Maria David
NAMWATER has urged local contractors to participate in tenders and engage with the institution to better understand qualification criteria for future projects.
This follows concerns raised by the Namibia Local Business Association (NALOBA) over NamWater’s decision to award a major water pipeline tender worth over N$200 million to a Chinese company, bypassing what NALOBA claims were competent local businesses.
In a statement issued recently, NALOBA spokesperson Marius Nangolo said the decision undermines efforts to localize the economy and poses a serious threat to job creation and capital retention within the country.
According to Nangolo, supporting local companies ensures that wealth remains within Namibia, fosters innovation, and promotes employment opportunities for citizens.
“When contracts of this magnitude are awarded to foreign entities, we risk creating a dependency that hampers sustainable economic growth,” he said.
Nangolo urged NamWater and other institutions to reconsider their decisions and adopt policies that promote local businesses in future projects. He emphasized that a collaborative approach between the public and private sectors is essential to ensuring the economy remains robust, inclusive, and forward-looking.
However, NamWater spokesperson Lot Ndamanomhata affirmed the company’s commitment to fostering a competitive and empowered Namibian business environment.
Ndamanomhata explained that procurement for the project followed the Open International Bidding (OIB) process, as required by the financing agreement between the Namibian government and KfW Development Bank.
He said that the agreement mandates adherence to KfW procurement requirements in conjunction with Namibia’s Public Procurement Act (PPA) of 2015.
“The tender was open to both local and international bidders, with evaluations conducted based on technical and financial criteria,” Ndamanomhata said.
He added that the selected contractors demonstrated the necessary capacity, expertise, and ability to meet the project’s requirements and timelines.
Ndamanomhata reiterated NamWater’s commitment to supporting local businesses wherever possible. He said that the awarded contractors have committed to employing local labour and subcontractors to ensure direct benefits for Namibian communities.
The Ogongo-Oshakati pipeline replacement project is aimed at upgrading the ageing asbestos-cement pipeline with a modern system capable of meeting future water demands.
The project, valued at N$ 236,838,202 includes a new 53-kilometre pipeline divided into three segments.
The first Lot, Ndamanomhata indicated that the Ogongo Pump Station to Oshikuku which covers 19.7 km will be done by China Gezhouba Group Company Ltd at an amount of N$88 million.
Lot 2, for Oshikuku to Onangombe which covers 14.0 km will be done by China Jiangxi Economic and Technical International Corporation Ltd at N$69.6 million. Meanwhile, Lot 3 for Onangombe to Oshakati covering 9 km will be done by New Era Investment Pty Ltd JV CCCC Origin Water Construction Group Co. Ltd at N$79.6 million.
