Heather Erdmann
The groundbreaking ceremony for Nampower’s 40 megawatts’ biomass power plant took place on Thursday.
The development is Namibia’s first biomass power-generation station.
It is being constructed near the Otjikoto substation outside Tsumeb.
The commercial operation date of the power station is set for the first quarter of 2027.
Nampower approved a total project budget of N$2.64 billion for the development of the project, of which N$2.3 billion is required to build the station.
The groundbreaking was officiated by mines and energy minister Tom Alweendo, who said he was pleased with the steady progress made in the implementation of the planned generation projects. The biomass power plant project, estimated to be a 30-month-long project, was awarded to Dongang Electric International Corporation.
Described as a significant project, it is expected to aid in job-creation both at the power station and via the fuel-harvesting industry.
Once operational, it should increase available power to the hospitality industry, and increase revenue to the State through various taxes, levies and several other spin-off activities.
The Otjikoto Biomass Power Station is further expected to contribute positively to the domestic economy by allowing Namibia to cost-effectively generate base load electricity from its indigenous resources from local farmers and contractors in the area.
Speaking at the ceremony, NamPower’s managing director Kahenge Haulofu said through this project, NamPower’s ambition is not only to produce electricity, but to bring economic growth and prosperity to the Oshikoto and Otjozondjupa regions as well as surrounding areas.
“The Otjikoto Biomass Power Station will create jobs, bring new skills, and give local businesses fresh opportunities to thrive. For the local business community, this project will open doors for partnerships and growth,” he noted.
Moreover, the project is expected to make a lasting impact on the farming and agricultural communities in the area, as Namibia is challenged by massive bush encroachment that affects over 26 million hectares of farmland, leading to billions of economic losses.
NamPower stated that the station is a testament to the power utility’s ambition to innovatively transform the electricity supply industry through harnessing renewable energy sources.
NamPower is the project’s executing agency, which is being funded by the French Development Agency, the Mitigation Action Facility, and the Namibian government.