RDJ Briefing November 2018

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News & Analysis

Country Briefing

Namibia November 2018

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SUSTAINABILITY

November 2018

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Country Brief – & NAMIBIA ENERGY


Country Brief – NAMIBIA

Population size Employment Literacy

November 2018

2.30 million 62.7%1 89.00%

GDP Growth 2018(P) 1.4% Repo Rate 6.75% Interest rate (Prime) 10.50% Inflation rate 5.10% Budget (Current) N$65.0 Billion2

Geographic size 824,292 km²

Free vector map of Namibia outline - by One Stop Map

Industries Telecom (sophistication) Mobile - cell phones Water Availability / capita3 Electricity Gen. (Local) Electricity Demand (all)

Tourism, Mining, Fishing LTE 2.575 million subscribers 8, 800, 000Litres/capita 484.000 MW 629.000 MW

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Namibia Labour Force Survey (NLFS) of the Namibia Statistics Agency (NSA) http://www.mof.gov.na/documents/27827/506801/Budget+Speech+2018.pdf/3f0b42f6-2c2d-4502-bca8b84f5d6951cc 3 2005 Figures https://www.greenfacts.org/en/water-resources/figtableboxes/aquastat123.htm

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Country Brief – NAMIBIA

November 2018 COVER PAGE IMAGE RDJ Photo

This report is a FREE Publication and was prepared by RDJ Consulting Services CC based in Windhoek, Namibia. The content is collated from publicly available information and so its accuracy cannot be guaranteed.

Advertising aligned with our objectives of Sustainable Resource usage is welcome. Contact Details; RDJ Consulting Services CC PO Box 23738 Windhoek, NAMIBIA

Editor: David Jarrett Author: RDJ Consulting Interns*

Telephone: +264 61 400 171 Email – briefing@rdjconsulting.co.za RDJ Consulting Services CC is an advisory consultancy to the Energy, Water and Transport Sectors with a focus on sustainable operations and renewable energy.

*see editor information for full details!

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Visit our website www.rdjconsulting.co.za for more information.


Country Brief – NAMIBIA

November 2018

............................................................................................................................... 8 National Economics Fast Facts ........................................................................................................... 9 A glimpse at Namibia’s Economic Growth over time ..................................................................... 10 Namib Mills’ food prices .................................................................................................................. 11 The Agriculture Sector Performance – leading to high food prices................................................ 12 ............................................................................................................................................... 14 November 2018 Fuel price ............................................................................................................... 15 Blocks 2913B and 2912 to be explored............................................................................................ 16 Tower Resources into Namibia’s Oil exploration ............................................................................ 16 ................................................................................................................................................ 18 .............................................................................................................................................. 20 Tariff Charges explained .................................................................................................................. 21 ................................................................................................................................ 23 A glimpse at Namibia’s Future Energy Supply................................................................................. 24 SACREE Launch ................................................................................................................................. 25 .................................................................................................................................................... 26 Windhoek celebrates 50 Years of recycling water .......................................................................... 27 Neckartal Dam construction is now completed .............................................................................. 27 Weather Forecast ............................................................................................................................. 27 Finding Sustainable Water Management Approaches for Namibia ............................................... 28 Villages in Omusati get potable water ............................................................................................ 29 Rundu relieved of the water crisis ................................................................................................... 29 Clean water supply to Onjuva Clinic ................................................................................................ 29 .................................................................................................... 31 Plastic Pollution Management ......................................................................................................... 32 Amendment of the 2007 EMA needed ............................................................................................ 33 A correlation between Deforestation and Food Security ............................................................... 34 ............................................................................................................................ 37 Gross Barmen gets network coverage ............................................................................................. 38 Namibia's ICT Prospects ................................................................................................................... 38

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Country Brief – NAMIBIA

November 2018

Air Namibia is flying to Zimbabwe again ......................................................................................... 40 Air Namibia offers Freight Services ................................................................................................. 40 ............................................................................................................................................... 41 Financing Youth in Technology needed ........................................................................................... 42 Funding needed for RE projects ....................................................................................................... 42 Financing Hosea Kutako International Airport revamp .................................................................. 42 ................................................................................................................................................. 43 Rail & Road Tender........................................................................................................................... 44 ErongoRED ........................................................................................................................................ 45 Ministry of Mines and Energy .......................................................................................................... 45 .................................................................................................................................................. 46

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EDITORIAL TEAM ............................................................................................................................. 47


Country Brief – NAMIBIA

November 2018

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Country Brief – NAMIBIA

November 2018

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Figure 1: image source - https://www.karobardaily.com

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Country Brief – NAMIBIA


Country Brief – NAMIBIA

November 2018

National Economics Fast Facts4

Major imports

• foodstuffs; petroleum products and fuel, machinery and equipment, chemicals

Major Exports

• diamonds, copper, gold, zinc, lead, uranium; cattle, processed fish, karakul skins

Fiscal Year

• 1 April - 31 March

Monetary Unit

• 1 Namibian dollar (N$) = 100 cents

“This budget calls on the collective support for all Namibians, and, more than ever before, the contribution of the private sector to the national development objectives.” Hon. Minister of Finance, Calle Schlettwein – Budget Speech: 7 March 2018

