Namibia’s offshore petroleum discoveries have placed the country on the global energy map, raising hopes of jobs, revenue, and long-term development.
At the same time, parliament has tabled amendments to the petroleum law intended to govern this new era. Both developments matter.
Precisely because they matter, the petroleum amendment bill deserves deeper public engagement and clearer justification before it is rushed into law.
This is not an argument against oil and gas development. It is an argument for getting the rules right – laws outlive the excitement of discovery and the careers of those who draft them.
Exploration success has attracted major international companies, renewed investor confidence and sparked public optimism about economic transformation.
But history, both in Africa and globally, shows that natural resources do not automatically translate into national prosperity.
Outcomes depend on governance, how licences are awarded, how revenue is shared, how environmental risks are managed, and how future generations are protected.
In this sense, petroleum is less about geology and more about institutions.
INTENTIONS
The government has outlined clear intentions behind the proposed changes.
Tabling the amendment bill in parliament last month, mines and energy minister Modestus Amutse said it seeks to modernise and strengthen the Petroleum Act of 1991, enhance institutional capacity, ensure regulatory clarity, and align Namibia’s petroleum governance with international best practices while maintaining accountability to parliament and the public.
The bill proposes establishing an Upstream Petroleum Unit in the president’s office, headed by a director general and deputy director general.
It is intended to consolidate technical regulation, licensing, compliance and oversight within a single professional authority capable of managing a rapidly growing petroleum sector.
The bill also introduces expanded conflict of interest provisions, requiring senior officials and staff to disclose assets and interests, with penalties for breaches.
Modernisation, transparency and professional regulation are legitimate in light of Namibia’s recent offshore discoveries.
However, the manner in which these reforms are structured raises important governance questions that can’t be ignored.
KEY QUESTIONS
The amendment bill is being advanced in a context of urgency.
The government understandably wants a modern legal framework that reflects the new realities of offshore production, local participation and state benefits.
However, several key questions remain insufficiently clarified in the public domain:
How will Namibia balance attracting investment with securing fair returns? Are the proposed terms competitive, transparent and stable over the long term?
What does “Namibian participation” mean?
Will it build real capacity, or risk becoming a box-ticking exercise that benefits a few intermediaries?
Do existing regulators have the technical capacity, independence and resources to oversee complex offshore petroleum operations?
Offshore drilling carries real environmental risks. Are impact assessments, liability regimes, and emergency response mechanisms clearly defined and enforceable?
How will petroleum revenue be saved, invested, or spent to benefit not only today’s citizens but future Namibians?
If these questions are not convincingly answered, legislation risks being perceived as serving short-term interests rather than a national vision.
Recent contributions in parliament underline why caution is necessary.
McHenry Veenani warned against legislating for individuals rather than for the nation and future generations.
He said systems, institutions and processes must remain stronger than personalities. He cautioned that concentrating decision-making power risked weakening accountability and undermining the constitutional balance of power.
Venaani drew lessons from the Fishrot scandal, where excessive discretionary power enabled abuse rather than national benefit.
He warned that few countries have centralised upstream petroleum authority at the level now proposed, and that those who have done so offer cautionary rather than reassuring examples.
CONSULTATION
Public trust is a strategic asset. In resource governance, legitimacy matters as much as legality.
While parliament is empowered to pass laws, broad consultation strengthens outcomes. Civil society, legal experts, environmental specialists, the youth and coastal communities all have a stake in petroleum development.
A pause to deepen consultation is not a sign of weakness.
Countries that have managed natural resources well through sovereign wealth funds, clear fiscal rules, and strong oversight did so by resisting haste and investing in consensus.
Namibia’s petroleum moment arrives during a global energy transition. Oil and gas remain relevant, but markets are changing. Long-term demand, uncertainty, climate commitments, and investor scrutiny mean petroleum laws must be resilient, flexible, and forward looking.
Rushing legislation that may need repeated amendments could undermine stability. Investors value predictability, but citizens value fairness. The law must deliver both.
STRATEGIC PATIENCE
Pausing the petroleum amendment does not mean abandoning reform.
It means articulating its intentions clearly, justifying its choices, and aligning it with a coherent national development strategy.
Namibia has an opportunity many nations never get: to design its petroleum governance before production starts in earnest. That opportunity should not be diluted by urgency or political timelines.
Patience, in this moment, is not delay. It is leadership.
Laws live well beyond their authors. Namibia must ensure that when future generations look back at this chapter, they see foresight not haste.
- Tangi Amupanda is a third year media studies student at Triumphant College.
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