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Namibia has 2.2 trillion cubic feet of natural gas reserves, making it the 60th largest global source but has no petroleum reserves. Namibia continues to rely on imports for much of its energy needs. More than two thirds of electricity and all of Namibia's petroleum are imported. Namibia has great potential in renewables given its supply of wind, solar and biomass resources.

Namibia's abundant supply of solar, wind and biomass resources provide tremendous potential in renewables that could be converted into electrical energy. However, according to a recent study the broad-based uptake of renewable energy technologies in Namibia remains slow. New sources of supply are needed to instil innovation, dynamism and technology know-how into the sector. As a result, the MME has launched the REFIT Programme and a solar tender for three 10 MW solar plants, and is developing a Renewable Energy Policy.

(...) NamPower owns five generating assets with a total capacity of 504 MW. These consist of one hydropower plant (Ruacana with a capacity of 338 MW), two liquid fuel plants (Paratus and newly built Anixas with a capacity of 24 MW and 22 MW, respectively) and one coal fired plant (Van Eck with a potential capacity of 120 MW). In addition to these, a small pilot plant (250 kW) utilising a widely available domestic biomass fuel, invader bush, is located about 200 km north of the capital. An independent power producer (IPP) solar photo voltaic plant of 4.5MW was scheduled to be commissioned in May 2015.

The Renewable Energy Policy aims at sourcing at least 10% of Namibia's energy mix from renewables other than hydro. A number of consequent projects are in various stages of development, covering wind, biomass and solar resources. Early examples include the Tsumkwe photovoltaic (PV)/diesel hybrid (200 KW of PV) plant and a net metering (64kW) PV system at NamPower's head office in Windhoek. The N$120 million Omburu Solar Park, owned by French investor InnoSun, is the first renewable energy project in Namibia by an IPP. It was expected to add 4.5 MW of electricity to NamPower's national grid by early 2015. Nampower cites below-cost tariffs for conventional electricity, the higher costs of alternative energy, and reliability issues regarding wind and solar power as the major challenges for renewable energy in Namibia.

(...) The Baynes Hydro Power Project, a joint project between Namibia and Angola is awaiting finalization. A techno-economical study has been completed and the project was found to be viable. Environmental impact assessment studies are nearly completed pending negotiations with directly affected communities surrounding the project area. (...)

According to the World Nuclear Organization, Namibia holds the 8th largest known recoverable resources of uranium at 261,000 tonnes which represents around 5% of global resources (2011 figures). Namibia has two significant uranium mines capable of providing 10% of world mining output. Its first commercial uranium mine began operating in 1976. There is strong government support for expanding uranium mining and some interest in using nuclear power.

Namibia has developed a Nuclear Fuel Cycle Policy to investigate the viability of a nuclear power programme as part of its energy mix for the future. (...) The Nuclear Fuel Cycle Policy is due to be launched in July 2015 and will be followed by a legal background study. Since the project is cross-cutting it will be hosted by two ministries, the MME and the Ministry of Health and Social Sciences.

The Demand Side Management (DSM) Project aims to address electricity supply constraints in a cost effective manner by reducing electricity demand on the NamPower network during peak times through the implementation of energy efficient and renewable energy technologies. The DSM project includes the following initiatives: replacement of one million incandescent bulbs in the residential sector most likely to be switched on during peak demand times, with LED light bulbs; replacement or installation of 20,000 solar water heaters over the next five years; and engagement by electricity users who have their own standby generators and/or the potential to reduce significant loads on short notice. These initiatives are expected to reduce peak demand by up to 30 MW, 10 MW and 70 MW, respectively.

In 2013 Namibia began work on a bill to establish an Energy Regulatory Authority which would establish a single national energy regulator for electricity, downstream gas including gas pipelines and storage facilities, renewable energy, energy efficiency and energy conservation. The Electricity Act is also being revised. The new Electricity Bill provides for the establishment of a national regulatory framework for the electricity provision industry, and a licensing and tariff framework for the generation, transmission, distribution, supply, trading, import and export of electricity. Both bills are at the final stages of development.

In 2014, the MME and Polytechnic of Namibia launched the Namibia Energy Institute (NEI) which replaces the Renewable Energy and Energy Efficiency Institute (REEEI) which was established in 2006. The NEI will consolidate research and development across the energy field in Namibia with an expanded mandate that covers nuclear, electricity and petroleum. The Government has committed a total of N$14.48 million over the next three years as seed funding for the NEI.