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Baynes Hydropower Project: Powering Namibia’s future and unlocking water solutions

by editor
February 18, 2025
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By Lot Ndamanomhata

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Namibia and Angola have achieved a historic milestone with the signing of the Baynes Implementation Agreement on 18 November 2024.

This pivotal step cements the foundation for the development of the Baynes Hydropower Project, with construction slated to commence in the first quarter of 2027.

The agreement underscores both nations’ commitment to addressing energy challenges, fostering regional cooperation, and unlocking solutions for sustainable water resource management (The Brief, 2024).

A Collaborative Vision for Sustainable Development

The Baynes Hydropower Project is a model of transboundary cooperation between Namibia and Angola. Situated on the Kunene River at Namibia’s northwest border, the 600-megawatt hydropower facility is expected to deliver 300 megawatts of electricity to each country, bolstering energy independence and driving regional economic growth (Energy Capital & Power, 2024).

However, the project’s benefits extend far beyond energy. The planned Baynes Regulating Dam will serve as critical infrastructure to address water storage challenges and enhance bulk water supply for Namibia, especially in arid northern regions.

This integration of energy and water management demonstrates the project’s holistic approach to sustainable development (African Development Bank, 2024).

Key Developments and Financial Commitments

Namibia’s Minister of Mines and Energy, Tom Alweendo, has outlined the roadmap for the project, with financial close targeted by the end of 2026. The Namibian government has adopted a public funding model for financing the hydropower and regulating dams.

The Ministry of Finance and Public Enterprises is tasked with mobilising funds and securing additional financing for access roads, with construction of these roads set to begin in September 2024 (Observer24, 2024).

The total cost of the Baynes Hydropower Project is estimated at N$22 billion (US$1.3 billion), with a construction timeline of six years. Namibia’s national utility, NamPower, will oversee the integration of the generated energy into the national grid, while the Angola-Namibia Transmission Interconnection (ANNA Interconnection) will connect Angola to the Southern African Power Pool (SAPP), fostering regional energy trade (African Development Bank, 2024).

Institutional Framework for Effective Implementation

To ensure smooth execution, Namibia and Angola have established robust governance structures:

            1.         Binational Implementation Unit (BIU): Replacing the existing Project Office, the BIU will coordinate with the Permanent Joint Technical Commission on the Cunene Basin.

            2.         Joint Project Office (JPO): Based in Windhoek or Luanda, this office will streamline coordination between the two nations, ensuring transparency and efficiency throughout the project lifecycle (The Brief, 2024).

Benefits for Namibia’s Energy and Water Sectors

The Baynes Hydropower Project is expected to transform Namibia’s energy landscape, reducing reliance on imported electricity from neighbouring countries. It will complement existing renewable energy facilities, such as the Ruacana Hydropower Station, enhancing grid stability and affordability (Energy Capital & Power, 2024).

For NamWater, the project could offer immense opportunities:

            •           Enhanced water storage capacity through the regulating dam, mitigating the effects of drought and water scarcity.

            •           Development of strategic partnerships with Angola for joint water and energy resource management.

            •           Improved infrastructure to support bulk water supply in Namibia’s northwestern regions, reducing costs and operational complexities (African Development Bank, 2024).

Comparisons with Other Hydropower Projects

Unlike contentious projects like the Grand Ethiopian Renaissance Dam (GERD) on the Nile, which has sparked geopolitical tensions, the Baynes Project exemplifies successful cross-border collaboration.

Namibia and Angola’s mutual commitment to sustainable resource use and equitable benefits sets a benchmark for transboundary hydropower initiatives in Africa (BBC News, 2023).

Regional and Economic Impacts

The Baynes Hydropower Project is poised to strengthen the Southern African Development Community (SADC) energy framework. By integrating Angola into the SAPP, the project will enhance regional energy security and create opportunities for power trade within the regional market.

Additionally, the project is expected to generate significant economic benefits, including:

            •           Job creation during construction and operational phases.

            •           Stimulation of local economies through procurement and ancillary services.

            •           Attraction of foreign investment in energy-intensive industries (Observer24, 2024).

Potential Challenges and Mitigation Measures

While the Baynes Project presents enormous opportunities, challenges such as funding delays, environmental concerns, and cross-border coordination must be addressed.

Both governments are committed to proactive risk management, including phased budget allocations and adherence to international environmental standards (The Brief, 2024).

Conclusion

The signing of the Baynes Implementation Agreement marks a transformative moment for Namibia and Angola. By 2031, the Baynes Hydropower Project will not only provide critical energy security but also unlock new avenues for water resource management, positioning the project as a cornerstone of sustainable development in Southern Africa.

For Namibia, the project represents a unique opportunity to integrate energy and water infrastructure, addressing dual challenges of power shortages and water scarcity.

By leveraging these synergies, Namibia can ensure that the Baynes Project delivers multi-sectoral benefits, aligns with national development goals, and contributes to long-term resilience in a changing climate.

*Lot Ndamanomhata is graduate of Public Management, Journalism and Communication. This article reflects his views and write entirely in his personal capacity.

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