The Ministry of Agriculture, Water and Land Reform says it will need to relook at its specification to suit potential clients if no bids will be received in the second round of the Green Schemes advertised for private investor uptake.
The Ministry’s remarks came after it re-advertised the Katima Mulilo-Liselo irrigation project, Zone and Tandjieskoppie with a combined 5,320 hectares.
“We will need to rework the conditions and see how we can attract the investors. We shall also work towards supporting interested locals who do not have the capacity and see how we can assist them to take charge. Other than that, we will revert back to the initial state administration even though it was not effective,” the Minister of Agriculture, Water and Land Reform Calle Schlettwein told The Brief.
The re-advertised bidding deadline was 31 July.
“No one showed interest, thus, we have relooked at the conditions and re-advertised. Therefore, we are hoping we receive bids from interested investors this time,” Schlettwein stated.
There has however been friction relating to the Ministry’s specifications which among other conditions, require a potential investor to have a minimum of N$650 million in assets, as well as a proven track record in running green schemes and a yearly financial turnover of not less than N$10 million.
“I understand the concerns, but this is an expensive exercise, and it’s a costly asset that we are giving to the investors, so, [we] must also cover our risks. However, we will see how far we can soften the conditions, but the principle is very solid. This is a public entity, and we must at all cost guard against it and avoid letting it to the dogs,” the Minister explained.
The projects are envisioned to be developed on a build, operate, and transfer model.
