Alweendo: Local content policy must not birth another Fishrot
Staff ReporterWindhoek
Former mines and energy minister Tom Alweendo, widely regarded as the ideological architect of Namibia’s draft national upstream petroleum local content policy, has endorsed the initiative but cautioned that it must be implemented with strong integrity checks to prevent a repeat of the Fishrot scandal.
Alweendo, under whose watch the policy was drafted, described it as a “necessary, rules-based tool” to ensure Namibia’s oil and gas wealth benefits ordinary citizens rather than a politically connected elite.
His comments follow warnings by the Economic Policy Research Association (EPRA), which fears the framework could fall prey to elite capture. While acknowledging the risk, Alweendo maintained that the draft already contains safeguards but stressed the need to strengthen them before finalisation.
“The risk is real, and it is precisely what the draft policy seeks to prevent. Implementation will be decisive,” he said. “We need integrity checks, visible procurement, real capability tests, and hard sanctions.”
The draft, currently under public consultation, prioritises Namibian participation in goods and services, employment, training, technology transfer, SME growth and local equity financing. It requires operators to submit measurable local content plans, file periodic reports, undergo audits and face sanctions for non-compliance. It also mandates disclosure of beneficial ownership and prohibits “window-dressing” arrangements.
Uncompromising integrity
EPRA has criticised the policy for focusing on previously disadvantaged Namibians rather than those who are currently disadvantaged – a distinction it argues could funnel benefits to the already wealthy and politically connected.
In response, Alweendo – who served as mines and energy minister until March – called for uncompromising integrity and eligibility standards. Beneficial-ownership declarations, he said, must be properly verified, with conflict-of-interest checks and politically exposed person screenings. Any misrepresentation, he argued, should trigger disqualification, blacklisting and, if necessary, contract termination.
He stressed that local participation must go beyond tokenism. “Participation must mean substance. Bidders should demonstrate in-country capability, including people, facilities and quality systems. Agency-only roles should be limited where no genuine value is added,” he told Namibian Sun.
To broaden opportunities, Alweendo suggested unbundling large contracts so that SMEs can compete, while creating targeted opportunities for youth- and women-owned firms, backed by supplier development.
He also called for “radical transparency,” including the publication of all contract awards above a certain threshold, with details on scope, value and local-content scores. This, he said, should be supported by an open supplier registry and a live dashboard tracking local spending, job creation, training and technology transfer.
Concessional financing
Skills and technology pathways must also be embedded, he added, with apprenticeships and scholarships tied to placements and retention targets, formal knowledge-transfer agreements, and phased localisation plans for critical technical and managerial roles.
Alweendo further urged that inclusivity remain central, warning that benefits must reach the currently disadvantaged rather than entrench existing privilege. Measures could include SME set-asides, concessional financing windows and performance-based graduation to prevent permanent dependency. He also proposed an independent, multi-stakeholder oversight panel to review high-value awards, hear grievances and recommend remedies.
“Namibians are right to demand a policy that is pro-growth, pro-jobs and clean,” he said. “With these safeguards, the draft provides a workable scaffold to avoid both ‘Fishrot’ and ‘Oilrot’, and to build an industry that serves the many, not the few.”
Former mines and energy minister Tom Alweendo, widely regarded as the ideological architect of Namibia’s draft national upstream petroleum local content policy, has endorsed the initiative but cautioned that it must be implemented with strong integrity checks to prevent a repeat of the Fishrot scandal.
Alweendo, under whose watch the policy was drafted, described it as a “necessary, rules-based tool” to ensure Namibia’s oil and gas wealth benefits ordinary citizens rather than a politically connected elite.
His comments follow warnings by the Economic Policy Research Association (EPRA), which fears the framework could fall prey to elite capture. While acknowledging the risk, Alweendo maintained that the draft already contains safeguards but stressed the need to strengthen them before finalisation.
“The risk is real, and it is precisely what the draft policy seeks to prevent. Implementation will be decisive,” he said. “We need integrity checks, visible procurement, real capability tests, and hard sanctions.”
The draft, currently under public consultation, prioritises Namibian participation in goods and services, employment, training, technology transfer, SME growth and local equity financing. It requires operators to submit measurable local content plans, file periodic reports, undergo audits and face sanctions for non-compliance. It also mandates disclosure of beneficial ownership and prohibits “window-dressing” arrangements.
Uncompromising integrity
EPRA has criticised the policy for focusing on previously disadvantaged Namibians rather than those who are currently disadvantaged – a distinction it argues could funnel benefits to the already wealthy and politically connected.
In response, Alweendo – who served as mines and energy minister until March – called for uncompromising integrity and eligibility standards. Beneficial-ownership declarations, he said, must be properly verified, with conflict-of-interest checks and politically exposed person screenings. Any misrepresentation, he argued, should trigger disqualification, blacklisting and, if necessary, contract termination.
He stressed that local participation must go beyond tokenism. “Participation must mean substance. Bidders should demonstrate in-country capability, including people, facilities and quality systems. Agency-only roles should be limited where no genuine value is added,” he told Namibian Sun.
To broaden opportunities, Alweendo suggested unbundling large contracts so that SMEs can compete, while creating targeted opportunities for youth- and women-owned firms, backed by supplier development.
He also called for “radical transparency,” including the publication of all contract awards above a certain threshold, with details on scope, value and local-content scores. This, he said, should be supported by an open supplier registry and a live dashboard tracking local spending, job creation, training and technology transfer.
Concessional financing
Skills and technology pathways must also be embedded, he added, with apprenticeships and scholarships tied to placements and retention targets, formal knowledge-transfer agreements, and phased localisation plans for critical technical and managerial roles.
Alweendo further urged that inclusivity remain central, warning that benefits must reach the currently disadvantaged rather than entrench existing privilege. Measures could include SME set-asides, concessional financing windows and performance-based graduation to prevent permanent dependency. He also proposed an independent, multi-stakeholder oversight panel to review high-value awards, hear grievances and recommend remedies.
“Namibians are right to demand a policy that is pro-growth, pro-jobs and clean,” he said. “With these safeguards, the draft provides a workable scaffold to avoid both ‘Fishrot’ and ‘Oilrot’, and to build an industry that serves the many, not the few.”
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