Local content policy to benefit all - Alweendo
Mines and energy minister Tom Alweendo says the government will ensure that investor confidence in Namibia is not eroded while also ensuring that Namibians fully benefit from the recently discovered oil and gas resources as it works on finalising the local content policy.
A local content policy is being developed to safeguard equity and inclusion in the oil and gas industry while ensuring that the policy benefits all involved—international investors as well as ordinary Namibians.
"The draft policy outlines a pathway for Namibian citizens and companies to benefit from our natural resources by increasing their participation in the oil and gas industry, from exploration and production to the entire industry’s value chain," Alweendo said, referring to efforts to ensure a fair distribution of Namibia's potential oil and gas wealth.
The ministry aims to create a win-win situation for all stakeholders to ensure that everyone involved in the sector can benefit.
"We at the ministry are striving to enact this framework to create an internationally competitive petroleum sector that maximises the benefits for our people and leverages our natural resources for broader development.
“We are laser-focused on achieving a balance between increasing local participation and attracting foreign investment," Alweendo said.
Key tenets
According to Alweendo, key tenets of the policy will include sustainable resource development, energy independence and diversification to ensure in-country resource wealth creation.
Furthermore, the policy aims to promote social inclusion and job creation, he explained.
The plan also seeks to leverage Namibia's success in oil and gas exploration and to promote the transfer of technology, as well as knowledge and skills to Namibians, Alweendo added.
The need to protect investors and Namibia's best interests is also based on the economic potential of the Orange Basin, where international oil companies TotalEnergies, Shell, and Galp have made estimates pointing to a potential 11 billion barrels of oil.
"We are at the dawn of an energy revolution that will transform our economy.
“Discoveries in the Orange Basin suggest the largest oil yield ever found in Sub-Saharan Africa, and there is still much more to discover, both in the Orange Basin and other locations, which is why we must act proactively now," Alweendo said.
A local content policy is being developed to safeguard equity and inclusion in the oil and gas industry while ensuring that the policy benefits all involved—international investors as well as ordinary Namibians.
"The draft policy outlines a pathway for Namibian citizens and companies to benefit from our natural resources by increasing their participation in the oil and gas industry, from exploration and production to the entire industry’s value chain," Alweendo said, referring to efforts to ensure a fair distribution of Namibia's potential oil and gas wealth.
The ministry aims to create a win-win situation for all stakeholders to ensure that everyone involved in the sector can benefit.
"We at the ministry are striving to enact this framework to create an internationally competitive petroleum sector that maximises the benefits for our people and leverages our natural resources for broader development.
“We are laser-focused on achieving a balance between increasing local participation and attracting foreign investment," Alweendo said.
Key tenets
According to Alweendo, key tenets of the policy will include sustainable resource development, energy independence and diversification to ensure in-country resource wealth creation.
Furthermore, the policy aims to promote social inclusion and job creation, he explained.
The plan also seeks to leverage Namibia's success in oil and gas exploration and to promote the transfer of technology, as well as knowledge and skills to Namibians, Alweendo added.
The need to protect investors and Namibia's best interests is also based on the economic potential of the Orange Basin, where international oil companies TotalEnergies, Shell, and Galp have made estimates pointing to a potential 11 billion barrels of oil.
"We are at the dawn of an energy revolution that will transform our economy.
“Discoveries in the Orange Basin suggest the largest oil yield ever found in Sub-Saharan Africa, and there is still much more to discover, both in the Orange Basin and other locations, which is why we must act proactively now," Alweendo said.
