “Section (1) requires everyoremployer to furnish financial year ais wage on 31return Marchform 2018. Copiesthe of Wage formspaid cantobetheir obtained from any of the the SSC with showing amountReturn of wages employees during theSSC’s period offices countrywide. The Employees’ Act,of(Act 30 of 1941) “Section year 68 (1)uprequires employer furnish with effect from theCompensation first day of March theNo immediately preceding to and toevery include the lasttoday of the SSC with a wage return form showing the amount of wages paid to their employees during the period February of the following year. The Employees’ (ActofNo of 1941) “Section 68 (1) requires every furnish with effect fromCompensation the first day ofAct, March the30immediately preceding year up to and to employer include theto last day of the SSC with a wage return form showing the amount of wages paid to their employees during the periodfor February of the following year. All employers are hereby advised to adhere to the requirements of this Act to ensure maximum benefits with the effect from the and first employees. day of MarchNon-compliance of the immediately up to and to include the lastbyday both employers withpreceding the Act isyear a criminal offence punishable law.of February of the following year. All employers are hereby advised to adhere to the requirements of this Act to ensure maximum benefits for the employers employees. Non-compliance with the Actare is asubmitted criminal offence punishable are by law. In both addition, make sureand all your Wage Returns from previous years and assessments paid All toemployers aredo hereby advisedyour to adhere the requirements thisdays Act of to submission ensure maximum benefits for up date. If you not receive Notice to of Assessment withinof 30 of a Wage Return, both the employers and employees. Non-compliance with the Act is a are criminal offence punishable by law. In addition, make sure all your Wage Returns from previous years submitted and assessments are paid please enquire at any of the SSC’s offices country wide. up to date. If you do not receive your Notice of Assessment within 30 days of submission of a Wage Return, Inplease addition, make at sure all your Wage Returns from previous are submitted and assessments are paid any the SSC’s offices country wide.inyears Kindly beenquire reminded thatof100% compliance may result material benefit in the form of cash rebates. up to date. If you do not receive your Notice of Assessment within 30 days of submission of a Wage Return, please enquire at any ofthat the SSC’s offices country wide. Kindly reminded 100%and compliance result in material form of cashofrebates. Failure to be submit Wage Returns payment may of outstanding dues willbenefit result ininthe non-issuance Good
Standing Certificates. Kindly betoreminded that 100% compliance may of result in material benefit in theinform of cash rebates. Failure submit Wage Returns and payment outstanding dues will result non-issuance of Good Standing Certificates. For more information kindly contact the Communications and Marketing Department at: Failure to submit Wage Returns and payment of outstanding dues will result in non-issuance of Good Tel +264 280 7085/9 Standing Certificates. For more information kindly contact the Communications and Marketing Department at: Email: corporate@ssc.org.na Tel +264 280 7085/9 For morecorporate@ssc.org.na information kindly contact the Communications and Marketing Department at: Email: Tel +264 280 7085/9 Email: corporate@ssc.org.na
Namport and WBCG also attended Intermodal Europe 2017 in Amsterdam. Intermodal Europe is the world-leading exhibition and conference for companies associated with the container and intermodal industries and covers all areas of Construction & Mining Namibia, February - March 2018
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FINANCE
Modest house price growth of 4% in 2017 FNB
Namibia has released the latest housing index, based on statistics from December 2017. “When looking at the past year, house prices have increased by a modest 4.0% through that year and whilst the headline rate is still positive, momentum now looks weaker due to the downwardly growth rates recorded in the second half of the year. This was triggered by mounting pressure on household incomes, which exerted an increasing drag on consumer confidence. The average property price increased to N$1.1 million in December, slightly higher than this time last year,” states Josephat Nambashu – Analyst at FNB Namibia. The index further maintains that at the mentioned levels, the housing market remains resilient, in relation to the weak economic backdrop, where the economy continued to shed jobs and disposable income remained weak. While price gains are decelerating, the volumes have accelerated. Josephat: “December is typically a weak month for home sales, but 2017 December saw all regions register robust volume growth for the first time in two years. Overall, transactions were up 16.2%, most likely boosted by increased supply of new housing stock at more affordable pricing. The FNB Estate Agent Survey reveals improved trading activity levels and rising discounts, even though distressed sales picked up.”
