NOVEMBER, 2019
ENERGY & SUSTAINABILITY News & Analysis
Catch 22 "Rain Vs Drought"
IN THIS MONTH’S ISSUE: Rehabilitating Namibia’s Underground Water Resources A gudeline to Farmers on Preparing for the Rainy Season TIKA Continues to Provide Drought Releif Assistance to Namibia
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C O N T E N T S
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FromTheEditor
Quick Facts
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Economy at Large
Oil & Gas
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Electricity
Renewable Energy
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Water
The Environment and Sustainabilty
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Telecommunications
Financing
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Tenders and Careers
Contributing Authors
NOVEMBER, 2019
From the editor Catch 22 "Rain Vs Drought" Dear Reader, Our November edition is here with more insights on the turning point in which the country finds itself when it comes to water. Namibia is currently standing between a period of Drought, while at the same time, the rain has already started teasing us in Northern Namibia in a few areas. Currently a few Northern areas of the country have already received some showers, and hence many have already started carrying out agricultural activities since the rain seems promising in those areas. However, most of the central and southern parts of the country are still dry, and facing water scarcity.
RDJ Consulting Services CC is an advisory consultancy to the Energy, Water and Transport Sectors with a focus on sustainable operations and renewable energy.
PO Box 23738 Windhoek, NAMIBIA Telephone +264 61 400 171 EMAIL briefing@rdjconsulting.co.za WEBSITE www.rdjconsulting.co.za
To get more update on how the Government is also assisting in sorting out the ongoing water challenges faced, as well as more updates on how to prepare for the rainy season, do dive into this publication and we hope you stay updated on the subject matter. Please therefore enjoy this edition, and feel free to reach out to us in anyway. Further, if you are new to the RDJ Briefing, subscribe to this FREE Publication at briefing@rdjconsulting.co.za and freely share the link with others that will benefit from its contents. Enjoy….
( David A. Jarrett) Editor
Authors RDJ Interns*
This report is a FREE Publication and was prepared by RDJ Consulting Services CC based in Windhoek, Namibia. The content is collected from publicly available information and so its accuracy cannot be guaranteed.
quick facts Population size: 2.3 Million Employment: 66.6% Literacy rate: 89.0% GDP Growth (2018): -0.1% Repo Rate: 6.50 % Interest rate (Prime): 10.25% Inflation (CPI): 3.00% Industries: Tourism, Mining, Fishing Telecom (sophistication): LTE Mobile - cell phones: 2.575 million Subscribers Water availability: 8 800 000 cubic litres/capita Electricity Gen. (Local): 484.000 MW Electricity Demand (all): 629.000 MW www.rdjconsulting.co.za
6 NOVEMBER, 2019
ECONOMY AT LARGE Restoring Namibia’s Economy Through Private Sector Expansion – A Possibility?
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he minister of Finance delivered his midterm budget review in the National Assembly where he shared his positive outlook for the Namibian econmy which is currently going through its third consecutive year of recession. He said that the economy has been adjusting to shocks and recalibrating to a more sustainable growth pattern. The economy is projected to improve and gradually emerge from the recession in 2020, with a moderate growth of about 0.8% and about 1.3% by 2021, averaging 2% over the next Medium-Term Expenditure Framework (MTEF). The ongoing economic challenge has affected almost everyone, either directly or indirectly, and the government alone cannot resuscitate the economy without the help of the entire nation. Of the many issues that the country is battling with, youth unemployment has become very concerning as it was estimated to have increased from 43 percent in 2016 to 46 percent by 2018, with Kavango East having the highest unemployment rate of up to 63 percent. A country’s macroeconomic instability is characterised by inflation and unemployment. During a period of inflation and unemployment above natural rates, stagflation takes place. To break down the effect of youth unemployment or actual unemployment growth, we can look at Arthur Okun’s law, simply known as Okun’s law which details the relationship between unemployment and growth. Okun’s Law intends on showing how much of a country’s Gross Domestic Product (GDP) may be lost when the unemployment rate is above its natural rate. Based on the law, an increase in actual unemployment by 1 percent slows down growth by 2.5 percent, which translates to a decline in GDP and then Gross National Product (GNP). This then establishes a negative relationship between unemployment and growth. The decline is a result of low productivity derived from low labour. One can then conclude that when unemployment is high, economic growth slows down as not the entire productive capacity of a country is used. The government and its partnering institutions are putting measures in place to tackle this issue head on.
The minister of Industrialization, Trade and SME Development, was present at the Kavango West Regional Investment Conference which was held under the theme “Promoting trade for inclusive, sustainable and equitable growth in Namibia and beyond”. He said the first step to economic recovery is the empowerment of youths as they are the ones to succeed the current businesses and political leaders. The aim of the expo was to act as a platform for producers, consumers and suppliers of goods and services for both domestic and foreign traders to create ideal opportunities. As a developing country, Namibia’s market is concentrated and characterised by barriers to entry. When this is eliminated, new businesses can be created and will be able to penetrate the market successfully, thereby causing an expansion in the private sector and an increase in the economic growth of the country.