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https://www.asycuda.org/dispcountry.asp?name=Namibia

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Country Brief – NAMIBIA

November 2018

A glimpse at Namibia’s Economic Growth over time

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he last time Namibia had a negative economic growth was in 1993, where it stood at a value of -1.58%. This was then followed by a less than 5% growth over the following years, till it reached to the highest record of 12.27% growth in 2005. However, a negative trend occurred in 2017, where the economy faced a downfall, ending up with a negative growth of -0.77%. 14 Economic Growth (%)

12 10

Ecomomic Growth (%)

8 6 4 2 0 -2 -4

Years

Figure 2: Namibia’s Economic Growth (the rate of change of real GDP) for the past 36 years - Data source theglobaleconomy.com

In line with this, Finance Minister, Schlettwein highlighted the fact that the country, being a mixed economy where the private sector should be driving economic growth, he called on “discussions and commitments to an effective partnership between the government, industry and the development partners of a more inclusive, home-grown sustainable economic growth trajectory. The defining principle of economic order is that we are a mixed economy, with the private sector supposed to serve as the engine of growth and job-creation.”

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Although it looks like foreign investments in the country are likely to grow the economy in

the long-term, Brown noted that Namibia should create an environment that is open for these investments.

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According to a local economist Rowland Brown, a large part of the past economic growth was linked to debt. Hence, the government will not be able to borrow at the same rates as previously in future due to the ongoing unstable debts levels. He pointed out however, that if the country has to experience any long run growth, it would not be government-driven, but rather private sectordriven. “The bottom-line when it comes to this is that the government and households are unlikely to be the big drivers of growth. Thus, we will have to look at other avenues for growth”.


Country Brief – NAMIBIA

November 2018

Namib Mills’ food prices

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ood is everyone’s daily basic need. Many Namibians have noticed lately an increase in food prices from the different local supermarkets when shopping. This increase in food prices followed a recent increase in transportation fares that was blamed mostly on constant fuel price increase. Increase in food pricing has a negative impact on consumer’s purchasing power. Recently, Namib Mills, a proudly Namibian company that specialises in producing high quality wheat and maize meal products has yet again announced that it will increase its product prices. The first time the company increased its food prices in 2018, was in June, as previously reported in the RDJ Briefing Publication of June 2018 (page 10). Now, Namib mills has once again announced on 12th October 2018t that it was going to elevate its products prices due to the weakening exchange rate of the Namibia dollar against the US dollar and euro. Another contributor to this is the global price of raw wheat, after they have been on an increase due to the demand for wheat exceeding global production quantities.

"Increase in fuel cost due to the increase in Brent crude oil prices, weakening of the Namibia dollar against the US dollar and an increase in fuel levies by the government resulted in the increase of business cost" Namib Mills Acting Brand Manager Marné Bouwer

Despite requests directed to the government to make the cost of business in the country low, indirect taxes such as levies, including fuel levies, affect the cost of doing business in the country. These costs are exorbitant because they are made up of sales cost which are carried over a long period of time. This makes it difficult for business to bear the cost alone. Also, another economist Klaus Schade outlined that prices were being raised for wholesalers and retailers and, depending on the shops' price models, there is a likelihood that the shelf prices could differ for consumers.

“Given the increase in fuel prices, shops could increase the transport margin and add higher transport costs to the announced price increases”

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Economist Klaus Schade


Country Brief – NAMIBIA

November 2018

Below is a diagram displaying the selected Namib Mills Products whose price increased. Wheat Flour

Complete Mix

20% Price Increase

Pasta

Rice

20% Price Increase

Yeast

16% Price Increase

14% Price Increase

Mahangu

15% Price Increase

12% Price Increase

Figure 3: Namib Mills Products

The Agriculture Sector Performance – leading to high food prices

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he Namibia Statistics Agency’s (NSA) June quarter report indicates that the Agriculture and Forestry sector performance for that quarter decreased 19.8 percent year-on-year (YoY) to 1.1 percent. Notably, the poor performance comes as a results of a decrease experienced in its subsector which underperformed (a 6.9 percent YoY decline to 20.5 percent in value addition) because of limited rain. This means that farmers had to only concentrate on restocking their animals instead of looking for markets to sell their livestock. In Namibia, restocking of cattle means high prices for those in the market, due to transportations costs and product scarcity. For example, the NSA reports that cattle (fewer cattle require more fuel for transportation) exported live to South Africa and Angola contracted during the 2nd quarter of 2018, recording a decline of 22.6 percent while, small stock (more products, less transportation fuel) exported live to South Africa and Angola surged posting a growth of 7.7 percent during the same period. In general, transportation tends to determine the price of goods, and this is applicable to Namibia where distances between towns are very long.

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Figure 4: Agriculture real value added growth rate - NSA


Country Brief – NAMIBIA

November 2018

Taking a look back, we can also note that it was since the second quarter of 2018 (around June) that fuel prices have been going up. With this basis, farmers preferred exporting more of their small stock rather than their large livestock in order to maintain their expenses on fuel for transportation.