Expectations for 2018: How well the housing market performs in 2018 will be determined by economic fundamentals. Whilst we expect growth to lift moderately, job losses to normalise and interest rates to remain as accommodative as possible, we are, however, of the opinion that the market could see stable or moderate improvement in house price movements through 2018. Our core view is for house price to grow by 5% - 6%, with downside risks in the wake of last year’s recession.
Highlights of the regions: Central’s average house price increased by 8.7% through the year to N$1.5 million, well within the 7% - 10% range that prevailed throughout the year. In the capital, house price inflation index was up 7.7%, more evidence of a weakening property market. Here, we see either price growth diminishing or contracting in the upper segments while the opposite is happening in the low-income segments as the
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market’s dynamics shift. Transactions in the capital were up 10.3% over the year. We believe, however, that property price growth still lags disposable income growth and as such, we expect prices to weaken during the first half of 2018, particularly at the higher end of the property ladder. Coastal property price growth converged to 2.9% to set the average house price at N$1.1 million. This property market follows the domestic tourism market and as the tourism season winds down, prices normalise in line with our expectations. According to the FNB estate agency survey, both buy to let and foreign buying have tapered, with both Walvis Bay and Swakopmund property price growths decelerating to 9.8% and 5.6%, respectively. Both these two coastal giants saw volumes rising by more than 30%, on the back of mass housing and aggressive land delivery. House price inflation in the North posted a lowly 1.0% increase over the year, with the average price now N$799,000. Ondangwa property prices increased by a respectable 11.9%, while Grootfontein, Oshikuku, Otjiwarongo and Oshakati property prices increased by 3% – 7% through 2017. House prices fell across Katima Mulilo (-18.4%), Ongwediva (-15.1%) and Rundu (-9.9%) – as supply increased in these three markets to the detriment of the average selling price. A total of N$1.5bn mortgages was extended to northern towns in 2017, with Tsumeb leading the pack (N$237m) followed by Ondangwa (N$234m) and Eenhana (N$227m). These three towns have muscled their way into the top six mortgage markets in Namibia. Like the coastal, southern house price converged to more realistic levels of 5.4% at the end of the year, speaking to the tumultuous 2017 beset by economic frailties. Mariental, however, posted the highest price growth (+29.0%), followed by Keetmanshoop with 2.0% price growth. Volumes were up 7.5% in the south through December, but still remain a small base and as such it is greatly advised to always treat these price movements with utmost caution as the price movements are extremely volatile. In conclusion Josephat said that moderate economic growth was expected in 2018.
Construction & Mining Namibia, February - March 2018
“However, a forecast of 1.3% real GDP growth for this year is not any significant additional support for the housing market. Therefore, household incomes will remain under pressure and thus consumer and business confidence will remain weak. This will transpire into waning housing demand in the middle to upper price segments. From recent price developments, it is clear that size matters. Smaller will be better as it has been towards the end of 2017, as many aging homeowners downscale and distressed sales fuel smaller property demand. Hopefully mass housing will lift housing supply to the lower end and help manage segment price inflation. Rising housing demand in the lower price segment will regrettably not offset the waning demand in the middle to upper price segments and as such the housing market as a whole will remain depressed to an average house price growth rate of about 5.4% in 2018. Although macro fundamentals suggest property prices should contract at this stage of the economic cycle, the sheer size of the housing backlog, will likely keep overall property prices in the black.”
