Staff Reporter
THE Namibia Airports Company (NAC) has reaffirmed its commitment to good governance, transparency and accountability, while responding to recent media reports concerning its vehicle scheme, recruitment processes, procurement matters and a ministry-initiated investigation.
In a statement issued, NAC said it had fully cooperated with the investigation by the Ministry of Works and Transport and had submitted detailed responses and supporting documentation addressing the issues raised.
The company said recent reports had, in some instances, not adequately reflected its submissions to the Minister of Works and Transport or sought NAC’s position before publication.
“NAC respects and values the role of the media in ensuring accountability and transparency in public institutions. However, the company is concerned that several recent reports have been published without adequately reflecting the detailed responses and supporting information submitted by NAC,” the company said.
NAC said its responses to the Ministry covered matters including the abolition of the vehicle scheme, vehicle disposals, governance processes, legal opinions obtained, recruitment procedures and compliance with relevant legislation.
The company said it received the investigation report and supporting annexures in April 2026, after which the Board engaged with the Ministry and submitted a comprehensive response report on 19 May 2026.
NAC also highlighted its governance and financial performance record, stating that it had achieved four consecutive unqualified audit outcomes, eliminated historical audit backlogs, improved financial controls and strengthened oversight structures.
The company said revenue had grown from approximately N$192 million in 2022 to about N$459 million by March 2025, with the most recent reporting period recording revenue of approximately N$581 million and earnings before interest, taxes, depreciation and amortisation (EBITDA) of about N$184 million.
On aviation safety, NAC said it had maintained aerodrome operating certificates and licences across its airport network, while contributing to Namibia achieving an International Civil Aviation Organisation (ICAO) Effective Implementation score exceeding 72%.
The company also pointed to infrastructure developments, including the N$250 million Hosea Kutako International Airport Congestion Alleviation Project, as well as improvements in operational resilience, digital transformation and sustainability initiatives.
Regarding the vehicle scheme, NAC said the decision to abolish the benefit was the result of years of review, consultation and legal consideration, rather than an abrupt move.
The scheme, introduced in 2012 and amended in 2013, was discontinued following a Board resolution in September 2020, with employees transitioned to a Total Cost to Company remuneration model.
NAC said the decision was informed by concerns around financial sustainability, rising maintenance and replacement costs, governance considerations and the need to align remuneration practices with market benchmarks.
The company estimated that the abolition of the scheme resulted in annual savings of approximately N$6 million and removed future liabilities linked to vehicle ownership and maintenance.
On vehicle disposals, NAC said the process was conducted in accordance with approved frameworks, accounting standards, legal advice and Board decisions.
The company said most of the vehicles concerned were more than five years old and fully depreciated, with a combined net book value of approximately N$123 865 against NAC’s asset base of more than N$2.5 billion.
NAC further defended the involvement of Board members in strategic recruitment processes, saying such participation was consistent with corporate governance principles and aimed at strengthening oversight and accountability.
The company added that independent recruitment specialists had been used during recruitment processes and that policies relating to Board involvement in appointments were under review to provide further clarity.
On procurement concerns, NAC said matters raised in recent reports had been addressed in submissions to the Ministry, with supporting documentation and procurement records provided.
The company said some projects related directly to airport safety, security, regulatory compliance and operational requirements, and were implemented within approved governance structures.
NAC said it remained committed to improving procurement systems, ensuring value for money and maintaining responsible management of public resources.
The company concluded that its record reflected continued progress in governance, financial management, operational performance, infrastructure development and stakeholder engagement.
“NAC remains committed to transparency, accountability, ethical leadership, good corporate governance and the responsible management of public resources,” the company said.
Picture for illustrative purposes only. Photo: NAC