Food and Fiuel Imports

200

Food 150

Percent

∆%Food 100 Fuel 50 ∆%Fuel 0 2010

2011

2012

2013

-50

2014

2015

2016

2017

Year

Figure 5: Source: Authors’ compilation, data from Knoema and World Bank Group Country Profile

The domestic demand for food stood at 13.5 percent in 2017 compared to 12.7 percent recorded in the preceding year, resulting in 6.2 percentage change. The domestic demand for fuel on the other hand, also decreased to 10.2 percent in 2017 compared to a 12.6 percent, resulting in -19.32 percentage change experienced in the preceding year. This is attributed to the decrease in mining, construction (most of the lubricants used in the construction and mining sectors are imported), and farming activities (farmers stopped marketing their products such as livestock). The demand shortage outlines that prices of fuel had to stay constant or decrease to decrease supply. The decrease in fuel import led to a constant/decrease in prices for the first quarter of 2018 (around March) as seen in the figure. The decrease in prices during the same period also meant that it was cheaper for Namibian food importers to bring food into the local markets as fuel prices eased in that quarter.

Percentage Oil and Fuel Demand

The decrease in OPEC oil supply, which clearly happened since the June quarter of 2018 led to fuel prices surging and ultimately making it turbulent for Namibian food/fuel importers to increase their prices to cover transportation/pumping costs. Consequently, consumers have to be the ones to bear the costs associated with the latter.

Domestic demand for fuel and Oil Supply 40 30

Domestic demand for fuel

20 10

Oil Supply

0 2017 Q2

2017 Q3

2017 Q4

2018 Q1

2018 Q2

2018 Q3

Period

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Figure 6: Domestic Demand for fuel and oil supply; data from the World Bank Group and International Energy Agency (IEA)


November 2018

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Namibia has no refinery capacity to-date

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Country Brief – NAMIBIA


Country Brief – NAMIBIA

November 2018

November 2018 Fuel price5

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he Ministry of Mines and Energy has announced that the fuel pump prices increased as of the 7th November 2018. Prices in Walvis Bay and countrywide are now as follows: ✓ Petrol (95 Octane) - N$ 13.95 /L ✓ Diesel (500 PPM) - N$ 14.48 / L ✓ Diesel (50 PPM) - N$ 14.53 / L

2018 Fuel Prices Petrol (95 Octane)

Diesel (500 PPM)

Diesel (50 PPM)

N$ 16.00

N$ 14.00

FUEL COST/LITRE

N$ 12.00

N$ 10.00

N$ 8.00

N$ 6.00

N$ 4.00

N$ 2.00

N$ 0.00

Figure 7: Namibia Fuel prices trend over the year 2018 - Data Source Ministry of Mines and Energy

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http://www.mme.gov.na


Country Brief – NAMIBIA

November 2018

Blocks 2913B and 2912 to be explored6

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he National Petroleum Corporation of Namibia (NAMCOR) happily announced the execution of Joint Operating Agreements (JOAs) named with Total E&P Namibia BV (Total) and Impact Oil and Gas Namibia in Cape Town South Africa to jointly explore deep water block 2913B. Despite this block being located 150km west of the Kudu Gas field, recent exploration wells along the outer fringes of the Orange Basin have demonstrated that there exists a rich oil prospective zone running through the block. NAMCOR is reported to hold 10% carried interest in this block which covers an area of about 9000 km2. In addition, the NAMCOR and Total partnership concluded a Joint Operating Agreement in respect of Block 2912 also located in the Orange Basin. NAMCOR holds a 15% carried interest in the Block 2912 and Total holds the remaining interest. In both agreements, Total will act as Operator of both Block 2913B and Block 2912.

Tower Resources into Namibia’s Oil exploration7

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new oil exploration concession has been reached between the National Petroleum Corporation of Namibia (Namcor) and Tower Resources Namibia, a subsidiary of a Londonbased oil and gas company Tower Resources. The concession involves an 80 percent of operated interest in blocks 1910A, 1911 and 1912B, offshore Namibia with 20 percent of Namcor and ZM Fourteen Investment CC. The blocks cover 23 297 km2 in the Walvis Basin and Dolphin Graben. Through recent drilling results of geological evaluation which identified the presence of Albian carbonate and Upper Cretaceous and Palaeocene turbidite reservoir intervals, the Figure 8: Image Source - www.offshoreenergytoday.com company says there is a presence of a working oil-prone petroleum system and good quality turbidite and carbonate reservoirs in Namibia. The agreement has a four-year initial exploration period and could be extended to five years. The initial cost during the period is estimated to be $5 million.

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https://economist.com.na/39784/mining-energy/total-joins-impact-and-namcor-in-deep-water-block/ https://energynetwork.business.blog/2018/11/08/tower-resources-inks-new-petroleum-agreement-innamibia/

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Country Brief – NAMIBIA

November 2018

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Country Brief – NAMIBIA

November 2018

The Langer Heinrich Mine is located at the foot of the Langer Heinrich Mountain in the Namib Desert in western Namibia

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Figure 9: Image courtesy of https://neweralive.na


Country Brief – NAMIBIA

November 2018

Rössing Uranium gets a new MD8 After having served as Managing Director of Rössing Uranium, Werner Duvenhage was officially substituted by Richard Storrie on 29 October 2018. This came about after the chairperson of the board of directors of Rössing Uranium Limited, Mrs Foibe Namene announced the transition. Rössing’s current managing director, Werner Duvenhage, will ensure a thorough transition to Richard before taking up another position in Rio Tinto. Rössing Uranium was discovered in the Namib Desert in 1928, but it was not until intensive exploration in the late 1950s that much interest was shown in the area. After discovering numerous uranium occurrences, Rio Tinto secured the rights to the low-grade Rössing deposit in 1966. Ten years later, in 1976, Rössing Uranium, Namibia’s first commercial uranium mine, began operating and celebrated its 40th year of production in 2016.

