Otjikoto Biomass Plant to boost power supply

At the groundbreaking event year for the 40 MW Otjikoto biomass power plant, mines and energy minister Tom Alweendo said 30 months of hard work now lie ahead to construct the plant after ten years of preparation.The biomass power plant, valued at N$2.64 billion, is located 12 km outside Tsumeb.The engineering, procurement and construction contract, worth N$2.3 billion, was awarded last May to the Chinese contractor Dongfang Electric International Corporation.Meanwhile, NamPower purchased the 44-hectare site next to its Otjikoto substation and secured a €100 million loan from France’s development agency (AFD).40 MW of electricityNamPower’s managing director, Kahenge Haulofu, highlighted a climate grant from the Mitigation Action Facility, worth €25 million, along with the French Facility for Global Environment's €3 million donation for environmental research and capacity building.The Namibian government, through the ministries of finance and public enterprises, mines and energy as well as environment, forestry and tourism, has allocated N$400 million for the project, along with regulatory support, he explained.“The Otjikoto biomass power plant will generate 40 MW of baseload electricity, which is a major achievement for NamPower as it demonstrates our commitment and determination to ensure supply security,” said Haulofu.Big benefitsSpeaking on behalf of the contractor Dongfang Electric International Corporation, Xiong Chao expressed gratitude for the trust and the opportunity to support Namibia’s development through the project.“I believe this project will bring significant benefits to the economy and the people of Namibia. The invasive bush has had serious consequences for the production and livelihoods of local farmers,” he said.“The 40 MW Otjikoto biomass project will utilise invasive bush sourced within a 100 km radius of the plant as fuel. This will gradually restore grazing land and promote the development of local farmers, while significantly contributing to local biodiversity and delivering socio-economic benefits,” he added.Bush powerAlweendo anticipates that the project will not only generate power but also create a market for invasive bush for farmers and provide an economic boost to the entire region. “Demand for power is increasing, surpassing supply. This only means we need to do more,” he said.According to NamPower's figures, up to 245 000 tonnes of small- to medium-sized wood chips will be needed annually from approximately 16 200 hectares of invasive bush, with seven-year contracts already signed for the supply of 180 000 tonnes of this wood with four joint ventures.

Otjikoto Biomass Plant to boost power supply

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Republikein 2025-12-19

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Otjikoto Biomass Plant to boost power supply

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