INFRASTRUCTURE
Neckartal Dam ready to collect water
N
eckartal Dam is ready to collect water despite the set construction completion date being mid-July this year. The project manager of Salini Impregilo Fabrizio Lazzarin, assured various government officials of a smooth sailing construction. The Italian company won the US $230m contract to build the dam near Keetmanshoop. However, Eric Britton of Knight Piésold consulting engineers said it was difficult to pinpoint the exact completion date of the dam. Britton suggested that October is the soonest that the dam can reach completion. He also expressed concern over the vetting of the dam’s electrical equipment. Since NamPower is yet to do the vetting, Britton hinted this may delay the full completion of the dam.
According to agriculture ministry’s director of water supply and sanitation coordination, Leonard Niipare, the bulk electricity supplier had already been provided with the dam’s electrical equipment specifications. Finance permanent secretary Ericah Shafudah said the government has paid Salini’s outstanding invoices of US $49m. There is also an agreement in place to pay the company’s invoices for work done on time.
government has already paid US $262m to Salini and the consulting engineer.
Additional costs
A crossing and a pump station with the intake structure, will be built 13km downstream from the dam. The water will flow through an 8.7km steel pipe with a diametre of 1,100mm to reach a reservoir that is part of the project.
In the past, Salini halted operations at the dam site over late or non-payment by the government. Agriculture permanent secretary Percy Misika said the cost of the dam might escalate to US $467m. He further added that
Made from roller-compacted concrete and standing about 80 metres high, the Neckartal Dam will harness water from the Fish River to produce hydro-electricity and create a reservoir capable of holding 857m cubic metres of water. It will also irrigate 5 000 hectares of land under development for agricultural production.
constructionreviewonline
Construction & Mining Namibia, February - March 2018
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MACHINERY
Concord Namibia, which forms part of the Concord Cranes Group
C
oncord Namibia, which forms part of the Concord Cranes Group, has expanded its geographical reach in Namibia through the strategic acquisition of a Walvis Bay-based company. Concord Cranes recently acquired Walvis Bay-based plant hire company Rent-APlant Namibia, a Namibian based-and-run company with an in-depth knowledge of the country due to its 19 years’ experience in the Namibia. Concord Namibia’s operations are based in Okahandja, primarily servicing the northern and central territories. This undertaking expands the group’s geographical reach significantly. Rent-A-Plant Namibia is currently in the process of being merged into Concord Namibia. Its fleet consists of 55 forklifts, five mobile cranes, four access platforms, and three trucks, which complements Concord Cranes’ product and service offering. Cranes range in size from 25 t to 35 t. Concord Namibia CEO Francois Smith comments that Rent-A-Plant Namibia boasted a good order book prior to the acquisition. “It has a different customer base compared to us. We have a couple of customers looking for cranes, which we rent them on a monthly, weekly, or daily basis. Conversely, Rent-A-Plant Namibia has an extensive client list, which will sometimes use a machine for just a few hours at a time,” he remarks. Rent-A-Plant Namibia’s key accounts include a number of customers in Walvis Bay. These relationships are well-established, reflecting customers’ confidence in the company’s service and product offering. While short-term projects do bolster the bottom line, it is the repeat business that ensures sustainability and viability going forward, Smith stresses.
of Walvis Bay. This is where most large-scale projects in the country are currently taking place.
Smith points out that Rent-A-Plant Namibia often received requests for larger-size cranes, a service it will now be able to cater for thanks to the latest acquisition, due to the support it now receives from Concord Cranes. “It illustrates the synergy between our two companies, as well as the potential benefit our existing and future customers.” This includes in-depth expertise of the crane and forklift industry, together with a thorough understanding of local business conditions.
The pilot project will ascertain how best to make this business model work in an African context, so it can be refined if need be and rolled out to additional countries such as Botswana and Ghana, among others. This forms part of Concord Cranes’ vision to become a pan-African service provider.
The transaction will aid Concord Namibia in transporting and housing its fleet of mobile cranes in Walvis Bay, and will also increase the ease of servicing projects in the region, particularly those based at the Port
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Construction & Mining Namibia, February - March 2018
Smith elaborates that the acquisition dovetails with Concord Cranes’ broader goal of having a strong presence in South Africa’s neighbouring countries, in order to increase its uptake of cross-border business opportunities. “We are piloting the concept of having multi-franchises with multi-product offerings in Namibia,” he reveals.
