Development of local content policy at an advanced stage
Namibia is at an advanced stage of developing a local content policy for maximum benefit following its discovery of oil, an official said this week.
The Deputy Prime Minister, and Minister of International Relations Netumbo Nandi-Ndaitwah highlighted this in a speech at the opening of the 3rd Ministerial Session of the Namibia-South Africa Bi-national Commission (BNC) in Windhoek on Thursday.
The objective of a local content policy is to ensure that a high proportion of project inputs are sourced from the host country without compromising the economics of the project or sector being leveraged.
“Namibia recently discovered oil off the coast of Namibia. This finding is commercially viable, and together with joint venture partners, Namibia is in the process of ascertaining the volume of the resources and establishing whether it is of commercial value or not,” she said, adding that Namibia is engaging oil-producing countries on the continent and beyond to learn from their best practices.
South Africa’s Minister of Agriculture, Land Reform and Rural Development, Thoko Didiza, who represented the country’s Minister of International Relations and Cooperation, Naledi Pandor in a statement said the recent discovery of oil, gas in Namibia should thrust them to conclude modalities for increased cooperation in energy and green hydrogen for mutual benefit.
“This important sector will potentially enhance regional economic growth and integration,” she said.
The 3rd session meanwhile is a re-affirmation of the warm relations between Namibia and South Africa and serves to provide an opportunity to revitalize bilateral cooperation, as well as to review the implementation of the decisions taken during the 2nd Session of the Bi-National Commission between the two governments in several sectors, of common importance to the two countries and peoples.
“Our agenda today is diverse, covering a wide range of sectors such as trade, investment, energy, health, education, and security among others. These discussions will help us identify areas where we can deepen our collaboration, share experiences, and leverage our respective strengths for the betterment of our societies,” Nandi-Ndaitwah said.
Currently, Namibia and South Africa subscribe to the AU Agenda 2063, which calls for industrialized Africa.
The session was attended by ministerial officials from both the South African and Namibia governments. South Africa’s President Cyril Ramaphosa meanwhile will undertake a working visit to Namibia on Friday, to co-chair with Namibian President Hage Geingob, the 3rd Session of the Namibia-South Africa BNC.