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NOVEMBER, 2019
The Namibian Competition Commission (NCC) also held its 6th Annual Competition Conference in the capital, under a theme that focussed on the role of competition law in the acceleration of economic growth and development. The Deputy Minister in the office of the Prime Minister, Samuel Ankama said competition laws are important as they provide a level of playing field where companies compete based on their goods and services and not by colluding, bullying or coercing. The minister of finance also informed that plans were in place to accelerate the turnaround time for public procurement adjudication and awards. This is particularly for high-value projects across economic sectors, and specifically the roll-out of energy investment projects by NamPower. Along with the Ministry of Sport, Youth and National Service and the Development Bank of Namibia (DBN), the Ministry of Finance also unveiled about N$138.5 million to the Small and Medium Enterprise (SME) financing strategy which will commence on 1 December. The funds are specifically aimed at enabling the youth to start or expand their businesses. This financing strategy is a partnership between the government, DBN, commercial banks and other private sector financiers. It involves a credit guarantee scheme, mentorship and training programme and a skills-based lending facility for youth entrepreneurs. With this, it is expected that the economy surely improves within the coming years as projected by the minister of finance in his mid-term budget review.
Readings: https://www.namibiansun.com/news/upbeat-calle-preachesrecovery2019-10-23/ https://neweralive.na/posts/youth-unemployment-on-the-rise-nsa https://www.namibian.com.na/85022/read/Restoring-economyeveryones-duty-%E2%80%93-Tweya https://www.namibian.com.na/84824/read/Competition-is-goodfor-every-economy
With this, it is expected that the economy surely improves within the coming years as projected by the minister of finance in his mid-term budget review. www.rdjconsulting.co.za
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8 NOVEMBER, 2019
OIL & GAS Fuel Prices Remain Unaffected Despite Increased Consumption
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s recently reported in the October edition of the RDJ Country Briefing, fuel consumption has increased in 2019 by 0.2%, an equivalence of 289.6 million liters. This increment is affiliated to the increase in the need for powering plants to generate electricity. Despite the increase in fuel consumption, the fuel prices have remained unchanged since July this year. The constant prices is seen as a result of price stability on the global oil market that had not called for any fuel price alterations. The price stability on the global price global oil market is also seen in Namibia after the depreciation of the
November Fuel Prices
the Namibian dollar against the US Dollar in October 2019 which has not had an impact on the local fuel costs. In fact, the Namibian dollar depreciated against the US Dollar on average from N$14.80 to N$14.90 in October, but this has not led to adverse results in the provisional basic fuel price figures. Also, despite under recoveries always expected to trigger a fuel price increase at the pumps locally, the National Energy Fund spared consumers the pinch at the pumps by subsidizing the under recoveries. The under-recoveries per product import parity at Walvis Bay stood at 28.85 cents per litre for petrol, and 26.213 for diesel at the end of October.
The Ministry Of Mines Of Energy announced that the October Fuel Prices remained unchanged. Therefore, the prices are as follows: 95 Octane Unleaded Petrol: N$ 13.05 per litre Diesel 50ppm: N$ 13.63 per litre
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NOVEMBER, 2019
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ELECTRICITY The MSB and NIRP – an Advantage for Erongo Red and the IPPs
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rongo Red held its fourth annual stakeholder’s summit in October 2019 at Swakopmund. The summit serves as a platform where the company's shareholders and members of the board of directors come together to discuss pertinent relating to the company. Erongo Red is the regional electricity distributor for the region. The summit highlighted the recently approved Modified Single Buyer Model (MSB) which will allow consumers and Independent Power Producers (IPPs) to transact with each other directly in the supply of electricity. Another important aspect that took place was the launch of a new five-year strategic plan which came into effect on 1 July 2019, and is expected to run until June 2023. The plan is expected to enable efficient and reliable supply of electricity at the lowest reasonable cost. The Erongo Region Governor revealed that with the MSB in place, the Red is now able to source and negotiate cheaper electricity from IPPs for their customers, and in this way, the cost of electricity can be lowered for customers especially now, given the current challenging economic state of the country. “I am cognisant that as a country, we still import the bulk of our electricity from our neighbouring countries, however, with the implementation of the National Integrated Resource plan [NIRP] which is a 20-year development plan for the country’s electricity supply industry, we can influence the cost of electricity,” governor explained. He added that the plan provides a projection of Namibia’s expected future electricity demands and identifies the mix of resources required to meet the country’s electricity need. Apart from the distributor experiencing an average growth of 4.2% in the last five years, they also managed to electrify close to 1200 rural houses and nearly 1300 perurban houses which amounted to about N$48 million in costs. The company also spent N$570 million and N$194 million for the upgrade of the Walvis and Swakop networks, and at the same time, they also managed to implement several solar plants in Erongo.
