Energy Partnerships

Namibia Partners with Chinese Firms to Build Its Largest Solar Power Plant for $89 Million

Namibia Partners with Chinese Firms to Build Its Largest Solar Power Plant for $89 Million | Business Verge NG

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Namibia has taken a big step toward energy independence by partnering with two Chinese companies to build the country’s largest solar power plant. The project, worth $89 million (N$1.6 billion), will be constructed by China Jiangxi International Economic and Technical and Zhejiang Chint New Energy Development.

Project Overview:

The plant will be located in Rosh Pinah, with a capacity of 100 megawatts (MW). The construction will take 18 months, and commercial operations are expected to begin in the second quarter of 2026. Once completed, it will help Namibia produce more of its own energy, reducing the country’s reliance on imported electricity. This project is important as Namibia has been dependent on power imports from countries like Zambia, Zimbabwe, and South Africa. Namibia’s agreement with South Africa’s Eskom is set to expire in 2025, making the new plant’s timing crucial.

Benefits to Namibia:

The solar plant will:

  • Boost energy self-sufficiency: With Namibia’s energy demand expected to grow by 5% annually, the new plant will help the country meet its growing electricity needs.
  • Stabilise future electricity tariffs: By generating more of its own power, Namibia can better manage energy prices in the future.
  • Support economic growth and sustainability: Increased local energy production will fuel the economy while promoting environmentally friendly practices.

Namibia currently has a power generation capacity of about 500 MW, while its demand is around 600 MW annually. The new solar plant will increase Namibia’s total installed capacity by an additional 100 MW.

Financial Backing:

Most of the funding for the project (80%) will come from the German development bank KfW, which will contribute $78.33 million (N$1.4 billion). NamPower, the state-owned utility, will provide the remaining funds.

Regional Context:

Namibia isn’t the only Southern African country investing in renewable energy. In Botswana, a group of Chinese firms, led by China Harbour Engineering Co., is also building a 100 MW solar power plant for $78.3 million, expected to be completed in 2026. Similarly, in Ghana, the country is in the process of selecting contractors for its first nuclear power plant, scheduled for construction by the end of 2024.

Meanwhile, South Africa, which operates Africa’s only nuclear plant, Koeberg, is aiming to add 2,500 MW of power. In July 2024, South Africa’s power company Eskom received approval to extend the life of one of Koeberg’s units by 20 years, until 2044.

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