Namibia’s state-owned power utility NamPower has partnered with two Chinese companies to commence the construction of the country’s largest solar power plant, Reuters has reported.

The move is set to bolster Namibia’s power generation capacity by an additional 100MW, a significant increase to its current total installed capacity of 500MW.

Valued at N$1.4bn ($78.3m), the project will reduce Namibia’s reliance on electricity imports from neighbouring countries such as Zambia and South Africa.

NamPower managing director Kahenge Haulofu was quoted by Reuters: “The plant will help stabilise future electricity tariff increases, support Namibia’s economic growth and promote environmental sustainability.”

Financing for the solar power plant will be secured through a loan from the German development bank KfW, which will cover 80% of the project’s costs.

NamPower will allocate the remaining 20% from its balance sheet.

The collaboration with China Jiangxi International Economic and Technical Cooperation (CJIC) and Chint New Energy Development (Zhejiang) is expected to span an 18-month construction period.

The solar facility will come online in the second quarter of 2026.

In May 2023, Finnish wave technology developer AW-Energy signed a memorandum of understanding with Namibia’s Kaoko Green Energy Solutions, agreeing on an initiative to produce green hydrogen from wave energy.

The project, which aims to diversify Namibia’s energy sector, will be constructed in three phases. Phase 1 includes site design, which covers the creation and deployment of a wave farm on the coast of Swakopmund, Namibia, set to provide renewable power for supporting inland resettlement and development.