Electric dreams for 2030

Baynes gets billions, nuclear gets policies
Ministry of Industries, Mines and Energy’s strategic plan announced
Augetto Graig
  • 9 Hours Ago

Electricity access for 70% of the population from installed generation capacity of 1153MW, 30 000 green jobs and three quarters completion of the Baynes hydroelectric project are among priorities that government intends to spend billions to achieve by 2030.

The ministry of industries, mines and energy will increase domestic generation capacity by developing utility-scale projects in solar Photo-Voltaic, wind, and biomass, and by advancing the Baynes Hydro-power project. The ministry will also fast-track the development of nuclear energy as part of its strategy to diversify the energy mix. By supporting Independent Power Producers (IPPs), promoting public-private partnerships, and prioritizing enabling infrastructure such as grid integration and energy storage, these initiatives aim to reduce import dependence, enhance grid reliability, and support green industrialization.

These ambitions are contained in the ministerial strategic plan from financial year 2025/26 to 2029/30.

In the plan the Directorate of Energy (DE) is mandated to ensure adequate and affordable energy supply in a sustainable manner. Meanwhile the Directorate of Energy Funds (DEF) administers the National Energy Fund (NEF), established in 1990, which receives monies from the petroleum equalisation levy and also money collected by NamPower for the electricity levy. The directorate also administers the Solar Revolving Fund (SRF), a credit facility established in 1996 to stimulate demand for renewable energy technologies.

The ministry will accelerate electrification in rural and peri-urban areas through grid xtension, off-grid and mini-grid renewable energy solutions, and infrastructure upgrades. Targeted beneficiaries include informal settlements, schools, and health facilities. Implementation will be coordinated with Regional Electricity Distributors (RED’s), local authorities, and development partners to improve energy access, support productive use, and promote inclusive socio-economic development.


Achieved to date

As from 2016 the ministry has seen Namibian installed generation capacity increase from a baseline of 484 MW to 734 MW. “This expansion was crucial for reducing reliance on electricity imports,” according to the plan. Additionally, the national electrification rate increased from a baseline of 34% to 59.3%. The Ministry has successfully electrified 33 schools, 4,606 peri-urban households, and provided electricity access to 596 rural households by the end of 2025.

The NEF and SRF financial policies and procedures were developed and approved. The SRF regulations were submitted to the Ministry of Justice (MoJ), and a memorandum of understanding between the ministry and the tax collector, NAMRA, was developed.

Additionally, the target of 30% local ownership in the energy sector as a required condition under

the power purchase agreements for Renewable Energy Feed-in Tariff (REFiT) IPP projects was also met, exceeding the target of 20%, the ministry reports.

The share of electricity generated from renewable technologies rose from 33% to 60% against the targeted 55%. A total of 121MW (in the period 2016/17 - 2023/24) was added from renewable energy technologies through projects developed by REDs and IPPs. In the period 2023/24-2024/25, 1261 out of 1650 off-grid households were energised.

The ministry developed seven new policies which include the overarching National Energy Policy, a dedicated Renewable Energy Policy, sn Independent Power Producer (IPP) Policy, an internal Acceptable Use Policy for ICT resources, a Disaster Recovery Policy, a comprehensive Security Policy and a Bring Your Own Device (BYOD) Policy. Furthermore the Electrification Policy is at the finalisation stage and awaiting Cabinet approval, while the Electricity Bill was amended and awaits MoJ clearance.


Billions to spend

By 2030 the ministry will spend N$1 billion on funded national energy infrastructure such as fuel depots, substations and transmission lines, through the DEF. Namibia will have diversified its renewable energy sources creating 30 000 green jobs, according to the ministerial plan. By 2030, Namibia wants a sustainable mix of locally-generated energy capacity, by increasing installed generation capacity from 734MW to 1153MW, through a DE operational budget of N$1 billion and deploying a N$1 billion development budget.

Specifically annual generation capacity increase targets start with 25.8 MW added in 2025/26, 144 MW in 2026/2027, 90 MW for 2027/2028, 40MW more in 2028/2029 and 120MW added in the 2029/2030 financial year.

By 2030 the ministry wants 75% of the Baynes Hydropower project developed. Construction of Baynes Hydropower plant consisting of access roads, main and regulating dams with generation facilities, transmission lines will enjoy an operational budget of N$360 million and a development budget N$17,01 billion through the DE, over the planned period.

Households financed for solar home systems, water pumps and solar water heaters are to increase from 5 700 by 300 for each of the 5 years, thanks to the DEF deploying almost N$102,5 million.

According to the ministry by 2030 official nuclear energy governance documents will have been developed, finalized, and formally approved by the relevant national authorities. For this goal an operational of N$25 million, and a development budget N$40 million will be allocated by the DE.

The proportion of the population with access to electricity must grow from 59.3% to 63% in the financial year 2026/2027, in 2027/2028 to 65%, to 67% by 2028/2029 and to 70% in the 2029/2030 financial year.

The national electrification programm for the electrification of periurban, rural, schools and health facilities gets a N$4,5 million operational budget and a development budget almost N$6,5 billion to be allocated through DE.