Readings: https://neweralive.na/posts/find-ways-for-cheaper-electricity https://www.namibian.com.na/85160/read/Erongo-RED-launchesfive-year-strategy https://www.namibian.com.na/84888/read/Erongo-REDstakeholders-strategise
CoW and MURD to Provide Electricity to Informal Settlements in Windhoek
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oncerned about residents’ access to electricity, the mayor of the City of Windhoek (CoW) recently informed that electricity has now become a necessity for everyone and therefore, having access to it has also become “a basic need and not a luxury”. Based on this, the council has therefore taken a decision to allocate additional funds from their limited resources towards the provision of basic needs to the north and north western suburbs of the city, through a project of which phase 1 is done, while phase 2 is ongoing. During phase 1 of the project which commenced in 2018, the CoW and Ministry of Urban and Rural Development (MURD) had an electricity switch on to 1 200 houses in Tobias Hainyeko and Moses Garoeb constituencies. The switch resulted in over 1 000 households in Havana and Okahandja Park informal settlements having access to electricity. This marks the end of phase 1 of the project with an additional procurement of 11 high-mast lights around communities in Windhoek. The total amount invested to conclude this phase was to a tune of N$13 million received by the Ministry. Phase 2 of the project has already commenced, and is currently ongoing in Otjomuise, One Nation and part of Havana settlements and it’s expected to finish by June 2020. To this phase, the Ministry committed another N$14 million, with the aim of electrifying an additional 1000 houses for the 2019/2020 financial year.
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10 NOVEMBER, 2019
RENEWABLE ENERGY
NamPower Donates Solar Lights to the LAC for Zambezi Learners
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s part of its advocacy programme on environmental and wildlife protection in the Zambezi region, the Legal Assistance Centre (LAC) received about 150 solar lights from the NamPower foundation. The solar lights which offer a cost-effective and eco-friendly solution will be donated by the LAC to pupils in that region to assist them in their studies. The LAC has been giving training on various topics at ten selected schools in the Zambezi Region, and this programme is expected to extend to more schools by 2020. The educational topics being taught include: climate change and adaptation measures; the ecosystem; biodiversity; wildlife crime and resource management.
One of most tackled topics is the sustainable usage of electricity. The 2015 statistics showed that the Zambezi Region had the poorest population and weakest infrastructure, in which 86% of households relied on wood for cooking, leaving only 14% with access to electricity for cooking. Additionally, for lighting, 62% of households used candles, while the remaining 32% used electricity. The use of natural resources for daily activities is ecologically unsustainable and risky. Therefore, much effort needs to be put in place to alleviate pressure on natural resources by communities in this region.
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NOVEMBER, 2019 11
Namibia has 5 MWs of Wind Power (Ombepo) in commercial operation currently. David Jarrett RDJ Consulting Namibia
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12 NOVEMBER, 2019
WATER Rehabilitating Namibia’s Underground Water Resources
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fter the outbreak of the drought, which led to severe water scarcity in multiple communities of Namibia, the local government, along with other funding organisations have been putting efforts to alleviate the matter. As a result, many villages and communities have been relieved, while others are still left out with no water. Despite the efforts of the government and other funding organisations to provide water to the communities affected by drought, some of the communities are still left with no water.
Omusati Region - Borehole Rehabilitaion Through CBNRM Project The ministry of Environment and Tourism (MET), together with the Environment Investment Fund (EIF) have rehabilitated 16 boreholes in the Uukwaluudhi Conservancy in the Omusati region at a cost of N$4.3 million. The funds were received from Green Climate Fund (GCF) board after approving the “Empower to Adopt: Creating Climate Change-Resilient Livelihoods through Community-Based Natural Resource Management in Namibia (CBNRM EDA)” project funding proposal in October 2016. The 16 boreholes were renovated through de-installing diesel generators and retrofitting them with solar panels and solar- powered pumps at all the project sites. It further involved installing nine 10 000 litre water tanks and stands, three drinking troughs for livestock, 12 water taps for people, nine elephant protection walls and a dam for elephants to drink from. The 16 rehabilitated boreholes are at Onandjila, Ondeitotela, Onamukuku, Onyulu, Okagolo, Okapundja, Okambobona, Omakange, Omanyanganyanga, Uulugaluga, Omaonde, Eehongo, Okatyali, Oluhalu, Amutulo and Omutumba. The Minister of Environment said that the project is expected to provide year-round access to reliable and safe water supply despite climate-induced shocks and stresses. Therefore, the water needs of about 35 000 people will be addressed, along with an additional 8000 cattle and 150 elephants. The availability of water will ensure and greatly contribute to food security and reduce incidents of human-wildlife conflict.
Ohangwena Region - Borehole Rehabilitation Through EIF Namibia Communities in and around Oshidute village in the Ohangwena region have also received help following a water shortage outcry earlier in July 2019. Their boreholes are in the process of being rehabilitated. Several local communities, such as the Oshidute and Omwii/Ohakafiya, are already receiving water from boreholes while more pipes are being laid to transport water around communities. The Oshidute borehole extension will cover the communities of Oshidute and Ohakafiya, through Omwii, and Oshikunde. The fund to carry out this process was provided by EIF as well.