Figure 10: Image courtesy of https://www.rossing.com

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https://www.rossing.com/bullet/rossing-new-managing-director.htm

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November 2018

ELECTRICITY: • Generation

• Transmission

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• Distribution

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Country Brief – NAMIBIA


Country Brief – NAMIBIA

November 2018

Tariff Charges explained9 CHARGE TYPE

Service Charge

CHARGE DESCRIPTION AND USE The service charge (traditionally referred to also as basic charge) is a fixed charge that has the purpose of covering all administrative costs of the particular type of power supply point. The charge often designed to recover some of the fixed network costs relating to the type of supply point in question, e.g. the cable costs for house connections or the overhead lines for farm connections.

Capacity The capacity charge is a fixed charge that has the purpose of covering all fixed costs related to the size of the particular type of power supply for small to medium power Charge users (i.e. related to how much capacity is made available to the customer). Demand Charge Energy Charge

ECB Levy

The demand charge is a partly variable charge (with a minimum amount based on 70% of the notified demand of the supply point) that has the purpose of covering all fixed costs related to the size of the particular type of power supply for large power users. The energy charge is a variable charge, depending on actual consumption, and has the purpose of covering at least all variable costs in the power supply system attributed towards the particular power supply. This is a levy payable directly to the Electricity Control Board (ECB) of Namibia, which SERVES AS THE Namibian electricity supply industry regulator. The ECB also approves all electricity tariffs applicable in Namibia and licenses electricity distribution & supply.

GENERAL At present CENORED is trying to simplify and harmonize tariffs in its license area. This process cannot be completed within a year. For instance, local authority surcharges apply in certain areas and not in others. Also, the various types of charges represent a mix of the above charges. As such CENORED is working with the ECB to harmonise tariffs over a period, typically 3 years.

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https://www.cenored.com.na/tariffs/tariff-charges-explained/522/

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November 2018

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Figure 11: Source - ECB

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Country Brief – NAMIBIA


Country Brief – NAMIBIA

November 2018

Solar Water Heating comes with many benefits. • Energy Independence • No/Less Environmental Impact • Financial Benefits

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Figure 12: Solar Water Heating System


Country Brief – NAMIBIA

November 2018

A glimpse at Namibia’s Future Energy Supply

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n order to go in line with its National Integrated Resource Plan (NIRP), the Minister of Mines and Energy intends to install an additional capacity of 220MW within the next three years to ensure national plans and goals are met. This capacity is exclusive of any embedded generation or rooftop installation done by the regional electricity distributors, private companies and individuals.

150MW to NamPower 70MW to IPPs •20MW for Solar in 2020 •50MW for wind in 2022

Apart from this, there are currently more than 14 IPPs in Namibia, and 11 of those Figure 13: Additional Capacity Breakdown projects which qualified for participation in the interim Renewable Energy Feed-In Tariff Programme have been commissioned, and now contribute to the country's electricity supplies with a total of 67,5MW-installed capacity. This equating to 15% of local generation capacity supplied, and is expected to increase by 41% in 2020. Furthermore, during the launch of the Ombepo 5 mw wind farm, the Minister stated their commitment of increasing the local electricity generating capacity from 400 to 600 MW. This includes providing electricity to all schools and health facilities by 2020, while increasing the rural electrification rate from 34% to 50% as well by 2020. The most recent National Development Plan 5, revised the energy situation of Namibia, and an even more ambitious target has been set by Government, where Namibia foresees achieving a sustainable mix of locally generated energy capacity of 755 MW to support household and industry development. Despite challenges such as existing long distances within country’s residential areas, as well as the buying power of the majority of people, the Minister of Mines is confident that the set targets can be achieved through the strategies as detailed in the NDP 5:

c) d)

Figure 14: Image courtesy of http://www.npc.gov.na

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b)

Expanding the bulk transmission and distribution infrastructure Harnessing indigenous resources for generating energy Promoting the entry of Independent Power Producers Transforming the current power market structure.

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Country Brief – NAMIBIA

November 2018

SACREE Launch10

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closer regional cooperation on development of Renewable Energy and Energy Efficiency through coordination of renewable energy and energy efficiency based projects has been for many years a priority task for the SADC Member States. 2018, has witnessed the realisation of this necessity when the Southern African Development Community (SADC) Centre for Renewable Energy and Energy Efficiency (SACREE) was to tackle energy-related matters in the region. Established in the context of a consultative preparatory process, which included the execution of a needs assessment and the development of the project document on the technical and institutional design of the centre, SACREE was officially launched in Windhoek on

On the occasion of the official launch of SACREEE, a series of events were organised in collaboration with partners. Among them, a workshop on renewable energy entrepreneurship support, on Energy Efficient lighting and appliances and a public dialogue on empowering the youth through clean-tech and innovation.

