The Economic Association of Namibia (EAN) says it will run a study to see how ready Namibian businesses are to take advantage of developments in the oil and gas sector.
Speaking at the media launch of the fourthth National Oil and Gas Conference, which is convened by the EAN, association chairperson Jason Kasuto says Namibian businesses are key to turning the country’s oil resources into dividends for the whole country.
“This year we are going to measure what readiness truly looks like. [This will be] the first independent measure of how ready Namibian businesses really are to deliver work in oil and gas,” says Kasuto.
He says the association intends to unveil the results at this year’s oil and gas conference and issue an official report before the end of the year.
In August 2024, an industrial baseline survey of the oil and gas industry in Namibia, commissioned by Deloitte, showed that capital, bureaucracy, and a shortage of skilled people were all roadblocks to full integration of Namibian business in the oil and gas economy.
“This is not just a baseline survey 2.0. We want to broaden [the survey] now and determine, across sectors, what is the 1-10 level of readiness [to engage with the oil and gas sector],” Kasuto says.
There are industries that will clearly have a role to play in the sector, such as the construction industry. But the study will also look at the potential ripple effects on industries such as catering and cement.
“To become a supplier of a major oil company like Total or of a major subcontractor, you need to have certain standards in place.
How ready are we? If we have 10 catering companies in the country, how many of them have the health and safety standards [required by those international companies]?” Kasuto ask.
The oil and gas conference will take place in August.
This year’s theme is ‘From Decision to Dividend: Making Namibia’s Oil Work for Namibians.’
The EAN says this year’s conference comes at an opportune time, as TotalEnergies is expected to make its final investment decision on its Venus project this year.
“This year, the talking stops and the contracting begins,” Kasuto emphasises.
This year, the conference will host a marketplace for Namibian businesses to meet suppliers and major contractors face-to-face.
According to Kasuto this will provide an opportunity for Namibian businesses to take advantage of the boom in interest in the country.
SNC Incorporated’s Shakwa Nyambe, whose law firm is a partner in the conference, says this year’s event comes at an opportune time.
“We have major pending decisions which may be taking place between now and August.
There’s the amendment to the Petroleum Exploration Act and we’re waiting for the final approval of a local content policy. And there is Venus,” he says.
TotalEnergies is expected to make its final investment decision on its Venus project this year, possibly in July.
The programme has expanded since last year, EAN chief executive Cons Karamata says, and now includes a deeper focus on local content and youth inclusion.
“Most important is whether future generations can look back at this period and say Namibia has used this opportunity wisely,” he says.
Partners in convening the conference include the Hanns Seidel Foundation, the National Petroleum Corporation of Namibia, the Namibia Investment Promotion and Development Board, and SNC Incorporated.
