The Namibian government has put up three more green schemes on the market as it moves ahead to outsource some of the projects to the private sector.
This is in addition to other three Green Scheme projects, including a dairy project, that the government recently advertised looking for both local and international investors to run them.
The Ministry of Agriculture, Water and Land Reform said it intends to partner with both domestic and international investors on a Built, Operate-and-Transfer model for Uvungu-vungu Green Scheme Irrigation Project, Ndonga Linena Green Scheme Irrigation Project and Orange River Irrigation Project.
Jona Musheko, the Ministry’s spokesperson said the model allows the government to benefit by receiving the farm with all the infrastructure and development, while the investor walks away with profit when the lease contract lapses.
However, the government’s move to romp in international bidders is being resisted by some business groupings.
Agriculture Minister Calle Schlettwein in November last year revealed that the government was exploring public-private partnerships for the development and operation of Green Schemes especially the commercial components thereof including through venture-capital funding and other funding avenues that may be available.
The leasing of green projects comes at a time when incessant challenges at the Agricultural Business Development Agency (AgriBusDev) has seen Cabinet approving the cancellation of the memorandum of understanding between the Ministry of Agriculture and the government-owned entity established in 2011 to monitor and create an ideal environment for achieving the objectives of the green schemes, as defined by the Green Scheme Policy of 2008.
This year, the ministry has budgeted N$9 million to support Green Schemes Projects’ reform activity, among other obligations.
