Africa-Press – Namibia. The Ministry of Industries, Mines and Energy has allocated N$393.3 million for energy supply in the 2025/2026 financial year.
The largest amount in the ministry’s budget will contribute to efforts to achieve universal access to electricity by 2040.
The ministry’s total budget is N$939.5 million.
Deputy Prime Minister Natangwe Ithete, who also superintends the ministry, said in his budget motivation on Wednesday the requirement is to connect more than 400 000 households that do not have access to electricity.
“With the current level of funding, we estimate 10 000 connections will be made this year. We are aware that electricity is now a basic need, a catalyst and an enabler of economic growth, the provision of health services and education, as well as poverty eradication. We are working fast to electrify our communities,” he said.
Afrobarometer said, the country’s overall electrification rate is estimated at 50%, but up to 80% of rural households remain without power, while 70% of households in urban areas are electrified.
Namibia relies heavily on power imported from neighbouring South Africa, Zambia and Zimbabwe.
Petroleum
Meanwhile, the Petroleum Affairs’ directorate has been allocated an operational budget of N$9.6 million for the 2025/2026 financial year.
This, Ithete said, is to fulfil the mandate of ensuring the security of petroleum supply in Namibia.
He highlighted that fuel prices were subsidised to the total amount of N$328 million, and N$100 million was expanded to cover electricity tariff under-recoveries.
“We will continue to insist on compliance in the sector. We will monitor international and local markets to ensure petroleum products imported into the country are competitive and reflect the actual cost incurred. We will explore alternative ways to secure the security of supply of petroleum products at affordable prices,” he added.
At the moment, Namibia imports 100% of its petroleum product needs.
He further noted that budget execution supports security of supply, accessibility and affordability of petroleum products to the nation.
For the protection of Namibia’s diamond industry, N$40.2 million has been allocated.
This programme will protect and promote Namibia’s diamond resources through robust regulatory oversight.
The industry is expected to evolve, and the ministry aims to prioritise proactive measures to ensure sustainable management and to mitigate risks.
These efforts include strategic staffing, enhanced oversight mechanisms, commitment to accountability and transparency, and international collaboration and obligations.
Moreover, the domestic trade management was allocated N$127 million.
Under this programme, the ministry provides policy oversight to key state-owned enterprises such as the Namibian Standards Institution (NSI), the Namibia Competition Commission, the Business and Intellectual Property Authority, and the Namibia Estate Agents Board.
It focuses on the creation of a conducive business environment through the formulation, implementation and monitoring of policies and regulations.
This is to ensure a well-functioning domestic market environment, promote fair trade practices, and protect consumer rights.
The ongoing Green Hydrogen Conformity Readiness Assessment focuses on defining national standards in the green hydrogen sector. By establishing a clear framework, the NSI aims to support Namibia’s aspirations to become a leader in green hydrogen production and export, contributing to economic diversification and sustainability.
Additionally, planned activities for the 2025/26 financial year include the ongoing Green Hydrogen Conformity Readiness Assessment, which focuses on defining national standards in the green hydrogen sector.
“By establishing a clear framework, the NSI aims to support Namibia’s aspirations to become a leader in green hydrogen production and export, contributing to economic diversification and sustainability,” Ithete said.
The ministry has also set aside N$50 million for the Industrial and Business Development Programme and N$127 million for the Domestic Trade Management Programme.
“The main purpose of the Industrial and Business Development Programme is to create a conducive environment, focusing on the enhancement and strengthening of the industrial sector in the country,” he said.
During the 2025/26 financial year, the ministry expects its focus to be on the development of industrial infrastructure.
The ministry plans to construct three industrial parks at Omaruru, Walvis Bay and Tsumeb.
It will also renovate nine existing micro, small and medium enterprises’ and business industrial parks at Eenhana, Gobabis, Katima Mulilo, Keetmanshoop, Oshakati, Rundu and Windhoek.
The ministry plans to construct modern informal traders’ platforms at Henties Bay, Mariental, Nkurenkuru, Okalongo and Opuwo.
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