Policy gaps in oil sector threatens peace, Aupindi warns
While commending President Netumbo Nandi-Ndaitwah for transferring the oil and gas division to her office, Swapo member of parliament Tobie Aupindi has warned that without a comprehensive legal framework and rigorous policy guidance, the country risks undermining its own peace and security.
Aupindi raised these concerns during Monday’s National Assembly budget debate for the Office of the President, where he stressed that the overarching goal must be to position Namibia’s oil and gas sector as a national asset benefiting all citizens, both now and for generations to come.
“Yet, despite this intent, we see a legal and policy vacuum that persists. These gaps must urgently be addressed. Without a solid legal framework and robust policy guidance, we risk destabilising the peace and security of this country,” Aupindi warned.
He also called on government to clarify the budget for staff positions within its organisational structure.
“Against this backdrop, how do we justify budgeting for only 11 staff positions when the structure provides for 52? Based on my experience, even 52 may be inadequate,” he said.
Aupindi urged that during the mid-term review, additional funds be allocated to this division to ensure it is properly and adequately resourced.
"If it is not, multinationals, particularly in the oil sector, will be left to dominate and dictate the pace. That is a dangerous precedent,” he cautioned.
“While I commend the president for taking direct control of this strategic sector, to match the ambition laid out in the policy motivation, we must build a capable, well-funded team," he added.
He said this would include "restructuring salary levels and the administrative framework, especially as we shift from exploration to actual production, as with Total and other players coming online. If we fail to do so, we risk losing our best talent in geosciences and technology to better-funded entities."
Experts paramount
Aupindi noted that the division, now detached from green industrialisation and other energy-related functions previously housed under the mines and energy ministry, encompasses core responsibilities such as geophysical data collection, environmental monitoring and regulatory compliance, all of which demand sophisticated equipment and expert personnel.
“While the division is now housed in the presidency, the operational structure and execution remain crucial. I don’t believe the president will personally chair technical advisory committees or guide daily operations, so we await more clarity on how that operational leadership will be structured,” he said.
Aupindi also took issue with reported remarks by the president of Total, who allegedly claimed Namibia was not viable for a refinery.
“That is unacceptable. The president of Total does not set Namibia’s energy policy," he said.
“Refineries vary in capacity and purpose. To put it into context, Houston alone has 10 refineries processing 2.6 million barrels of crude daily. Therefore, to suggest that a refinery in Namibia is not viable is simply misguided," Aupindi stated.
Challenging sector
Popular Democratic Movement (PDM) leader McHenry Venaani echoed concerns over how the presidency intends to manage the sector, warning that the oil industry’s global reputation for corruption warrants greater transparency.
“The president wants to address the issue of oil and gas, which is a highly complex and challenging sector, not least because the oil industry is, by nature, often associated with corruption,” Venaani said.
“Now that the Office of the President will be directly managing oil and gas, I genuinely want to know: what exactly does this department intend to do under the president’s office? Will deals be made directly with the president? Who will decide how and by whom investments are made? We need clear answers on how this matter will be handled,” Venaani urged.
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Aupindi raised these concerns during Monday’s National Assembly budget debate for the Office of the President, where he stressed that the overarching goal must be to position Namibia’s oil and gas sector as a national asset benefiting all citizens, both now and for generations to come.
“Yet, despite this intent, we see a legal and policy vacuum that persists. These gaps must urgently be addressed. Without a solid legal framework and robust policy guidance, we risk destabilising the peace and security of this country,” Aupindi warned.
He also called on government to clarify the budget for staff positions within its organisational structure.
“Against this backdrop, how do we justify budgeting for only 11 staff positions when the structure provides for 52? Based on my experience, even 52 may be inadequate,” he said.
Aupindi urged that during the mid-term review, additional funds be allocated to this division to ensure it is properly and adequately resourced.
"If it is not, multinationals, particularly in the oil sector, will be left to dominate and dictate the pace. That is a dangerous precedent,” he cautioned.
“While I commend the president for taking direct control of this strategic sector, to match the ambition laid out in the policy motivation, we must build a capable, well-funded team," he added.
He said this would include "restructuring salary levels and the administrative framework, especially as we shift from exploration to actual production, as with Total and other players coming online. If we fail to do so, we risk losing our best talent in geosciences and technology to better-funded entities."
Experts paramount
Aupindi noted that the division, now detached from green industrialisation and other energy-related functions previously housed under the mines and energy ministry, encompasses core responsibilities such as geophysical data collection, environmental monitoring and regulatory compliance, all of which demand sophisticated equipment and expert personnel.
“While the division is now housed in the presidency, the operational structure and execution remain crucial. I don’t believe the president will personally chair technical advisory committees or guide daily operations, so we await more clarity on how that operational leadership will be structured,” he said.
Aupindi also took issue with reported remarks by the president of Total, who allegedly claimed Namibia was not viable for a refinery.
“That is unacceptable. The president of Total does not set Namibia’s energy policy," he said.
“Refineries vary in capacity and purpose. To put it into context, Houston alone has 10 refineries processing 2.6 million barrels of crude daily. Therefore, to suggest that a refinery in Namibia is not viable is simply misguided," Aupindi stated.
Challenging sector
Popular Democratic Movement (PDM) leader McHenry Venaani echoed concerns over how the presidency intends to manage the sector, warning that the oil industry’s global reputation for corruption warrants greater transparency.
“The president wants to address the issue of oil and gas, which is a highly complex and challenging sector, not least because the oil industry is, by nature, often associated with corruption,” Venaani said.
“Now that the Office of the President will be directly managing oil and gas, I genuinely want to know: what exactly does this department intend to do under the president’s office? Will deals be made directly with the president? Who will decide how and by whom investments are made? We need clear answers on how this matter will be handled,” Venaani urged.
[email protected]
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