“We are positive about the medium-to-long-term prospects for the Namibian industrial sectors. Concord Namibia aims to provide the highest level of support to our clients in that country, and to expand our geographical footprint throughout the country,” Smith concludes.
LOGISTICS
Construction of World’s Largest Diamond Mining Vessel Underway
T
he De Beers Group has confirmed that construction of the world’s largest diamond mining vessel has commenced.
New Era highlighting the announcement, said the vessel will be used exclusively for operations off Namibia’s coast when it commences operation in 2021. Debmarine Namibia, a joint venture between the government of Namibia and De Beers, first announced a feasibility study for the offshore vessel last year. Construction of the vessel is expected to cost in the region of N$2 billion ($173 million) excluding around N$5 billion ($432 million) of mission equipment, including crawlermounted dredge technology, that will be retrofitted afterwards. Making the announcement last year, Debmarine said various built options were considered and Norway's Kleven Verft, was chosen after the yard's successful construction of the deepwater diamond exploration and sampling vessel, Nujoma that was launched into Debmarine service in July 2017.
airlift-drill and the crawler mining technology. The mining vessels mine diamonds off the ocean floor using advanced drill technology and supported with sophisticated tracking, positioning and surveying equipment. The new vessel will be the longest vessel todate to be built in the Kleven shipyard. At 176 meters (577 feet), she will be slightly larger than the current largest vessel, Mafuta (174 meters, 571 feet). Similar to the Nujoma, the new vessel will be a Marin Teknikk design – MT 6027 vessel. She will also have dynamic positioning. Namibia has been strengthening its offshore diamond mining capacity, as land-based diamonds are expected to run out within a decade. Namibia has more than 3,700 square miles of diamond concession at sea on the south-west coast which is expected to yield
millions of carats of marine gemstones for the next five decades. In January this year, De Beers announced it is progressing development of the first blockchain technology initiative to span the diamond value chain and provide a single, tamper-proof and permanent digital record for every diamond registered on the platform. The initiative will underpin confidence in diamonds and the diamond industry by ensuring that all registered diamonds are conflict-free and natural, while also enhancing efficiency across the sector. Following the success of an initial proof of concept trial that resulted in a working prototype, a pilot is now underway involving a small number of participants. A full system launch is expected later this year. Source: Marex
Debmarine Namibia became operation in 2002 and mines in the off-shore mining license area off the southern coast of Namibia. The company operates five diamond mining vessels, namely Debmar Atlantic, Debmar Pacific, !Gariep, Grand Banks and Mafuta. Two mining technologies are deployed, the
WALVIS BAY CONTINUES TO REALISE NAMIBIA’S LOGISTICS HUB DREAM “The latest port developments will propel Namibia even closer to achieving its vision of being the Logistics Hub for the SADC region”, Namport CEO, Bisey /Uirab stated at the recent ceremony for the arrival of the Ship-toShore (STS) Cranes at the Port of Walvis Bay. The cranes, manufactured by China’s Zhenhua Port Machinery Company, were delivered just after the New Container Terminal Project reached the three-quarter-completion line earlier this month. “This is a milestone in the life cycle of Namport as it will be the very first time that this type of crane is deployed in the Port of Walvis Bay”, /Uirab stated. The cranes are the world’s largest container handling equipment, which will improve efficiencies and enable faster ship turnaround time. While a mobile harbour crane, currently
in use in the port, can load and unload 15 containers per hour on average, the STS crane can do 30 to 40 containers in the same time frame. The cranes will be installed at the new container terminal, due for completion in early 2019. The terminal will have a new 600-meter-long berth along with a minimum throughput capacity of 750 000 TEU’s (twenty foot equivalent units) per year, compared to the current terminal’s through put capacity of 350 000 TEU’s per year. The new terminal will be connected to the existing port’s road and rail networks as well as the communication systems and is currently valued at 3.44 billion NAD.
commissioning the Government’s Liquid Bulk Terminal at the north port area”, /Uirab stated. Namport has furthermore been directed by the Government of Namibia to implement the National Single Window System, which is a system setup to facilitate international trade procedures.
