Martin Endjala
Namwater has identified poor performance by some local contractors as a key challenge in awarding capital projects, forcing the national water utility to consider alternatives.
The head of corporate communications, Lot Ndamanomhata in a statement on Wednesday said NamWater awarded numerous projects to Namibian companies in line with its mandate to promote local participation and development.
“Local contractors are given preference wherever they meet the required technical and financial criteria for project execution,” he said.
Ndamanomhata was responding to claims by the Namibia Local Business Association (NALOBA) that local companies are being sidelined in tenders by Namwater.
NALOBA accused NamWater of sidelining local companies in awarding a N$263.7 million water pipeline tender.
The N$236.7 million loan from the KfW Development Bank under the Namibia Water Sector Support Program 1 will provide reliable water services to the Oshana and Omusati regions.
Ndamanomhata added that, in some cases, international expertise is necessary to meet technical requirements for large-scale or highly specialized projects.
“Despite our commitment, challenges remain. In some instances, projects awarded to local entities have faced significant delays, non-performance, or abandonment,” Ndamanomhata said.
He cited five projects, valued at N$315 million, that were delayed or abandoned, impacting NamWater’s ability to deliver water infrastructure projects on time and within budget.
These issues, he explained, highlight the challenges hindering operations and water supply efforts.
He added that other locally awarded projects remain incomplete, despite commencing in 2021.
These include the Opuwo borehole drilling, the Naute–Keetmanshoop pipeline replacement, the Goblenz reservoir replacement, and the Omahenene–Olushandja canal reconstruction (Parts A and B).
Ndamanomhata reaffirmed NamWater’s commitment to supporting local businesses.
“NamWater remains committed to supporting local businesses wherever possible and will continue to evaluate ways to improve local contractor performance while maintaining our mandate to provide reliable water services to all Namibians,” he said.
Last year, Frederico Links, a researcher with the Institute for Public Policy Research (IPPR), noted that Namibian procurement laws allow the state to use various procurement methods under specific conditions, as long as they are soundly justified.