Critics of Namibia’s National Upstream Petroleum Local Content Policy argue that, while it promises to integrate Namibians into the oil and gas value chain, it falls short in terms of enforcement.
The draft framework does not specify what happens if international operators or local intermediaries fail to comply with its requirements.
There are no penalties, no suspension clauses, and no clear compliance timelines. Civil society groups and regional leaders have warned during the September 2025 consultations that without these safeguards, the policy risks becoming “aspirational paper” rather than a binding tool to secure jobs, contracts, and ownership for Namibians.
The consultations, which began on September 1, 2025, in Lüderitz and continued through all 14 regions, have already heard voices like David Gertze, Governor of the //Kharas Region, pressing for “inclusivity and shared prosperity.”
Deputy Head Carlo McLeod reaffirmed the government’s commitment, saying: “With recent discoveries offshore Namibia, we are entering a new era, and this policy will guide us on how we integrate our people, our businesses, and our institutions into the petroleum value chain.
Hence, it is essential that at this stage, while we are still developing, that we get this framework set up as soon as possible and lay the proper foundation now so that Namibians do not remain just spectators, but instead also become active participants and beneficiaries.”
Namibia’s Upstream Petroleum Unit, operating under the President, has launched a sweeping review of the country’s oil and gas governance.
Deputy minister Kornelia Shilunga, who leads the unit, said during the Youth in Oil and Gas Summit in Walvis Bay that the review aims to restructure sector oversight, enhance competitiveness, and ensure that young Namibians take their rightful place in a sector poised to reshape the national economy.
She emphasised that “under Namibia’s 8th administration, youth empowerment is a national imperative, not a secondary concern,” and challenged industry, academia, government, and the youth themselves to collaborate and invest in capacity building and skills alignment.
The review follows landmark growth, which shows that by 2024, Namibia had drilled 28 offshore and 10 onshore wells, and discovered an estimated 11 billion barrels of oil and 2.2 trillion cubic feet of gas.
With fields such as Venus and Mopane drawing international interest to the Orange Basin, policymakers recognise the urgent need for a modern, inclusive regulatory framework.
In December 2024, Namibia’s Cabinet approved the National Upstream Petroleum Local Content Policy.
The policy is designed to weave Namibian participation through the entire petroleum value chain—from exploration to downstream industries—by mandating workforce development, transfer of knowledge, local business integration, and economic linkages that support industrialisation and diversification.
“As we develop Namibia’s petroleum industry, the principle of Namibianisation stands at the forefront of this Local Content Policy,” former mines minister Tom Alweendo affirmed in the policy’s final draft, underscoring the government’s commitment to inclusive economic growth.
Namibia’s offshore hydrocarbons have rapidly transformed from potential to near-term reality. Alongside majors like Shell and TotalEnergies, multiple international and independent players are actively exploring the Orange and Walvis Basins.
Galp holds an 80 per cent interest in PEL 83 and has made substantial discoveries at its Mopane play.
Rhino Resources, in partnership with Azule Energy, BP, Eni and Namcor, struck a promising light oil reservoir in April 2025 at the Capricornus-1X well on PEL 85.
Eco (Atlantic) Oil & Gas holds four petroleum licences (PEL 97 to 100) in the Walvis Basin and is actively seeking farm-in partners after seismic and exploration advances. Additionally, Pancontinental Energy’s work in PEL 87 has further underscored Namibian potential with promising reservoir models.
Chevron, through its interest in nearby wells, and ExxonMobil, with exploration licenses in the Namibe frontier basin, add to the growing list of interested parties.
These policies are not in isolation; they align with Namibia’s Sixth National Development Plan (NDP-6), which aims to increase the state’s stake in oil and gas from 10 to 15 per cent, produce 150 million barrels of oil equivalent, generate significant gas output, and create nearly 23,000 jobs by 2030.
Though Namibia’s 1991 Petroleum Act and 1998 Model Agreement laid the foundation for licensing and revenue sharing, they are now being modernised.
The review considers establishing an independent upstream regulator to separate policymaking from enforcement, improve transparency, and foster investor confidence.
Officials, including Kornelia Shilunga and Governor Gertze, see oil as a transformative opportunity.
If realised properly, production could double GDP growth to 8 per cent within a decade, reduce reliance on diamonds, and reduce unemployment—but only if the sector empowers Namibians.
Industry actors like Justina Erastus, founder of the Youth in Oil and Gas Summit, echoed this vision.
“I see a future where Namibia is 100 per cent electrified thanks to our own oil and gas resources,” and encouraged young people to embrace the sector’s promise.
She added, “Oil and gas is a long-interconnected value chain that calls for logistics experts, caterers, waste managers, asset custodians, communicators, and creatives,” speaking to the breadth of opportunity beyond drilling rigs.