In addition to the new terminal nearing completion, the Port celebrates other highlights. “We look forward to also Construction Construction&&Mining MiningNamibia, Namibia,February February--March March2018 2018
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DEVELOPMENT
Newly Renovated John Meinert branch
FNB
Namibia has refurbished John Meinert branch, which is now open to the public. The newly renovated branch opened its doors on 12 December 2017, after being closed for almost four months. Elzita Beukes, Communications Manager at FNB Namibia says: “The renovation of one of our flagship branches included a total restructuring, with a new layout done over the past few months. This iconic branch will now greet our customers with a new, modern and upgraded look and we guarantee fast effective service, greater efficiencies and visibility of branch management. We look forward to welcoming all our new and existing clients.�
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Construction & Mining Namibia, February - March 2018
RESEARCH
4 key tips to reducing construction machinery downtime
U
nscheduled construction machinery downtime can create greater issues than just damaged or unreliable equipment. Downtime refers to any event in which work is stopped or delayed due to unforeseen machinery damages or failures. Issues of downtime include unnecessary costs of replacing and repairing equipment along with the costs of keeping a construction site open without any operations being able to take place.
on downtime as they often notice things that may be missed in reports or how the machines can work more efficiently. Having employees included in the discussion of downtime also allows them to have greater knowledge and skills to prevent downtime occurring. This can also be used as a preventative measure, with adequate training; employees can alert and prevent damages from happening that would result in downtime.
due to unreliable or damaged machinery. Therefore, backups are essential to reducing the length of the downtime period. Either having backup machines, spare parts or alternative methods available, will save time and allow you to restart work quickly. When downtime occurs, it is important to be prepared, to have a strategy in place to ensure that operations can restart as soon as possible. Downtime cannot always be avoided, but by taking the necessary steps the probability and length of downtime can be limited.
Construction delays can be extremely costly within, so it is essential to have the necessary Backups are important preventative actions in place to minimize the risk of downtime and how to restart construction Downtime inhibits the ability of a as quickly as possible. Issues with downtime construction site to operate and is typically exceed the hassle and expenses of damaged or unreliable equipment; it affects overall efficiency and increases unnecessary costs. Below are some tips that can ensure you minimize downtime and remain on schedule in terms of delivering the project.
Source: constructionreviewonline
It’s your right
Regular maintenance of equipment Having scheduled and regular maintenance helps prevent unscheduled downtime from occurring. It also ensures that all equipment being used remains functioning at a high standard and working to maximum efficiency. Routine maintenance allows equipment to be updated, improving competitiveness along with increasing efficiency. Regular updates in technology and machinery used to minimize waste and inefficient working methods.
Optimize planned downtime It is crucial that you optimize planned downtime. Planned downtime provides you the time to check the operating of machinery along with the ability to make the necessary repairs and maintenance. Scheduled or planned downtime is a great time to perform a Risk Audit. A risk audit allows you to identify the probability of unplanned downtime occurring. They are beneficial as you can identify potential issues as well as taking the necessary method to rectify the potential problem Preventative maintenance will reduce the risk of unplanned downtime occurring. Determining the condition and status of each piece of equipment not only improves efficiency but also provides you with the time needed to make the necessary improvements and alterations to declining machinery.
