Page 348 – Namibia Daily News

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World Trade Organisation at Odds with Mineral Export Bans in Zimbabwe and Namibia

written by Derdy

NDN Staffer

WINDHOEK, July 14 — Bans on mineral exports imposed by Zimbabwe and Namibia may potentially violate the founding regulations of the World Trade Organisation (WTO), according to prominent attorney Peter Leon. He expressed his concerns during a recent mining conference, describing these bans as a form of resource nationalism that could have serious consequences. In December, Zimbabwe implemented a ban on the export of unprocessed lithium to prevent illegal exports by artisanal miners. Zimbabwe holds the largest reserves of hard rock lithium, which is crucial for clean energy technologies. Namibia followed suit in June by imposing a similar ban, which included other critical minerals in addition to unprocessed lithium. Namibia possesses significant resources of rare earth minerals such as dysprosium and terbium, essential for the production of permanent magnets used in electric car batteries and wind turbines.

Peter Leon, a partner at Herbert Smith Freehills, argued that these bans contradict the fundamental principles of international trade law. Speaking at the London Indaba mining conference on June 26, he predicted that the affected countries, particularly those impacted by Namibia’s ban, may take action to address the situation. According to Leon, the WTO permits export and import levies but disapproves of restrictions on quantities, which are regarded as foundational principles. He believes that raw mineral export bans, often accompanied by laws promoting in-country processing (known as ‘beneficiation’), will ultimately violate WTO regulations.

In 2020, Indonesia implemented a ban on nickel exports, citing domestic shortages as the reason. However, the WTO rejected this argument and sided with the European Union, which objected to the ban. Leon noted that any attempt by Indonesia to appeal the WTO’s decision would likely fail since the WTO appellate division no longer exists. During the administration of former President Donald Trump, the United States declined to support the WTO.

Under President Joe Biden, the United States has not made any efforts to reinstate the WTO’s appellate capability. However, it recently signed a memorandum of understanding (MoU) directly with the Democratic Republic of Congo (DRC) and Zambia regarding regulations for securing critical minerals. The MoU, signed during the US-Africa Leaders Summit in December, signifies the US’s support for the commitment between the DRC and Zambia to jointly develop a supply chain for electric vehicle batteries. The DRC is responsible for over 70% of global cobalt production, while Zambia is Africa’s second-largest cobalt producer and the sixth-largest copper producer.

Peter Leon described the MoU as a non-binding agreement and a work in progress. He found it noteworthy that the US facilitated dialogue between the politically risky DRC and Zambia, which he believes is moving in the right direction under President Hakainde Hichilema. – Namibia Daily News

July 14, 2023 0 comment

Economics

Namibia relaxes home loan curbs to stimulate economy

written by Derdy

WINDHOEK, July 14 — Namibia’s central bank announced Wednesday that it is further easing home loan curbs to revitalize the country’s long-depressed housing and construction sectors.

The Bank of Namibia said the construction sector had experienced lengthy periods of depressed growth, compounded by dampened credit extension to the property market.

The bank predicts that GDP growth will fall to 3 percent this year, down from 4.6 percent in 2022, impacted by the poor performance of the construction industry.

“These developments compelled the committee to reconsider the existing loan-to-value regulation, which was implemented as a macro-prudential tool to contain speculative behaviour in the housing market,” the bank said.

The central bank announced in 2017 that home buyers in Namibia would be required to put down larger deposits for second and subsequent properties to curb speculative buying.

The loan-to-value ratio for a second residential property was set at 80 percent of the purchase price or market value, whereas commercial banks backed 70 percent to 50 percent of third and subsequent loans.

The central bank also prohibited homeowners from utilizing the equity in their first house to purchase a second.

The limits were later relaxed in 2019 when the bank announced that home buyers would only need to put down 20 percent on third and subsequent properties. (Xinhua)

July 14, 2023 0 comment

Energy

Namibia Grants ReconAfrica Permission to Drill for Oil and Gas

written by Derdy

By Staff Reporter

WINDHOEK, July 14 — Reconnaissance Energy Africa (ReconAfrica) has recently received an environmental clearance certificate (ECC) to proceed with drilling an additional 12 wells in its northeastern license area in Namibia. The ECC grants ReconAfrica permission to conduct exploration and appraisal activities in the Kavango Basin from July 2023 until July 2026.

The primary objective of the drilling program is to identify commercially viable quantities of hydrocarbons. ReconAfrica’s initial three stratigraphic test wells yielded promising evidence of such reserves. The company had previously expressed its intent to secure a farm-in partner prior to commencing drilling operations.

During a recent appearance at the Global Energy Week in London, Grayson Andersen, the representative from ReconAfrica’s Investor Relations team, highlighted the immense potential of the project but also acknowledged the numerous challenges they face. Andersen emphasized that limited capital and the absence of revenue necessitate continuous engagement with capital markets for financial support. Addressing these challenges, he stated that a farm-out arrangement could help overcome these limitations.

Andersen further commented on the significant obstacles posed by various groups and non-governmental organizations (NGOs) to ReconAfrica’s operations. He argued that these actions hinder the establishment of a sustainable and economically beneficial oil and gas industry, which every developed country enjoys. However, ReconAfrica remains undeterred and is confident in overcoming these challenges due to the uniqueness of its project.

