Allexer Namundjebo
The Namibia Local Business Association (NALOBA) has accused NamWater of sidelining local companies in awarding a N$263.7 million water pipeline tender.
In a press release, NALOBA spokesperson Marius Nangolo criticised the decision to award the tender to a Chinese firm, saying it undermines efforts to localise the economy.
“The decision not only undermines efforts to localise our economy, but it also poses a serious threat to job creation and the retention of capital within our country,” Nangolo said.
He further warned of the adverse effects of such decisions, explaining that diverting opportunities abroad results in capital outflows that could otherwise be invested in improving local infrastructure, education, and healthcare.
According to Nangolo, NALOBA advocates for the awarding of tenders to all local businesspeople, irrespective of their association.
“NALOBA wants to see all local companies benefiting from such tenders. All companies that have applied might not fall under the umbrella of NALOBA, but they must be prioritised,” he said.
Nangolo added that many Namibian companies possess the necessary experience to execute such projects, stating this tender is no exception.
NamWater CEO Abraham Nehemia during the project is being financed by a N$236.7 million loan from the KfW Development Bank under the Namibia Water Sector Support Program 1.
The new pipeline will provide the Oshana and Omusati regions with reliable water services.
Nehemia mentioned that the project aims to enhance capacity and reliability while reducing water losses due to outdated infrastructure.
The project will replace more than 52 kilometres of pipeline and upgrade key components to guarantee a more robust and efficient water supply system.
China Gezhouba Group Company Ltd was awarded Part A, covering the Ogongo Pump Station to the Oshikuku transition point, for N$88 million.
China Jiangxi Economic and Technical International Corporation Ltd was granted Part B, from Oshikuku to Onangombe, for N$69.6 million.
Meanwhile, New Era Investment Pty Ltd JV CCCC Origin Water Construction Group Co. Ltd will manage Part C, from Onangombe to Oshakati, for N$79.6 million.
Nehemia stated that the contractors have committed to completing the project within the next 12 months, maintaining high standards of quality and efficiency.
Representatives from each contractor assured they would meet NamWater’s expectations, with Lijie Li of China Gezhouba Group expressing pride in contributing to Namibia’s water infrastructure.
“We pledge to deliver quality work that meets the nation’s expectations,” Li said.
Yang Deng of China Jiangxi Corporation and Rong Ma of New Era Investment JV CCCC also emphasised the importance of urgency and maintaining high standards.
Efforts to obtain comments from NamWater on how they selected their contractors proved futile.
