NamWater eyes PPPs for water security boost
Commercial grounds
Swakop Uranium's collaborative project to construct a desalination plant with NamWater has set the bulk water supplier on a PPP precedent.
NamWater has stated its willingness to pursue joint venture projects on a public-private partnership (PPP) basis, on a commercial footing, if presented with such opportunities.This is according to the water utility’s chief financial officer, Cornwell Chadya, who said that while it is uncharted territory, it would be something worth considering.
Chadya made the comments at the Chamber of Mines of Namibia conference when asked what the water utility’s view was with regards to jointly constructing key water infrastructure projects together with the private sector.
“We have never worked on a PPP project for water. I think the desalination project with Swakop Uranium will be one example where we collaborate between the State and the private sector. I think it will be looked at on a case-by-case basis,” Chadya said of the utility’s view towards private sector collaboration.
However, Chadya was quick to point out that the bulk water supplier would not pursue PPP projects that were not on a commercial basis.
“When we supply water to the communities, the local authorities, we will prefer that NamWater is in charge, but if it is the private sector supply, I think it can be looked at on a case-by-case basis. It will not be new territory, it is not something that has been done before,” he said, referring to the PPP entered into with Swakop Uranium for the construction of a desalination plant to be built in Walvis Bay.
Second desalination plant
In August last year, NamWater announced the construction of a second desalination plant and said it would commence with the implementation plan to realise the construction of the plant.
This was announced by then agriculture minister Calle Schlettwein. “With the ambitious development of the plans for Walvis Bay and Swakopmund, alongside increased mining, industrial and agricultural demands, our current water resources are insufficient,” he said at the time.
According to him, the construction of the plant will not only address Namibia’s water needs but also position the country as a leader in sustainable water management.
“The new plant will ensure a secure and reliable water supply, crucial for supporting the region’s economic activities and enhancing the quality of life for our residents," said Schlettwein.
“Namibia is taking significant strides toward sustainable growth and resilience by investing in critical infrastructure projects. The approval of the desalination plant is a landmark decision,” he added.
Funded by CGN, Swakop Uranium’s parent company, the plant will, once completed, supply 20 million cubic metres of water to the Erongo Region, benefiting its water-scarce mining industry and other sectors.
CGN previously estimated the desalination project would cost between N$2 billion and N$2.5 billion, with completion expected in 2026.
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