Omaheke Region - Borehole Rehabilitation on Hold Due to Funding cattle and 150 elephants. The availability of water will ensure and greatly contribute to food security and reduce incidents of human-wildlife conflict. Villages in the Epukiro constituency of the Omaheke region are facing a critical water shortage due to dried out boreholes, damaged borehole engines and depleted underground water. The most severely affected villages include Okombomi, Otjitundu, Otjiuarongo, Ozombouvapa, Onguejakombango, Ouetatuhe and Ohakavena. The office of the Ministry of Agriculture, Water and Forestry reported that it will address the water scarcity issue upon availability of funds. The N$3 million received from the Prime Minister earlier in 2019 has already been distributed amongst the seven constituencies in the region with each getting N$ 428 000. Two boreholes in Okombomi are going to be rehabilitated off the allocated funds, Otjitundu will get a new borehole, whereas Ozombouvapa might get water from Otjimati depending on the remaining funds or when the office receives other funding.
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NOVEMBER, 2019 13
Arandis to Prioritize Prepaid Water The Arandis Town Council launched a prepaid water meter project at the beginning of November 2019, as part of the Arandis Logistics and Truck Port project with the funding of the Ministry of Urban and Rural Development (MURD). Speaking at the project launch, the Mayor of Arandis reported that the project will connect households and give them the ability to monitor their water use. With the use of prepaid water meters, there will be no accumulation of debt as bills will be simultaneously collected while stimulating economies of scale.
www.rdjconsulting.co.za
14 NOVEMBER, 2019
With the predicted upcoming rainfall season, many of the Namibia roads are likely to be flooded, and fail to give acess to a few communities. Additionally, majority, if not all local rivers, dams and oshanas' water levels will rise, making farming more productive. Priscila Olga RDJ Consulting
www.rdjconsulting.co.za
NOVEMBER, 2019 15
A Guideline to Farmers on Preparing for the Rainy Season
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fter a long period of little to no rain in Namibia, hope has been brought to people (especially farmers) as the rainy season has started and weather forecasting predicts heavy rains. With the current economic situation in the country and world at large, investing in agriculture might revive the economy and as such farmers should use the rainy season to their advantage. In as much as the rain is associated with good fortune as it fills up rivers, grows vegetation, it also has its bad impact on the environment such as contributing to soil erosion. For this reason, farmers are advised to fix the problems soil erosion and bush encroachment that might hinder the growth of their vegetation before the rain comes in full force.
After being hit by a long period without rain, which was worse than the devastating 2012/13 season, it is necessary to ensure a good use of every drop of rain received. Hence, a method used to deal with the two stated problems is done while controlling bush densities by mechanical means such as cutting down the bush. The cut bush canopy can be left to cover the soil [canopy overlaying] in order to control soil erosion. By that, the canopy will act as a shield from extreme heat; it will provide shade, retain moisture, block the soil particles, seeds, and organic matter from being blown by wind or flowing with water. Most importantly, the canopies will reduce water flow (run-off), allowing more water to sink into the soil.
www.rdjconsulting.co.za
16 NOVEMBER, 2019
THE ENVIRONMENT & SUSTAINABILITY
Photo Showing Crop Farming during harvest season. Credit: RDJ Photo
Project: Improving Rangeland and Ecosystem Management
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he Improving Rangeland and Ecosystem Management (IREMA) project was officially launched on 14 June 2019 by the Minister of Environment and Tourism (MET) at Warmquelle in Kunene. On 30 October 2019, an inception workshop in Opuwo took place under this project, where a steering committee was established to support, guide and oversee progress. The aim of the IREMA project is to assist smallholder farmers in the Fransfontein, Sesfontein and Warmquelle areas to survive under the current climatic conditions. The project will cost N$130 million, an amount that has already been secured from the Green Climate Fund (GCF) through the Environmental Investment Fund (EIF) of Namibia which administers the project under the ministries of environment and agriculture. The appointed committee includes the office of the Kunene governor – a representative from the Namibia National Farmers Union (NNFU) and the president of the Kunene Farmers Union; a representative of Groot Berg and vice-chairperson of Braunfels Farmers Association; the secretary of Sorris Sorris FA; the chairperson of
Tsause Kainatseb FA; and the secretary of MorewagVersteendewoud FA. Others included are Representatives from the Bergsig, Sesfontein and Khowareb farmers associations and officials from the ministries of rural development and land reform. The project has already commenced and is currently in the consultation phase of the implementation process. The IREMA project seeks to address measures to mitigate climate change through crop production for food security, improve livelihoods of the people, fodder production and building resilience of the communities to adapt to the negative impacts of climate change in Kunene region.
PREGON to Take on RFA Study
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regon consulting Engineers won the tender to conduct feasibility studies on tolling roads for Road Fund Administration (RFA). According to RFA chief executive officer, in 2018, Tolling was found to be unnecessary due to low traffic. However, at the moment this is seen to be more feasible at the moment, as the number of vehicles circulating has increased from 196 000 to 370 000. Hence, the Consulting Company is expected to carry out this study for the RFA.
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NOVEMBER, 2019 17
Don't Bin It, Recycle it!