Involve your employees Your employees are often the ones who are using the machines and overseeing production. Therefore it is essential they are fully trained on all equipment. Include employees in the discussion
Republic of Namibia
to be paid right
Social Security Commission provides bursaries & loans worth over 3-million Namibia Dollars
The Social Security Commission through its Development Fund disbursed bursaries and study loans to deserving beneficiaries from socially disadvantaged backgrounds. All 29 bursaries and 2 loans were awarded for studies in various fields of study. This brings the total number of students assisted by the SSC DF over the past nine years to 335. At the hand-over ceremony, SSC Executive Officer, Milka Mungunda has reaffirmed the commission’s commitment to the education enterprise, and the intent to remain in alignment with the government’s priorities. “The social protection landscape in Namibia is still unacceptably uneven. And this we do regret wholeheartedly as it affects the cost and capacity of delivering social security products and services. It’s with this in mind that the SSC has decided to take a leading role in directing this crucial dialogue to the consolidation of the current fragmented social security schemes into a rather robust, comprehensive and coherent national scheme under the commission”, Mungunda said. At the same occasion, Honourable Errki Nghimtina, Minister of Labour, Industrial Relations and Employment, said that unemployment remains an undeclared national emergency. “It is probably also one of the defining challenges of the current millennium and the SSC has a duty to ensure that social security is accepted and entrenched as a permanent ingredient in government’s strategies
Ministry of Labour, Industrial Relations and Employment Creation
THE MINIMUM WAGE FOR A DOMESTIC WORKER BE pro-poor economic growth and aimed at realizing poverty reduction,SHOULD and ensure sustainable livelihoods”, said Nghimtina.
N$1502.05 PER MONTH, N$346.89 PER WEEK, N$69.37 PER DAY, N$8.67 PER HOUR
The Minister further commended the Social Security Commission for having established a fund that provides funding in a manner that is responsive to the ever challenging problem of unemployment and other poverty related issues facing many disadvantaged communities. To the 2017-recipients, Hon. Nghimtina had this to say: Congratulations for being the fortunate ones of the year! I have no doubt that the bursaries and FOR study loans will enable youPART-TIME to pursue DOMESTIC your studiesWORKERS without financial worries. Indeed, you must appreciate fortunate situation in which you find yourselves WHOtheWORK FIVE HOURS OR LESS and I urge you to take your studies seriously. is now your A DAY OTHER THANItSUNDAY OR responsibility as beneficiaries to make optimal use of this rare opportunity and ensure that you HOLIDAYS. do exceptionally well in your studies and acquire the relevant skills that will help the nation achieve its economic independence”.
AND N$43.35 PER DAY
The Minister also appealed to other institutions to emulate the noble example The minimum set by the SSC to invest more in education and human capital development.
...and it’s your responsibility to make sure you are registered with the Social Security Commission. For further information on domestic workers remuneration, please contact:
overtime for a domestic worker should be: N$13 per hour, N$17.34 per hour for work on Sunday and public holidays and N$86.70 per day for part-time domestic workers who work for less than five hours or less.
For Social Security Commission registration, please contact:
Ministry of Labour, Industrial Relations and Social Security Commission Employment Creation For more information: Add: 32 Mercedes Street, Khomasdal Call: +264 (0) 61 280 7085 From left to right is Ms. Unomengi Kauapirura (SSC Manager: Communications & Marketing), Mr. Marthinuz Fabianus (SSC Board’s Commissioner), Ms. Milka or of visit at: www-ssc.org.na or Tel: 061-2066111 Mungunda (SSC Executive Officer), Mr. Bro-Mathew Shinguadja (Permanent Secretary Ministry of Labour, Industrial Relations and Employment Creation) Ms. Nambata Angula (SSC General Manager: Business Development). Visit our offices at: Cnr A. Kloppers & J Haupt Street, SMS-line: 66111 Khomasdal, Windhoek Website: www.mol.gov.na Email: Domestic.Workers@mol.gov.na
Mission: To improve the welfare of our members and beneficiaries by providing comprehensive social protection.
Mission: To improve the welfare of our members and beneficiaries by providing comprehensive social protection. Vision: To be the preferred provider of comprehensive social protection in Namibia.
Construction & Mining Namibia, February - March 2018
Vision: To be the provider of comprehensive social protection in Namibia.
For more informamtil: Call: +264 (0) 61 280 7085 or visit at: www.ssc.org.na or Visit our offices at: Cnr A. Kloppers & JHaupt Street, Khomasdal, Windhoek.
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