Govt makes N$5.9 billion from mining royalties

The government collected N$5.96 billion in royalties from mining companies last year.

Minister of industries, mines and energy Natangwe Ithete, during the ministry’s annual retreat yesterday, said the ministry will continue to make sure the country gets its fair share from mining licences.

Over the past three years, 12 mining licences were issued, which Ithete said were subjected to thorough compliance reviews.

“This underscores the importance of mine site inspections, mineral export permit verifications, and audits to ensure the government receives its rightful share of benefits,” he said.

Ithete said the government has and will continue to make efforts to increase Namibian ownership in mining.

“Any mineral rights granted must demonstrate that it is partly owned by Namibians. We have made it a condition to ensure local equity,” he said.

The minister said the ministry has supported micro, small, and medium enterprises through the equipment aid scheme and the industrial upgrading and modernisation programme (IUMP).

During the 2023/24 financial year, 390 applicants were approved for equipment aid, while 20 enterprises benefited under the IUMP.

“These interventions, costing a total of N$8.1 million, are designed to boost productivity and expand operations,” Ithete said.

Additionally, 1 580 applications were received for the 2024/25 financial year.

Ithete said the ministry was able to make great progress in energy access, particularly in rural and peri-urban areas.

“A total of 1 956 households were electrified in areas served by the regional electricity distributors and the City of Windhoek, with an investment of N$75.5 million,” he said.

Between 2020 and 2025, a total of 1 074 households were connected to the grid through the ministry’s rural electrification programme.

An additional 1 503 households were connected off-grid, with an investment of N$55.6 million.

Executive director of industries, mines and energy Ben Nangombe said the ministry has until 30 April to finalise its strategy.

He said the strategy will determine the direction of the ministry for the next few years and should align with Vision 2030, the National Development Plan 6, and the Swapo Party Manifesto Implementation Plan.

“The strategy should address inequities, constraints in access to opportunities, access to power, to industrial and business premises, the conduct of our staff members, faltering project management and tardy processes,” Nangombe said.