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A Need for E-Waste Management Policy in Namibia
he deputy director of policy and regulations in the Ministry of Information and Communication Technology (MICT) said there is a need for the for-mulation of e-waste specific policies and regulatory framework to intensify public awareness and consumer education on e-waste. One of the challenges in dealing with e-waste is that the current laws and policies on general waste management do not have a clear-cut definition on how to deal with e-waste. Additionally, the increase in e-waste is caused by an increase in the use of electronics with a shorter lifespan. These, are eventually laid off, with no proper disposal guidelines. Other challenges of e-waste management include the lack of data on e-waste management in the country, lack of a coordinated approach from the relevant stakeholders and lack of infrastructure for appropriate waste management.
Without enough data on e-waste, an informed decision on it cannot be easily made. The city currently only has two companies that deal with e-waste and have a policy for solid waste management, which aims to provide a framework for waste management, irrespective of the nature, toxicity and quantity of the waste. The policy also aims at reducing the risk impact of waste on humans and the environment, as well as to minimise waste generated per capita. The country is challenged with residents who don't know where to take their e-waste and this leads to illegal dumping. Unfortunately, there are also no national policy and laws to act against this act. The local by-laws stay without support, and it is made worse since the country lacks concrete data on e-waste laid around.
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18 NOVEMBER, 2019
Using Namibia’s Natural Resources Sustainably – Work Globally to Change Locally AUTHOR: Dr Lara Beer PHOTOS: Christian Stiebahl
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he value chains of climate-smart agriculture, sustainable forest management and integrated management of freshwater fisheries were at the centre of discussions of a national conference on 2 October 2019, hosted by the Hanns Seidel Foundation Namibia in partnership with the Namibian Parliament and the Namibia Nature Foundation, as well as various national and international stakeholders. The Minister of Environment and Tourism, Pohamba Shifeta, addressed the more than 200 participants at the Safari Court and Conference Centre, highlighting ecosystem services as key to Namibia’s economy and human well-being. humanitarian aid. On 2 October 2019, the Hanns Seidel Foundation Namibia (HSF), in partnership with the Parliament of the Republic of Namibia and the Namibia Nature Foundation (NNF) as well as various national and international stakeholders hosted a one-day conference along the value chain of three renewable source-based sectors, namely agriculture, forestry and freshwater fishery. More than 200 participants took part in the event at the Safari Court and Conference Centre. Various speeches by high-level representatives of government, presentations by national and international experts as well as lively and partly emotional panel discussions contributed to outlining the current state of the afore-mentioned sectors, as well as to identifying potential pathways for a bioeconomy-based value chain for Namibia. After the welcoming remarks by the Speaker of Parliament, Hon. Prof Dr Peter Katjavivi, the HSF Resident Representative, Dr Clemens von Doderer, set the scene by elucidating the objectives and outputs expected with a plastic illustration, referring to the three pillars of sustainability (economy, social, environment). Vividly he demonstrated the need for balancing the three pillars for the establishment of a sustainable bioeconomy in Namibia. This was followed by an impulse talk by Prof Dr Gilbert Nduru from Karatina University on Kenya’s efforts to stimulate its rural bioeconomy. Nduru pointed out that solutions-based research in communities, focus on biological diversity strategies, policy and resources resources processes in the face of a sustainable value
Illustration of the three pillars of sustainability
chain, as well as effective monitoring and evaluation are key considerations for a successful exploitation of bioeconomy's potential. According to the professor, bioeconomy is an important driver of a future green and circular economic growth that takes societal concerns as well as those of the environment into consideration. It can further create new jobs and improve livelihood opportunities, as well as enhance public health, food security and nutrition.
Session I: “The Current State of Agriculture and Climate-Smart Ways Towards Food Security” The appearance of perennial droughts which seem to become the norm in Namibia, as well as the severe recession of Namibia’s economy were highlighted by Agribanks' CEO Sakaria Nghikembua in his setting-the scene presentation. Focusing on the current state of agriculture, he pointed out that agriculture’s contribution to GDP is in long-term decline and that sector’s contribution to employment concomitantly decreases despite an increase in funding for the agriculture sector. After the setting-the scene, Session I was formally commenced by the session keynote speech, delivered by Hon. Minister Alpheus !Naruseb who assigned Mildred Kambinda, Director of the Directorate of Agricultural Production, Extension and Engineering Services at the Ministry of Agriculture, Water and Forestry (MAWF).
