US$1.76b! Namibia Unveils Renewable Energy Plan

PVTIME – Namibia has officially launched a strategic plan worth 1.76 billion US dollars to expand its renewable energy sector. The strategy aims to boost the nation’s renewable energy installed capacity to 454MW by 2030 and increase the proportion of clean energy in total power output from 54% to 70%.

Of the total funding, 411 million US dollars will come from the private sector, while the remainder will be secured through public financing and collaboration with multilateral organisations. Natangwe Ithete, Namibia’s Minister of Mines and Energy, highlighted that over half of the country’s electricity currently comes from imports. He noted that the high cost of these imports not only pushes up tariffs, but also puts pressure on foreign exchange reserves. He added that breaking free from dependence on external electricity was crucial to safeguarding national economic stability.

To deliver the plan, the Namibian government will introduce supporting measures to attract investment. In terms of market mechanisms, it will simplify procurement processes for independent power producers, expand the single buyer market, and enable large consumers to purchase electricity directly from power plants. In terms of technical integration, incentive policies will be introduced for battery energy storage systems to help integrate renewable energy into the national grid efficiently. The country’s first battery energy storage project is already in the design and construction phase, with commercial operation planned for 2026, in order to gain experience for future storage schemes.

The plan also incorporates Namibia’s ambition to become a regional power hub. The country intends to build cross-border transmission lines connecting Angola, Botswana, Zambia and Zimbabwe, in order to strengthen energy security by participating in regional power trade. The Kunene Omatando Substation, which was constructed by a Chinese enterprise, was officially commissioned, and will serve as a key node for power grid interconnection between Namibia and its neighbours, laying the groundwork for regional energy integration.