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Namibia’s power import dependence raises cost and supply security concerns

by reporter
May 31, 2026
in Energy
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Namibia’s continued reliance on imported electricity is increasing pressure on power affordability and exposing the country to growing supply security risks, according to Electricity Control Board (ECB) Chief Executive Officer Robert Kahimise.

Speaking at a recent enterprise forum, Kahimise warned that rising electricity import costs, geopolitical tensions and volatility in global fuel markets are creating additional challenges for Namibia’s power sector.

“We don’t have a choice. It’s expensive because the inputs are expensive. Imports remain a challenge,” Kahimise said.

Namibia continues to source a significant share of its electricity requirements from neighbouring countries, leaving the country vulnerable to external price movements, exchange rate fluctuations and regional supply constraints.

According to the latest data from the Namibia Statistics Agency, local generation supplied 283,738 MWh, or 55.4%, of Namibia’s electricity demand in March 2026. Imports accounted for the remaining 228,551 MWh, representing 44.6% of total electricity supplied to the domestic economy.

Kahimise said international developments, particularly instability affecting global fuel markets, could further increase electricity costs through higher fuel prices and pressure on the Namibian dollar.

He warned that prolonged global uncertainty could force Namibia to reassess its energy strategy and accelerate investment in domestic generation capacity.

“If the situation is not short term, we will probably have to revise our energy mix, especially regarding US dollar-denominated imports. We have to increase local generation,” he said.

The ECB chief said one of the country’s biggest structural challenges remains the lack of adequate baseload generation capacity capable of providing reliable electricity regardless of weather conditions.

“As long as we do not have adequate baseload capacity to ensure reliable supply, that will remain a challenge Namibia is grappling with,” Kahimise said.

The comments come as the ECB continues to advocate for the development of a domestic baseload power plant to reduce dependence on imports and strengthen energy security.

Last year, the regulator formally submitted recommendations to the Ministry of Industries, Mines and Energy calling for the urgent development of a baseload power station, arguing that Namibia’s growing reliance on intermittent renewable energy sources such as solar power creates supply gaps outside daylight hours.

“Namibia urgently needs to develop a baseload power plant, as our current reliance on intermittent renewable energy sources, mainly solar, creates supply gaps outside of sunshine hours,” Kahimise previously said.

He added that electricity affordability remains closely linked to broader cost-of-living pressures affecting households and businesses, while public institutions continue to face financial constraints.

“The cost of living is affecting our people, but our responsibility and mandate are not going to change,” he said.

Kahimise said utilities and public institutions may need to explore alternative funding mechanisms to remain financially sustainable while continuing to deliver essential services.

“Our biggest challenge is whether there are alternative funding models that can sustain our institutions while continuing to meet important community mandates,” he said.

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