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NOVEMBER, 2019 19
Dr Miguel Fernández Carrillo, Agricultural Engineer and Management Technician on Plant Health at the Ministry of Water, Agriculture, Livestock, Fisheries and Environment in the Region of Murcia, Spain, then broadened the perspective of the discussion by his overseas' country example on climate-smart agriculture from Spain. He outlined the climate-smart and innovative approaches towards sustainable food production of the Murcia Region. Furthermore, the overseas’ country expert illustrated current challenges agriculture is facing in Spain (e.g. global climate change, soil protection, diversification of the rural economy, enhancing of bioeconomy), and explained how they are responding to these challenges by utisiling some examples. The agriculture session (I) concluded with a panel discussion, moderated by Agribanks’ CEO Sakaria Nghikembua. The panel included the two previous speakers as well as three further experts, namely Roelie Venter, Executive Director of the Namibia Agricultural Union, Prof Dr Oliver Ruppel, Professor for Law at the University of Stellenbosch, and Joseph Hailwa in his capacity as Acting Deputy Executive Director of the Ministry of Agriculture, Water and Forestry (MAWF). Initial questions which were prepared by the moderator concerned governmental plans to guide Namibia out of the drought crisis and to transform into a climate-smart agriculture. Governmental plans for drought mitigation are among others engagement in irrigation schemes, desalination programmes and improvement of water infrastructure (e.g. expansion of canal systems, supply of borehole water). The Government representative pointed out that - even the economy is not so well recently irrigation systems for agricultural production are of great importance. Concerning the transition to climate-smart agriculture, the Farmer Unions' representative highlighted the need of rangeland restoration. The current ratio of grass and bush has to be changed and rangeland has to be more intensified. He further stated that water needs to be utilised particularly for food production. Additional questions from the audience concerned the use of smart technology and the actions regarding the improvement of the soil water holding capacity. It was highlighted that the opportunity to use cell phones for information gathering is crucial, particularly for land users in communal areas. Decision-makers should have
Setting-the scene by Sakaria Nghikembua, Agribanks’ CEO
the opportunity to get information from around the world. Therefore, a gapless network coverage is important for Namibia. Concerning the soil water holding capacity, government representatives referred to their training programmes, awareness-raising campaigns as well as their technical demonstrations which are conducted around the country. In conclusion, the panel discussants agreed on the need for an integrated approach to improve the current situation on the ground. Ministries affected should sit together and should work globally to make a change locally.
Session II: "The Sustainability of Forests and Its Ecosystem Services" The conference's second session was opened by Dr Vera de Cauwer from the Namibia University of Science and Technology (NUST). Her setting-the scene presentation gave a brief insight on the current situation of Namibia’s Forestry and necessary improvements. She criticised a lack of research and assessments on the forests. Furthermore, she mentioned data on growth rates and certification as important tools for ensuring a sustainable use of timber resources. After the setting-the scene, Hon. Pohamba Shifeta, the Minister for Environment and Tourism (MET), opened session II officially by delivering the session keynote speech. Referring to Article 95 (l) of the Namibian Constitution as more important ever now, he underpinned the need to fight against deforestation, while ensuring the devolution of rights accompanied by livelihood improvement opportunities through ecosystem services and the sustainable use of forest resources.
“Irrigation systems are of great importance” “need of rangeland re-storage” “opportunity to use cell phones for information gathering is crucial” www.rdjconsulting.co.za
20 NOVEMBER, 2019
Session Keynote Speech by Hon. Minister Pohamba Shifeta
“Ecosystem services are of particular importance to themost deprived sections of our society, especially our communities residing in rural areas. (…) It is particularly important that we desist from exploiting any of our natural resources for short term gains which ignores the future and thereby sacrifices the future generations.” Craig Norris from NCT Forestry Co-Operative Limited and representative of PEFC (Programme for the Endorsement of Forest Certification) delivered a presentation on forest certifications. He considered the question if forest certification could be a tool to ensure sustainable management of timber resources in South Africa. Norris expounded the long-term management of forest assets and the elimination of illegal activities. Both would be provided through forest certification, as well as better prices and international investments. The next impulse talk was given by Henrik Janer from the Finnish company Risutec. The overseas’ country example illustrated how Finland handles different issues in silvicultural practice and showed practical solution approaches regarding climate change. Similar to the first session, the second one was concluded by a panel discussion, moderated by Dr Absalom Kahumba from the University of Namibia (UNAM). The panel consisted of Dr Vera de Cauwer, Craig Norris and Henrik Janer as well as of three further experts, namely Martha Naanda, Programme Specialist / Head at UNDP, Dr Chris Brown, CEO of the Namibian Chamber of Environment (NCE), and Joseph Hailwa, Director of the Directorate of Forestry, MAWF.
Questions which were raised during the very animated and emotional panel discussion concerned opportunities for adding value to the value chain of forest material, amount of timber resources left and control mechanisms against illegal deforestation. During the discussion, it became clear that forest material should only be exported after value had been added to leave the value in the country. “But this process will take time”, stated Dr de Cauwer. In the meantime, communities need more encouragement and the establishment of a timber processing industry has to be secured. In addition, the panellists highlighted that trees offer much more than only an economic value. Services such as carbon storage, biodiversity, improved water holding capacity, flood protection or fodder provided by the forest ecosystems should also be taken into account. The panellists further agreed that for ensuring a more sustainable management of forest resources, a coherent and complete national forest inventory is needed. Currently no reliable data on forest areas and timber resources is available. In terms of control mechanisms, the government representative stated that the current permit system used is the best available, but that they are trying to improve constantly and, that they are open for recommendations. The audience could witness a lively and engaged discussion. Overall, it became clear that a there is a lack of communication and more stakeholder platforms are needed to jointly and actively address the numerous challenges Namibia’s forest sector is facing. A possible starting point could be a change in the job description of forestry management, one of the panellists said.