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https://www.sacreee.org/article/official-launch-sacreee-24-october-2018-windhoek-namibia

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24 October 2018, in the presence of several high-level interventions by ministers and deputy ministers responsible for Energy of Botswana, Mauritius Namibia, South Africa and Zimbabwe, SADC Secretariat, the Austrian Development Agency (ADA), United Nations Industrial Development Organisation (UNIDO) and the Swedish International Development Cooperation Agency (Sida).


Country Brief – NAMIBIA

November 2018

Water demand in Namibia is met via surface and artesian sources.

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Figure 15: A Hydrogeological Map of Namibia - Photo Credit to http://earthwise.bgs.ac.uk


Country Brief – NAMIBIA

November 2018

Windhoek celebrates 50 Years of recycling water

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he City of Windhoek and Wingoc celebrated 50 years of Direct Reuse (DPR) in Namibia under the theme “Direct Potable Reclamation with a Clean Bill” at the City of Windhoek Head Office. The first plant was commissioned in 1968 and the second in 2001. The 50th anniversary celebration lasted for two days, including the 18 and 19 October 2018. On the first day a look back at the history of potable reuse and the status quo of water supply in Windhoek was reviewed, while on the second day, a look at the future status of DPR in the global context was drawn.

Neckartal Dam construction is now completed The minister of Agriculture, Water and Forestry reported on 18 October, 2018 that the Neckartal Dam is complete and it will start capturing water during the rainy season. He, however, did not reveal when the official handover. Click here to read more.

Weather Forecast11

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s temperatures in in Namibia keep rising, dam levels are also reported to be falling. In October 2018, dam levels dropped to 36% in comparison to the previous year during the same time when the total stood at 48.5%.

According to the 22nd Southern African Regional Climate Outlook Forum (SARCOF), southern Africa is expected to receive erratic rainfall in the 2018/19 agricultural season with normal to below-normal rainfall across most of the region, except for Tanzania. The outlook shows that most of the 16 Southern African Development Community (SADC) countries, including Namibia, are likely to receive “normal to below-normal” rainfall for the period October 2018 to March 2019. It said for most of the SADC region, rainfall is forecast to be insufficient to meet the needs of the agricultural and power generation sectors. Temperatures in Namibia are also expected to be either normal to above normal throughout the season. With this, countries in the region, are therefore encouraged to prepare for erratic rains or even drought conditions over large portions of southern Africa, except for Tanzania and other areas predicted to have higher rainfall only in the second half-season, so that the dry conditions do not cause severe harm to people and environment.

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https://www.namibiansun.com/news/erratic-rain-expected2018-10-17/

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Country Brief – NAMIBIA

November 2018

Figure 16: RDJ Photo showing a dam in Namibia with reduced water levels

Finding Sustainable Water Management Approaches for Namibia12

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ue to evident water scarcity approaching in the near future, the Ministry of Agriculture, Water and Forestry together with AB InBev Namibia have entered into a partnership of ensuring Namibia’s water sustainability on 7 November 2018. A hydrogeological investigation of the Swakop River between Von Bach and Swakoppoort dams will be conducted by AB InBev, through a strategic partnership with SLR Environmental Consulting Namibia. The study will aim to confirm the availability of groundwater and to

understand the potential impact of increased abstraction. The MoU states that AB InBev, which has “Water Stewardship” as one of its sustainability goals will fund the study and the Ministry will be ensuring that potential resources are assessed and known. It is reported that, “the development of a groundwater quality map with potential pollution sources, overall contribution to enhance knowledge of existing aquifers with implication as contingent supply in times of need.”

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https://economist.com.na/39747/agriculture/ab-inbev-namibia-and-agriculture-ministry-sign-watersustainability-agreement/


Country Brief – NAMIBIA

November 2018

Villages in Omusati get potable water13

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fter spending about 28 years now without potable water, the resident in the Omunkuzi and Okathakanguti villages are now relieved after the councillor of Ruacana constituency in Omusati region finally commissioned two taps of water in their respective villages.

Both villages situated 20 km south of the Etunda irrigation scheme, have a population of over 1600 inhabitants and they are all supplied by two 7 km pipeline taps.

Rundu relieved of the water crisis After spending a week of water disconnection due to difficulty in settling amount of N$60 million owed in water debts, the Minister of Agriculture has announced that it will reconnect Rundu's water for the next three months. The town's spokesperson, said that after water disconnection in Rundu, several business people and residents also had to flock to the Okavango River to fetch water using containers to meet some of their water needs. Click here to read more.

Clean water supply to Onjuva Clinic14

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fter having spent time without adequate water supply at their health centre, the residents of Onjuva Village now delight in the supply of a sustainable source of safe drinking water at their local clinic. This was possible after the construction of a borehole at a cost of US$ 98 821.01, as well as the installation of water purification and softening system for the Clinic was funded by United States Africa Command (USAFRICOM), who contracted Geo Pollution Technologies to perform the work. Health staff at the clinic were very satisfied with the project, saying that the borehole and purifier are a welcome relief and will ensure that they can continue to provide health services in a sanitary environment to the surrounding community.

