Namibia container power generation purchase cost

Does Namibia import electricity from South Africa?

Currently, Namibia imports most of its electricity from South Africa and other countries in the region. A special arrangement between NamPower and Eskom, the South African Power utility, enables Namibia to buy and utilise the surplus energy from SA at affordable rates.

How much power does Namibia need?

Peak demand is over 600 MW. Namibia has long relied on imported power from South Africa (Eskom) and other neighboring countries, but South Africa’s own economy has put strains on its domestic electricity generation capability and thus its ability to export. Namibia has a power purchase agreement with Eskom which expires in 2025.

How much does NamPower cost in Namibia?

The awarded price is lower by more than one billion Namibian dollars than NamPower's initial estimate of NAD4,7 billion, representing a considerable benefit to the utility (Muller and Mukena, 2020). Unfortunately, this decision was again shrouded in controversy. Three unsuccessful bidders officially challenged the awarding decision.

How did NamPower make Namibia less reliant on South Africa?

In 2021, NamPower also completed the N$ 3.2 billion TransCaprivi Interconnector which connects central Namibia directly with the power grids of Zambia and Zimbabwe, thereby making Namibia less reliant on South Africa’s transmission network.

Can Namibia become a net exporter of energy?

Over the long-term, the government and NamPower have committed to making Namibia energy self-sufficient (and eventually a net exporter of power) by building new domestic generation capacity. NamPower has made some progress in efforts to increase its generation capacity.

Does Namibia have a power purchase agreement with Eskom?

Namibia has a power purchase agreement with Eskom which expires in 2025. South African officials have publicly stated they will continue the agreement, despite ongoing rolling blackouts in South Africa.