More money needed to complete Daures pipeline
Pipeline expected to be completed by May
Despite budget adjustments, the regional authority remains confident that the project is on track and will be completed this year.
The Erongo Regional Council needed an additional N$1.2 million to complete the Ozondati-Omatjete water pipeline in Daures constituency after initial cost estimates fell short.
The underestimation, which has pushed the total project cost beyond N$30 million, has delayed the final phase of the much-needed infrastructure.
For over a decade, Omatjete has faced severe water shortages due to recurring droughts.
A hydro-census study conducted about four years ago identified water reserves in the Ozondati area, about 31 kilometres from Omatjete. The regional council subsequently planned a pipeline project to address the crisis, with a budget of about N$29 million. Due to financial constraints, the project was split into two phases, with phase 1 covering 23 kilometres.
However, as work progressed, an updated review of costs for Phase 2 revealed that the remaining eight kilometres would require more funds due to rising material and labour costs.
To bridge the shortfall, the Erongo Regional Council sought approval from the finance ministry for an exemption to continue the project beyond the original budget.
Economic fluctuations
Chief regional officer Mpenzeni Ntelamo clarified to Namibian Sun sister publication Erongo 24/7 that the council was not forced to seek additional funding but had to adjust due to inflation and necessary modifications.
“The additional funding request resulted from inflation and necessary amendments to the original bill of quantities, including the drilling of an additional high-yielding borehole and the construction of elephant protection walls at pump stations to safeguard the infrastructure,” Ntelamo told Erongo 24/7.
“Cost estimations had to be revised due to economic fluctuations, and adjustments were made based on the Construction Inflation Indexes published by Statistics South Africa,” he explained.
Another key factor that led to the cost adjustment was the need to expand water supply beyond Omatjete due to ongoing drought conditions.
“The original plan was to supply water only to Omatjete, but with the worsening drought, it became necessary to ensure that other villages along the pipeline could also benefit,” Ntelamo explained.
Despite the funding challenges, the regional authority said the project remains on track.
“This is a six-month project and we anticipate practical completion by May 2025,” Ntelamo confirmed. “The only potential risk to the timeline would be the ongoing rains, but construction has been progressing well, with five kilometres of trenches already completed and pipes laid.”
Need for water
Beyond Omatjete, the regional council acknowledges the broader need for water infrastructure in the region. “Daures constituency frequently experiences droughts, and we are committed to extending water supply infrastructure not just here but also to areas such as Karibib and Walvis Bay rural constituencies,” said Ntelamo. “However, the main challenge remains securing sufficient funding.”
To address concerns regarding the funding source, Ntelamo emphasised that the 5% assessment rate account was being used appropriately.
“This account, which municipalities collect on behalf of the regional council under the Local Authorities Act, is designed to support rural development. The council decided to allocate a portion of these funds to this crucial water project, ensuring that rural communities benefit,” he noted.
He further clarified that the agriculture and water ministry has already contributed N$11 million towards the project, with the regional council covering the remaining approximately N$1.2 million from the 5% Assessment Rate Account.
“We are confident that this project will be delivered on time and will improve access to water for many communities in need,” Ntelamo said.
The underestimation, which has pushed the total project cost beyond N$30 million, has delayed the final phase of the much-needed infrastructure.
For over a decade, Omatjete has faced severe water shortages due to recurring droughts.
A hydro-census study conducted about four years ago identified water reserves in the Ozondati area, about 31 kilometres from Omatjete. The regional council subsequently planned a pipeline project to address the crisis, with a budget of about N$29 million. Due to financial constraints, the project was split into two phases, with phase 1 covering 23 kilometres.
However, as work progressed, an updated review of costs for Phase 2 revealed that the remaining eight kilometres would require more funds due to rising material and labour costs.
To bridge the shortfall, the Erongo Regional Council sought approval from the finance ministry for an exemption to continue the project beyond the original budget.
Economic fluctuations
Chief regional officer Mpenzeni Ntelamo clarified to Namibian Sun sister publication Erongo 24/7 that the council was not forced to seek additional funding but had to adjust due to inflation and necessary modifications.
“The additional funding request resulted from inflation and necessary amendments to the original bill of quantities, including the drilling of an additional high-yielding borehole and the construction of elephant protection walls at pump stations to safeguard the infrastructure,” Ntelamo told Erongo 24/7.
“Cost estimations had to be revised due to economic fluctuations, and adjustments were made based on the Construction Inflation Indexes published by Statistics South Africa,” he explained.
Another key factor that led to the cost adjustment was the need to expand water supply beyond Omatjete due to ongoing drought conditions.
“The original plan was to supply water only to Omatjete, but with the worsening drought, it became necessary to ensure that other villages along the pipeline could also benefit,” Ntelamo explained.
Despite the funding challenges, the regional authority said the project remains on track.
“This is a six-month project and we anticipate practical completion by May 2025,” Ntelamo confirmed. “The only potential risk to the timeline would be the ongoing rains, but construction has been progressing well, with five kilometres of trenches already completed and pipes laid.”
Need for water
Beyond Omatjete, the regional council acknowledges the broader need for water infrastructure in the region. “Daures constituency frequently experiences droughts, and we are committed to extending water supply infrastructure not just here but also to areas such as Karibib and Walvis Bay rural constituencies,” said Ntelamo. “However, the main challenge remains securing sufficient funding.”
To address concerns regarding the funding source, Ntelamo emphasised that the 5% assessment rate account was being used appropriately.
“This account, which municipalities collect on behalf of the regional council under the Local Authorities Act, is designed to support rural development. The council decided to allocate a portion of these funds to this crucial water project, ensuring that rural communities benefit,” he noted.
He further clarified that the agriculture and water ministry has already contributed N$11 million towards the project, with the regional council covering the remaining approximately N$1.2 million from the 5% Assessment Rate Account.
“We are confident that this project will be delivered on time and will improve access to water for many communities in need,” Ntelamo said.
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