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https://www.namibian.com.na/72850/read/Potable-water-for-Omunkuzi-Okathakanguti-villages https://economist.com.na/39117/community-and-culture/safe-clean-drinking-water-for-onjuva-clinic-inthe-kunene-region-courtesy-of-the-us-government/

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Country Brief – NAMIBIA

November 2018

Figure 17: RDJ Photo showing Rural Water Supply - Northern Namibia

Slow development due to water rationing at Okakarara15

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s days get hot, more water is used. The increase in water increases debt on water bills. This is the situation faced by residents in the town of Okakarara. The town reportedly has an outstanding debt with NamWater which amounts to N$3.5 million, and in order to settle this debt, an agreement with NamWater to ration the use of water within the town was made. However, this decision is reported to have caused slow development at the town as because residents

The town’s CEO labels the situation sad and it is costing the town investors and that solutions such as increasing the rate of borehole water supplies that currently stands at 30 percent are being looked for. A hospitality training estimated at N$100 million is planned to be constructed at the beginning of 2019, but this may not happen as potential investors are concerned about the issue.

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https://www.namibiansun.com/news/water-rationing-slows-okakarara-development2018-10-23/

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have only been receiving water twice daily, and this limited their activities.


November 2018

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Figure 18: Photo Curtesy - RDJ

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Country Brief – NAMIBIA


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lastics can cause severe problems to living things, especially if no proper measures of disposal is implemented. The effects cab be directs and indirect. Therefore, everyone pays, even without causing the problem directly. For countries like Namibia that have their fishing industry as a great contributor to the economy, are needed to take immediate measures in dealing with plastic pollution because if not controlled, there will be a gradual decrease in their fish production over the years. The United Nations reports that by 2050 there will be more plastic than fish in the ocean. Some African countries have already taken measures to deal with the problems cause by irresponsible plastic disposal, and excessive and unnecessary use of plastics in their respective countries. This countries include Kenya, Rwanda, Mauritania and Morocco. As a solution, many have banned the use of plastic especially for shopping, and substituted them with paper bags or environmentally friendly shopping bags, while others have added a cost to the use of plastic bags, which would reduce its use.

For some, the implemented policy/regulation has worked in their favour. Namibia has also taken on board the idea of implementing regulations that would minimize plastic pollution. However, when the regulation is new, there may be a resistance from the people when it comes to implementation. This is the case of Swakopmund resident’s situation in Namibia. For some time now, the government has decided to implement regulations to deal with the growing impact of plastic pollution, especially in the areas of the coat, because irresponsible dumping has been spotted in those area where the fishing industry’s heart is, and a great tourism traffic flows. Now, some Swakopmund residents are reported to be unhappy with the plea that plastics bags usage should be done away with. They feel the buying of environmentally friendly shopping bags would be more expensive. They therefore call for enough research before the regulation is implemented. Meanwhile, an awareness campaign on that aims at encouraging residents on to use environmental-friendly bags or rather face levies on the use of plastic bags within the jurisdictional area is expected to start later in Novemberv201 until the regulation has been gazetted.

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Plastic Pollution Management

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This new regulation is with immediate effect and has already been published in the Government Gazette. The environment Minister Shifeta said the regulations of the Nature Conservation Ordinance of 1975 to ban the use of plastic bags in protected areas had been amended. A cabinet decision in August 2018 endorsed a proposal for the introduction of several measures to phase out the use of plastic shopping bags. These measures included an environmental levy on plastic carrier bags, with 100% of the revenue accruing to the Environmental Investment Fund (ElF) for reinvestment in improved waste management practices. In addition, a ban on the import and domestic production of plastic bags containing calcium carbonate and a ban on the use of plastic carrier bags in Namibia's protected areas will also be included. In the fight of phasing out plastic use in the country, the Minister said “We are in consultation with the finance ministry to see how best we can bring in a regulation to give effect to this ban. This work will be concluded by end of November 2018.” These measures are also in line with the first implementation

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https://www.namibiansun.com/news/plasticbags-banned-in-parks2018-11-09/

Amendment of the 2007 EMA needed17

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n an effort to continue safeguarding the Namibian environment, the office of the environmental commissioner is reported to be in the process of amending environmental regulations in order to unambiguously execute

them.

Speaking to Namibian Sun, the environment ministry's conservation scientist, Ipeinge Mundjulu, upon enquiry that the 2007 EMA will be amended in order to address the loopholes that currently exist in the act, in particular as it relates to sand mining. Section 27 of the Act stipulates certain activities, including land that may not be done without a clearance certificate. Any individual who will be involved in activities that may not be done without the latter, commits an offence and could be subject to a fine of N$500 000 or face 25 years in prison “or to both such fine and such imprisonment.” However, this Act is seen as a toothless Act because it is unclear in the manner of defining what an illegal activity is, how such illegal act will be fined and prosecuted (for example sand mining). Moreover, there are no existing prosecution cases which can be used as examples as well.

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https://www.namibiansun.com/news/vagueenvironment-act-to-be-amended2018-10-15/

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A

new and immediate regulation on the use of plastics in Parks has been amended and published in the Government Gazette No. 6285. This regulations bans completely the use of plastics in Namibian National parks, and according to it, failure to comply with this regulation will result in a fine of N$500.

phase of the five-year National Solid Waste Management Strategy, which was launched in February 2018.

