Description

In an effort to promote new and renewable sources of energy in Namibia, the Ministry of Mines and Energy in conjunction with NamPower have investigated the possibility of constructing a Wind Power Plant. The suitable location of these types of industrial installation would best appropriate along the coastal line of the country.
The findings were submitted to the Ministry of Mines and Energy for approval. The feasibility study was commissioned in 1999 and completed in 2000, the study has indicated that between 5 MW to 10MW Wind Power generation can be supported and constructed given the statistics of the wind potentiality in the area. The project was advertised for bidding and the Spanish Company Ellecnor Energy was awarded the tender to construct the Wind Power Plant.
The Spanish Company has teamed up with NamPower to construct the plant. However, there are some delays for the project on the issuing of the licence from Electricity Control Board (ECB) to generate electricity. The Ministry of Mines and Energy still rates this project on its priority list.
The project will benefit financially from the Spanish Government. Once the licensing issue is finalised with the ECB, the project would start without any further delay.

Location

Lüderitz and other southern coastal areas of Namibia.

Benefits

The planned wind farm at Lüderitz (intended capacity: 5-10 MW) could provide electricity at competitive costs to the region as well as to the public grid, and the same technology could be widely used all over the southern Namibian region; i.e.: the measurement devices could be transferred from one site to another and the technology, once adapted to the specific site conditions, can be applied all over the region, thus reducing the cost of future installations considerably.

Financial Information

The project cost will be around U$10 million and it requires more than 50% grant finance to make it economically viable.

Description

The project is expected to generate 360MW. Although there are social and environmental impacts which need to be taken into consideration, this project will clearly provide a reliable supply of energy. A feasibility study was completed in 1998 to assess the most suitable site. Two sites were recommended namely, the Epupa and Baynes sites. The Governments of Angola and Namibia are expected to take the final decision on which site to construct the scheme, during 1999. This initiative is in line with NamPower’s objective to be self-sufficient in terms of power generation, if financially sound. This is a long-term strategic decision to ensure future energy supply to Namibia and energy exports to neighboring countries.

Location

The proposed site is northwestern Namibia - halfway between Ruacana and the coast on the Kunene river.

Cost
US$730 million

Project requirements

Dam and tunnel construction. Suppliers of technological equipment in the following areas: Electro-mechanical and Hydraulics. Joint ownership or equity participation will be considered.

Description

This is a 750MW Combined Cycle Gas-Fired Power Plant to be located at Oranjemund. NamPower, Eskom, Shell and an IPP (Independent Power Producer) investor, National Power of the UK, will jointly own it. The project has two main components, namely power and gas. Given the competitive environment resulting from the local legislative framework of the electricity industry in Namibia and current global trends, NamPower has to ensure sufficient generation capacity. This will decrease dependency on imports and increase reliability of the power supply. The project could also trigger the establishment of gas based industries.

Location

The proposed location of the plant is Oranjemund, in southern Namibia.

Status

A feasibility study on the power site was carried out by Stone, Webster and Bechtel, while Walmsley Consultancy and the CSIR (RSA) did an environmental impact assessment of the project. All these were completed in August 1998. No environmental problems were detected.

Cost

Approximately US$520 million.

Project requirements

Technological equipment for gas-powered station, transmission lines, gas pipelines from gas field to power station. Additional strategic joint owners may be considered.

Description
In June 1999 the Namibian Cabinet approved the adoption of an open Petroleum Licensing system in the country. Namibia will now accept bids both onshore and offshore at any time. The fiscal and legal requirements for bids remain the same, viz.:

• royalty is set at 5 percent for new entrants
• petroleum income tax - 35 percent
• 1st level APT at 25 percent
• 2nd and 3rd tiers negotiable

Bids must be submitted to the Permanent Secretary, Ministry of Mines and Energy. All bids must include:

• a N$30,000.00 application fee
• the proposed work programme
• levels of the 2nd and 3rd tier APT
• petroleum training fund contribution

Namibia has considerable hydrocarbon potential with well known source rocks (aptian and cenomanian) which are likely to be in the oil window over much of the offshore. Proven reservoir sequences are known as well. To date only 12 wells have been drilled offshore Namibia (including five in the Kudu Field) and the Namibe Basin remains undrilled. This area can therefore still be regarded as frontier.