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Germany to fund N$121m for Lüderitz development

Elizabeth Joseph
Germany's federal ministry for economic cooperation and development (BMZ) has announced it will fund N$121 million to support urban planning and development in Lüderitz.

Germany's development minister, Svenja Schulze, said Namibia has a lot of potential for renewable energies and has recognised that it can write "a success story" in expanding green hydrogen production.

"We will support Namibia in this. Sustainable urban planning in the vicinity of the future facilities is an important part of our cooperation. Above all, sustainable means involving the local population in the planning. They have to be able to have a say because it's about shaping their country," she said.

In addition, support is needed for the training of specialists who are urgently needed in the renewable energy sector.

Partners in energy

The funding agreement was announced at the end of government negotiations on joint development last week.

According to Schulze, the cooperation between Germany and Namibia will benefit the climate and local development and will allow Germany to gain a "powerful partner" for its energy transition.

The German ministry said BMZ has committed approximately N$104 billion for projects in sustainable urban development, vocational training, climate change adaptation, as well as the protection of biodiversity and improved water supply across the world.

Take responsibility

Schulze added that Lüderitz is bound to face numerous challenges despite the multibillion-dollar project happening there.

Among these challenges, she said there would be a strong influx of industrial workers and employees in the service sector.

"To ensure that rapid growth does not lead to uncontrolled urban sprawl, it was agreed during the government negotiations to support Lüderitz in climate-neutral and participatory urban planning.

Private investors will also need to become involved in order to speed up the construction of new apartments, schools, water pipes, sanitary facilities, roads, and public places.

Cabinet in May approved a highly anticipated green hydrogen feasibility and implementation agreement (FIA) with Hyphen Namibia.

The project, with a projected total capital investment of about N$192.5 billion, will be the country's first.

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Namibian Sun 2024-11-23

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