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New Regulation on Plastic use on Namibian Parks16

November 2018


Country Brief – NAMIBIA

November 2018

A correlation between Deforestation and Food Security

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he Minister of Agriculture reported that the earth's total forest area continued to decrease at about 13 million hectares per year. However, over the past 25 years the rate of net global deforestation has slowed down by more than 50%. This was possible because of the wold’s involvement in the fight against deforestation in the past years, through implementation of rules and regulations, as well as intervention activities that saves forests.

Figure 19: RDJ Photo showing deforestation for economic benefits. A practice done in some parts of Namibia

Deforestation and food security could be reduced and improved respectively if Namibians stop cutting down trees. In an effort to reduce deforestation as a means to promote sustainable livelihoods of rural forest-dependent communities, Arbour Day was celebrated in Namibia on 12 October, 2018 under the theme “Plant trees to mitigate climate change and improve food security”, with the tree of the year being the Jacket Plum (Pappea Capensisas).

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During the celebration, the Minister informed that there are many inter-related links between forestry and food security which can be divided into three categories including; environmental, production, and socio-economic factors.


Country Brief – NAMIBIA

November 2018

Figure 20: The correlation between forestry and food security

Scio-Economic factors For many people, especially the women and the poor societies, wood is often one of their only sources of cash income. Also, it is reported that wood accounts for 45% of current global renewable energy supply.

Food Security: The United Nations' Committee on World Food Security food security as the condition in which all people, at all times, have physical, social and economic access to sufficient safe and nutritious food that meets their dietary needs and food preferences for an active and healthy life.

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Production factors The most direct connection between forestry and food security is the food items produced by trees.

Deforestation: The FAO (Food and Agriculture Organization of the U.N.) defines tropical deforestation as "change of forest with depletion of tree crown cover to less than 10%.

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Environmental factors The effects of trees are most easily seen at the farm level, where they can play an important role in improving the microclimate, reducing the damage caused by wind, protecting against soil erosion, and restoring soil productivity, and maintaining hydrological systems.


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Figure 21: Image Source - http://www.inwesco.com/markets-we-serve/telecommunications


Country Brief – NAMIBIA Gross Barmen gets network coverage18

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he Gross Barmen Resort site has been commissioned with 3G infrastructures by the Mobile Telecommunications, MTC. This gives telecommunications network coverage and internet speed to its customers residing in those areas, including tourists that constantly visit the area. A representative of Namibia Wild Resorts (NWR) which owns the resort said that the resort is attractive in the sense that, it “is the health and hydro/ medical spa centre, featuring thermal springs and providing a full range of treatments, massages, and health activities for relaxation�. The fact that the resort is found at the stream of the Swakop River, makes it a haven for local and international tourist. In fact, the improved network in the area is seen by the resort and MTC management as an additional pull factor for tourists and investments in the area.

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https://www.namibiansun.com/news/mtcupgrades-gross-barmen-network2018-10-18/

November 2018 Namibia's ICT Prospects19

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amibia is said to be doing considerably well in its efforts of information and technology. One of the targets of the Harambee Prosperity Plan, is to have broadband connectivity in 80% of households by 2020. Therefore, all efforts are gradually being unfolded and implemented by telecom companies to ensure this is achieved. Talking to the Namibia Press Agency, the deputy director of institutional policy regulation and monitoring in the Ministry of Information and Communication Technology, Elizabeth Ujarura Kamutuezu said that the information and technology efforts (seen in policies such as the Harambee Prosperity Plan) of Namibia are considerably commendable. Despite the efforts, inclusiveness and accessibility, specifically in remote areas of Tsumkwe, Otjinene, Epukiro, Kunene and some parts of the southern and northern are however hindering the process of doing enough. The deputy director further said that processing of applications for technological infrastructure, for cellphone, radio, and television are slow. Thus called for infrastructure sharing amongst telecommunications providers.

bias-ICT-policies-futuristic-%E2%80%93Kamutuezu

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https://www.namibian.com.na/72376/read/Nami


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November 2018

The World Economic Forum’s Global Competitiveness Report for 2017/18 accorded Namibia the top position for having the best roads in Africa with a score of 5.2 out of 7, above Ecuador, Bahrain, Qatar and Great Britain which all scored a 5.1.

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Figure 22: RDJ Photo showing a road in Namibia


Country Brief – NAMIBIA

November 2018

Air Namibia is flying to Zimbabwe again Travellers to Zimbabwe’s capital and Victoria Falls can now travel with Air Namibia. The spokesman of Air Namibia confirmed on 29 October, 2018 that the airliner has resumed its flights that were previously cancelled due to legal issues. Click here to read more.

Air Namibia offers Freight Services20

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ir freight services are regarded to be amongst the fastest and reliable shipping method compared to sea or land transport. For this reason, the Namibia National Airline (AirNamibia) has decided to enter into business of freight transport services. The services include transportation of perishable consignments, live animals, motor vehicles, household goods, fish, mining products, and pharmaceutical products.

“The RDJ Internship Program” Still Shaping Professional Graduates!!!