Session III: "Integrated Freshwater Fisheries"
Management
of
Dr Clinton Hay from UNAM and representative of the Namibia Nature Foundation (NNF) gave in his setting-the scene an overview of the role of fishery regarding global hunger and malnutrition and offered information about fishery in Namibia, especially focusing on the Zambezi/Chobe Rivers. He also eluded to the issues of value of inland fish, impact of climate change and fish protection.
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Panel discussion in session II
NOVEMBER, 2019 21
The keynote speech for this session was delivered by Hon. Sylvia Makgone, Deputy Minister of the Ministry of Fisheries and Marine Resources (MFMR), on behalf of Hon. Benard Esau, the MFMR Minister. Dr Louise Lange from the Centre for Environment Fisheries and Aquaculture Science (CEFAS) in the United Kingdom (UK) then broadened the discussion on freshwater fisheries by her overseas' country example from the UK She illustrated potential threats to freshwater biodiversity and talked about the impact of non-native species from a globally as well as Namibian point of view and she explained CEFAS work on invasive species management. The third session was also concluded by a panel discussion, moderated by Kirsty Watermeyer. The panel included Dr Hay and Dr Lange who were joined by three further experts, namely Renier Burger, representative of MFMR, Sekgowa Motsumi, Okavango Basin Programme Director of The Nature Conservancy (TNC) from Botswana, and Evans Mutanuka, Chief Fisheries Officer at the Zambian Ministry of Fisheries and Livestock. The latter was asked to report on the functionality of freshwater fishery in Zambia. Zambia makes use of aquacultures to satisfy their demand for fish but, Mutanuka also stated that aquacultures are only an interim fix and not a real solution with long-term character. Furthermore, the Zambian expert highlighted that freshwater fishery is a transboundary issue; there is a need of transboundary interventions in which all adjoining states, communities etc. have to work together to meet the existing challenges and problems. Eluding to the Botswana example and how they are managing their freshwater fishery resources, Mr Motsumi made clear that the complexity of the whole system needs to be considered and holistic solutions are needed to properly manage freshwater fisheries. Dr Hay pointed out the relevance of community support. The responsibility on freshwater fishery has to be given to the communities, but they need support from government. Further, the moderator raised the question on risks and options of fish production in aquaculture in Namibia.
Closing Remarks by Hon. Nangula
MFMR representative Burger explained that due to climatic limitations (minus degrees in Namibian winters), species mix and low economic attractiveness (e.g. lower income per square meter than chicken production) aquaculture is not of real interest for Namibia. But, if the fish production is combined with crop growing in aquaponic systems, Burger sees potential for Namibia; aquaculture is not the solution, aquaponic could be. Overall, it became clear that fish resources have to be secured for the communities who depend on that fish. The need for an integrated, community-based approach became apparent. Freshwater fisheries management is a joint responsibility and needs therefore intergovernmental dialogues. The Conference was officially closed with the closing remarks by Hon. Ruusa Joyce Nangula, Member of National Council and Member of Namibia Conservation Parliamentary Caucus (NACOPAC), and the vote of thanks by Hon. Sophia Swartz, Member of Parliament and Chairperson of the Parliamentary Standing Committee on Management of Natural Resources. Afterwards, all participants were invited to an informal cocktail reception. Panel discussion of session III
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22 NOVEMBER, 2019
TELECOMMUNICATIONS
Photo Showing a modern Network Tower Credit: RDJ Photo
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MTN Broadens Connectivity Countrywide
he Mobile Telephone Network (MTN) Business Namibia owned by a telecommunication company with operations in 24 countries, has a mission to ensure that their customers lives are a whole lot brighter. The company’s services are accessible countrywide but the fixed LTE services are currently being broadcasted at nine sites and the number is growing. Following their installation of two towers at the Dome in Swakopmund and town center in Walvis Bay, MTN has made yet another remarkable achievement after launching its LTE (4G) service at the coast. The LTE (4G)
development makes faster and reliable internet connectivity for home and office use in Swakopmund and Walvis Bay. MTN customers now have access to a wireless broadband communication service that delivers super-fast internet without congestion at a reasonable price designed to suit the budget of home and small businesses. MTN has also launched two additional towers in Cimbebasia and Rocky Crest in Windhoek during the month of October 2019, and is offering a festive gift of free installations for November 2019 to January 2020.
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24 NOVEMBER, 2019
FINANCING
TIKA Continues to Provide Drought Relief Assistance to Namibia
The Chinese Government Provides Medical Services
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he Turkish government has been assisting Namibia through the Turkish International Cooperation and Development Agency (TIKA), and has promised to continue helping in any other ways possible. Their activities in different regions of Namibia are concentrated in areas like; healthcare, formal and vocational education, training, agricultural development, irrigation, water and sanitation, women empowerment, solar energy, capacity-building, wildlife preservation and humanitarian aid. Currently with the ongoing drought, the Turkish government through its Ambassador to Namibia donated five (5) water tanks to Tsandi consistuency in Omusati Region to carter for people living in Litatu, Okatseidhi East, Ombwata B, Oluhalu and Amaupa. Food parcels were also handed out to families living Oshakati, Oshikongo, Osire, Okahenge and Windhoek. Future plans include the project for water and solar energy provision, as well as the drilling of a borehole in Nyondo West in Kavango East.
