Namibia and Angola signed the Baynes Implementation Agreement on Monday, marking a significant milestone in the development of the Baynes Dam, with construction expected to commence in the first quarter of 2027.
Namibia’s Minister of Mines and Energy, Tom Alweendo, revealed that financial close for the project is targeted for 2026.
“Our next milestone target is securing funding and achieving financial close by the end of 2026, followed by the commencement of dam construction in the first quarter of 2027,” Alweendo said.
The Namibian government has opted for a public funding model to finance the hydropower project, including the construction of the Baynes Regulating Dam.
The Ministry of Finance and Public Enterprises will oversee the mobilization of funds for both the regulating and main dams, as well as securing additional financing for road construction.
This development follows the Namibian Cabinet’s approval in July of the implementation of the bi-national Baynes Hydropower Project. The approval also expedited plans for the construction of a road leading to the Baynes site, with work scheduled to begin in September 2024.
The Cabinet’s approval was preceded by a meeting in June between Angola’s Minister of Energy and Water, João Baptista Borges, and Namibia’s Minister of Mines and Energy.
In addition, the government approved the establishment of two key structures to manage the Baynes Hydropower Project effectively, such as Binational Implementation Unit, which will replace the existing Project Office and collaborate with the Permanent Joint Technical Commission on the Cunene Basin.
A Joint Project Office was also agreed, which will be located in either Windhoek or Luanda to coordinate activities between the two countries.
The Baynes Hydroelectric Power Station is designed as a 600-megawatt facility, strategically located at Namibia’s northwest border with Angola. The project has an estimated construction budget of N$22 billion (US$1.2 billion) and is anticipated to take six years to complete.
Upon completion, both Angola and Namibia are expected to equally share the generated power, with each country utilizing 300 megawatts.