_ 2019 Applications Opening Soon _

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https://www.namibiansun.com/news/fly-freight-with-air-namibia-2018-10-23/

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Figure 23: Image Source - http://directsponsor.org

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Country Brief – NAMIBIA Financing Youth in Technology needed21

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oung people have the potential to use the prospects the Information Communication Technology (ICT) sector offers if suitable policies and appropriate finances are in place. This was said by the ICT Minister during the national ICT summit which ended on 17 October, 2018. The event which was held under the theme 'Digital transformation for an ICT-smart Namibia', aimed at bringing together stakeholders in the telecommunications industry and the government to share information of the latest trends in ICT at local, regional as well as at global levels. How can this become a reality? Both the state and private sector need to avail the needed finance in ICT infrastructure. Also, the country needs enough investments to explore trending technologies and encourage the adoption of the latest applications to improve accessibility and connectivity.

Funding needed for RE projects22

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peaking to a local newspaper, Bank Windhoek Managing Director, Baronice Hans, said that more companies have been seeking funding for renewable energy projects lately. Hans said there has been an increase in the frequency of renewable energy projects seeking funding compared to those of other large scale projects such as property developments. This, indicates that the use of renewable energy is at its highs in Namibia and

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https://www.namibian.com.na/72322/read/Techn ology-can-boost-youth-employment-%E2%80%93Simataa

November 2018 most of them have NamPower as an uptaker. In essence, the increase in demand for renewable energy projects may require more finances.

Financing Hosea Kutako International Airport revamp23 n amount of N$245 million has been availed by the Namibia Airports Company (NAC) and the government (N$95.2 million from NAC and the remaining from the government) to revamp the Hosea Kutako International Airport. The revamp will aim to advance the airport and become an advanced airport in the region.

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The new NAC board chairperson Leake Hangala outlined how urgently the funds are needed as the airport is in an “unacceptable state.” Thus, making it an urgent matter that needs to be addressed by means expansion to ensure unlimited capacity in order to meet increased aircraft demands and accommodate more passengers. It will also be possible to have more stringent security and safety requirements. The upgrade project will also include modernisation of: of the check-in and departure halls, Security screening points, the arrivals hall and the luggage handling areas. Terminal One The project is expected to be finished in October 2019 with the design, which will be done by Kerry McNamara Architects as leading consultant, expected to be finalised in December 2018. /item/10503-bank-windhoek-sees-huge-appetitefor-energy-projects-funding 23 https://www.namibiansun.com/news/n245million-rescue-plan2018-11-08/

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https://www.observer.com.na/index.php/business


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November 2018

Rail & Road Tender24

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he Ministry of Works and Transport had released rail & road construction tenders which were due on 10 and 12 October 2018, respectively. This included the upgrading of the Walvis Bay/Kranzberg railway line, and the construction of a dual carriageway from Windhoek to the Hosea Kutako International Airport, which are partially funded by the N$10 billion African Development Bank loan secured in 2017. However, Minister of Finance wrote to the Minister of Works to extend closing date for applications in order to allow Namibian companies to bid for the same contracts while, considering financial thresholds on turnover in the country.

NAMPOWER25 Consultancy services for the Revaluation of Assets Bid Number

SC/RP/NPWR-05/2019

Bid Type

Request for Proposal

Clarification Closing Date

21 Nov 2018 at 00:00 Namibian Time

Bid Closing Date

30 Nov 2018 at 00:00 Namibian Time

Provision of Consultancy Services for the IFC compliancy audit of the EIA and EMP for the Encroacher Bush Biomass Power Project Bid Number

SC/RP/NPWR-18/2019

Bid Type

Request for Proposal

Clarification Closing Date

16 Nov 2018 at 00:00 Namibian Time

Bid Closing Date

23 Nov 2018 at 11:00 Namibian Time

The Procurement of Professional Services for the Revamp of the NamPower, Ruacana Eha Lodge, NamPower Convention Centre Websites and NamPower Intranet Bid Number

NCS/RP/NPWR-11/2019

Bid Type

Request for Proposal

Clarification Closing Date

16 Nov 2018 at 00:00 Namibian Time

Bid Closing Date

23 Nov 2018 at 11:00 Namibian Time

https://www.namibian.com.na/72185/read/Finance-stops-rail-&-road-deals https://www.nampower.com.na

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November 2018

ErongoRED26

Ministry of Mines and Energy27

www.swakopuranium.com http://www.mme.gov.na/tenders-vacancies/

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November 2018

Employment creation – a need for Economic Growth Editorial team

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Figure 24: Image source - www.savethestudent.org


Country Brief – NAMIBIA

November 2018

EDITORIAL TEAM RESEARCHERS: Fares Shipaxu Chilombo Olga Priscila

WRITER: Fares Shipaxu Chilombo Olga Priscila

LAYOUT: Chilombo Olga Priscila

EDITOR: Chilombo Olga Priscila David Jarrett

REVIEWER Lahja Amaambo

PUBLISHER: RDJ Consulting

CONTACT: RDJ Consulting Services CC PO Box 23738 Windhoek, NAMIBIA Telephone: +264 61 400 171 Email – Briefing@rdjconsulting.co.za RDJ Consulting Services CC is an advisory consultancy to the Energy, Water and Transport Sectors with a focus on sustainable operations and renewable energy.

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Visit our website www.rdjconsulting.co.za for more information.


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