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epresented by its Vice Premier, the Chinese government donated two ambulances worth over N$820 000 to the Ministry of Health and Social Services (MHSS), and also launched a telemedicine approach. According to chironhealth.com, Telemedicine refers to the practice of using telecommunications technology to evaluate, diagnose and care for patients at a distance. Although the approach has been around for decades in limited fashion, it is reported to be quickly becoming an important and mainstream channel of healthcare delivery in the United States. Speaking at the Launch, the Ministry’s Executive director explained that the telemedicine approach will enable local eye specialists to consult Chinese experts via conference calls in order to make sound diagnosis of their patients. chironhealth.com reports that included in telemedicine are patient consultations conducted through audio and video conferencing, remote monitoring of vital signs, nurse advice lines, transmission of images, and test results. Hence, the action by the Chinese Government is beneficial in a way as it cuts transportation and accommodation costs of rather physically inviting a Chinese doctor over to assist in patients’ diagnosis.
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NOVEMBER, 2019 25
The Kavango West Development Fund Finances Students and Businesses in the Region
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n 31st October 2019, the Kavango West Development Fund was officially launched by the Minister of Works and Transport (MoWT) during a gala dinner hosted by the office of the Region’s governor, in conjunction with the Kavango West Regional Council. During the dinner, more than N$120 000 was raised, and a number of pledges were made towards the fund by companies, government agencies and individuals. The fund was created to help hardworking students at school and in institutions of higher learning that come from poor backgrounds. A part of the fund will also be allocated to funding feasible business projects pioneered by women and the youth as a way of developing the region, and generally contribute towards the development of the region, which has a population of about 90514 people.
DBN to Provide start-up capital to Graduate Entrepreneurs
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o deal with the problem of unemployment, the government has raised N$30 million as capital for a project to fund graduates. 60% of the funds will be allocated to graduates from vocational centres who are below 35 years and with tangible business plans, while 40% will be for loans to young graduates who have bankable projects. This message was conveyed by the minister of finance at the launch of the funding strategy for SMEs. The project will cater for start-ups and existing businesses owned by graduates, provided that they are feasible. Participants will benefit from favourable lending rates, low-value collateral and minimum out-of-pocket capital requirements. Instead of approaching commercial banks, the Chief Executive Officer of Development Bank of Namibia (DBN) advised graduates who wish to turn their skills into business to rather approach the Development Bank directly to apply for the skill-based funding as of 1st December 2019.
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26 NOVEMBER, 2019
TENDERS
Tender to Supply Coal to Van Eck Awarded
CENORED
Early October, the Central Procurement Board confirmed the award of the tender to supply coal to Van Eck Power Station located in the Northern Industrial area of Windhoek. Van Eck is a 120 megawatt (MW) coal-fired thermal Power Station which acts as a back-up power supply to the city of Windhoek.
Tender Name/Description: The supply, Delivery, Installation, Testing and Commissioning of 11KV Switchgear for Grootfontein income station. Closing Date: 11 December 2019, at Otjiwarongo.
The tender to supply coal is worth N$66 million and was awarded to the joint venture of Coleman Transport and Three Quest Trading, after analysing a total of 22 companies that vied for the bid.
Tolling Roads Tender for RFA Awarded Having the lowest financial score of a bid worth N$1.2 million, Pregon Consulting Engineers (Pty)Ltd has been awarded the tender to conduct feasibility studies on tolling roads for the Road Fund Administration (RFA). The feasibility study on tolling Namibian roads comes at the time the Road Fund Administrator is in need of an additional N$1.1 billion this financial year to maintain roads. According to RFA chief executive officer, back in 2018, the RFA found no need to conduct the study due to a low daily traffic flow observed. However, with the increase in the number of registered vehicles from 196 000 back then to 370 000 to date, the need to do so is seen more feasible now.
NAMPOWER Tender Name/Description: Procurement of legal advisory services pertaining to the otjikoto biomass power station Closing Date: 31 Jan 2020 at 11:00 Namibian Time Tender Name/Description: Construction of the Medium Voltage (MV) and Low Voltage (LV) Networks at Ouma and Ondeipanda Villages in Omusati Region Closing Date: 31 Jan 2020 at 11:00 Namibian Time
ERONGORED Tender Name/Description: Appointment of an Insurance broker for Erongored for a period of three years. Closing Date: 06 December 2019
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OCTOBER, 2019
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CONTRIBUTING AUTHORS
David Jarrett (Managing Consultant) RDJ Consulting Services CC Priscila Chilombo Olga (Economist) RDJ Consulting Services CC Naemi Shoopala (Research Intern) RDJ Consulting Services CC Misozi Mugala (Research Intern) RDJ Consulting Services CC Kina Indongo (Marketing & Communication Intern) RDJ Consulting Services CC Selma Taapopi (Marketing & Communication Intern) RDJ Consulting Services CC Peter Haufiku (Statstics Intern) RDJ Consulting Services CC
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