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Opportunities in the Renewable Energy Sector in Namibia

Jerome Kisting

June 1, 2018, 3:56 a.m.


The renewable energy sector in Namibia is in a critical development stage.
Currently the focus is mostly on eliminating barriers to making the usage of
renewable energy technologies more pervasive in everyday life. The emphasis
has largely been on photovoltaics and its use at the household level. Other
initiatives include the Namibian Renewable Energy Programme which seeks to
remove barriers to the use of renewable energies – investigating the legislative
framework, the role of taxes and import duties and the removal of first costs to
improve the economic viability of renewable energy technologies.
Work is starting slowly on identifying other suitable renewable energy sources in
Namibia, specifically wind and bio fuels. Most of the work done in these areas is
in the testing phase although licenses have been issued for the development of
wind farms to be connected to the national electricity grid. There are certain
factors that still hamper the development of the renewable energy sector in
Namibia. These include: the lack of renewable energy specific legislation, the
lack of tax incentives to incentivise the private sector to get involved in the
industry and uncertainty over the role of the national power utility Nampower and
its involvement in the generation, transmission and distribution of electricity.
This paper has focused on some of the areas that may be of interest to potential
Indian investors in the renewable energy sector in Namibia. The development of
this paper has been constrained by the lack of comprehensive terms of reference
to use as a guide of what is to be expected of the output and as such the paper
represents the authors own attempt at providing information to potential investors
given time and budget constraints. This paper is by no means an indication of the
viability of the renewable energy sector in Namibia for potential foreign investors
but is meant more to serve as background and rather as a starting point for more
comprehensive economic feasibility studies.

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