Oil for next generations too – Alweendo

The recent oil discoveries in Namibia will only be beneficial if managed transparently and inclusively, with a focus on local content and involvement of the next generation.

This was said by minister of mines and energy Tom Alweendo at the International Energy Conference in Windhoek yesterday.

“This is a critical time for our planet that demands critical thinking because we are a fossil-fuelled economy and currently cannot substitute it with one fuelled by renewables as we do not have the materials, time and the money,” he said.

The minister said if African countries are to succeed in growing their economies, they will need more energy but, the availability and access to energy are not evenly distributed, leading to geo-political tensions among nations.

Alweendo added that Namibia, and Africa, are experiencing a severe shortage of energy, and it is crucial to utilise all available resources to enhance the well-being of the population.

Citing the Energy Observatory Agency data, Alweendo said on average a solar power plant generates electricity for only 11% of a 365-day period, while wind power is online for 25% of the time and coal for 92% of the time.

“These numbers suggest that many of our newer energy resources are sitting idle for most of the time,” he said.

The minister told his audience that many African countries face a significant energy deficit, which limits their economic growth and negatively affects the living standards of their citizens.

He said Namibia aims for oil, gas, renewables and other sources and this warrants the country to look at new and mixed forms of financing.

The minister highlighted that the partnership between state and investor is one of a “mutual agreement”, which allows for parties to share risks and rewards.

“When risk and reward are shared, then everyone benefits, because it is in everybody’s best interest to do well,” he said.

Alweendo believes Namibia’s oil discoveries can unlock industrial activities through the transfer of technology, value addition in domestic supply sectors, the generation of indirect jobs along the supply chain and the creation of business opportunities for local entrepreneurs.

– email: matthew@namibian.com.na