Nam Power, Namibia’s national electricity utility, has launched a major renewable energy initiative. A tender for six independent power producers (IPP) solar projects, each with a capacity of 20 MW, totalling 120 MW of new solar generation. This move not only advances the country’s energy transition but also signals a growing commitment to renewable energy development.
From an environmental perspective, the tender represents a tangible step in scaling up clean energy capacity in Namibia. By deploying 120 MW of solar power, the country can reduce its reliance on fossil-fuel generation, lower greenhouse gas emissions, and contribute to its climate resilience. If fully operational, these six solar plants could generate approximately 260-280 GWh annually, enough to power around 50,000 households in Namibia while avoiding an estimated 150,000-180,000 tonnes of CO₂ emissions per year.
Namibia has historically relied on a mix of imported electricity and limited domestic generation, including coal, hydropower, and some solar and wind projects. According to data from Charting The Globe, only 2.1% of Namibia’s electricity generation is from fossil fuels. Looking closely, about 70% of Namibia’s electricity is imported and much of that generation is fossil-fuel‑intensive. Recent data from the Electricity Control Board shows that renewables now make up 21% of Namibia’s energy mix.
R16 billion for solar and wind projects
Nam Power has committed R16 billion to solar and wind projects, with 93 MW of renewables is expected to come online by 2026. Opening the tender to international bidders signifies Nam Power’s willingness to attract foreign investment, technology, and expertise. At the same time, the development of distributed solar capacity can drive job creation, especially in local communities where these projects will be sited. For instance, a McKinsey‑led study estimates that expanding solar PV production in Namibia could generate 22,000 jobs by 2050.
The bid documents require a registration fee, and Nam Power has clearly set a clarification period and a formal closing date of 30 January 2026, with clarification submissions due by 13 January 2026.
By adopting the IPP model, Nam Power shifts part of the capital risk and construction risk to private developers. However, to secure a strong pipeline of bidders, Nam Power must ensure that the Power Purchase Agreements (PPAs), pricing, and regulatory frameworks are robust, transparent, and bankable.
2030 target in sight
With that said, there are still important risks to consider. Firstly, adding 120 MW of variable solar may strain parts of the transmission network unless infrastructure is also upgraded. Secondly, IPPs do not mitigate all risk and developers will need to trust the stability of Nam Power’s policies, tariff structure, and the enforcement of PPAs. Lastly, depending on how the bidding is structured, there may or may not be strong participation from local Namibian EPC (engineering, procurement, and construction) companies.
Looking ahead, Namibia’s solar expansion aligns with the country’s Nationally Determined Contributions under the Paris Agreement and its long-term goal of achieving a 50% renewable energy share by 2030.
If the tender is successful, Nam Power could significantly boost its renewable energy portfolio over the next few years. Investors, developers, and sustainability fund managers should keep a close eye on the outcome of the bidding process and on how Nam Power implements and integrates the new capacity.