ReconAfrica’s assets in Namibia consist of a rift basin and the Damara Fold Belt, holding a potential 14 trillion cubic feet of gas. Andersen expressed optimism, stating that their operations continue to improve, and while offshore ventures will provide revenue, the long-term benefits of an onshore modern oil and gas industry will bring generational changes to the country.

In July, Netherland, Sewell & Associates is expected to provide an annual update on ReconAfrica’s prospective resources for both its play types, further enhancing our understanding of the company’s resource potential.

The granting of the ECC to ReconAfrica marks a significant milestone for the company, enabling them to progress with their drilling program and potentially make a substantial discovery in the Kavango Basin. Despite encountering challenges from environmental groups and NGOs, ReconAfrica remains confident in its ability to overcome these obstacles. They firmly believe that the potential benefits of establishing an onshore oil and gas industry in Namibia outweigh the challenges they face.

We eagerly anticipate the annual update from Netherland, Sewell & Associates, which will provide valuable insights into the size and potential of ReconAfrica’s resource base. Overall, the ECC approval represents a positive development for ReconAfrica, as it allows them to move forward with their drilling program and explore the significant potential of the Kavango Basin.

July 14, 2023 0 comment

Agriculture

Ministry of Agriculture Clarifies Under-Expenditure in 2021/22 Financial Year

written by Mathias Mupiri

By Mary Mutonga

Windhoek, 13 July – The Ministry of Agriculture, Water and Land Reform has released a media statement shedding light on the 8% under-expenditure during the 2021/22 financial year under Vote 37: Department of Agriculture and Land Reform. The statement aims to provide context and address concerns raised regarding the unspent funds.

According to the Ministry’s media release, the total budget allocation to Vote 37 for the period under review was N$1,222,640,000.00. By the end of the financial year, the expenditure stood at 92%, or N$1,124,917,499.77, of the total allocation. The remaining 8%, equivalent to N$98 million, was not utilized for various reasons, as indicated in Auditor Report No.55/2023.

One of the contributing factors to the under-spending was the Main Division 02: Administration, resulting in an under-expenditure of N$15,864,253.52. This amount was primarily allocated for the recruitment of critical budgeted positions within the Ministry. However, due to COVID-19 restrictions, interviews for these positions could not be conducted, resulting in only 60% of the positions being filled.

Additionally, the under-expenditure on capital projects was attributed to factors such as incomplete construction works, non-responsive bidders, unresolved court cases on disputed bids, and late submission of invoices for payment by service providers in the last quarter of the financial year.

The Ministry emphasized that the N$98 million, which was part of the estimated ceilings of Vote 37, was never disbursed as the planned activities were not carried out. It is crucial to note that these unspent funds were not available to the Ministry of Agriculture, Water and Land Reform, dispelling any insinuations of corruption or misuse of funds.

The Ministry expressed its commitment to addressing the challenges that led to the under-expenditure, acknowledging that under-spending is not desirable. While some of the issues were beyond its control, steps will be taken to improve the recruitment process and overcome obstacles that hinder the execution of capital projects.

The media release serves as a response to concerns raised about the government’s ability to effectively allocate and utilize resources for the benefit of citizens. The Ministry of Agriculture, Water and Land Reform remains dedicated to ensuring transparent and responsible financial management while working towards the development and growth of the agricultural sector.

As stakeholders eagerly await concrete actions, it is essential for the Ministry to prioritize the needs of farmers and invest in training programs, infrastructure maintenance, and other initiatives aimed at supporting the agricultural community. By doing so, the Ministry can foster a thriving agricultural sector that contributes to economic growth and food security for the nation.

Farmers and stakeholders in the agricultural sector are hopeful that the Ministry’s commitment to addressing the challenges will translate into tangible improvements and increased support for their endeavors. The effective utilization of resources and a proactive approach will play a crucial role in strengthening the agricultural sector, empowering farmers, and achieving long-term sustainability. -Namibia Daily News

July 14, 2023 0 comment

Current Affairs

Ex-Air Namibia employees seek intervention of parliament

written by Mathias Mupiri

Lylie Happiness

Windhoek, July 14 -A meeting with the Human Resources and Community Development Standing Committee of the Parliament was convened.

Former employees of Air Namibia will be consulted during today’s meeting. It comes after two petitions from the airline’s now-defunct workforce that were unhappy with previous workers.

The former employees want the committee to summon stakeholders to explain the delays in the payment of their severance packages, among other concerns.

Renier Bougard, their spokesperson, claims that numerous attempts to request an audience with stakeholders have failed to produce any fruitful outcomes.

“We have complied with all regulations for more than two years, yet assistance is not provided. We experience neglect.”

Although the Honorable Minister Iipumbu said that his office doors were open, each time they called to make an appointment, they were met with a long list of excuses.

They ask for a quick meeting with the Minister’s office and also demand the summoning of the Air Namibia liquidators.

As well as other stakeholders such as NAMFISA, the Ministry of Justice, the Master of the High Court, and NamRa”, he pleaded.

The petitioners pleaded with MPs to take action because they had no other way to support themselves and expressed disappointment that Parliament had not quickly looked into their situation despite receiving the initial petition.

“The petition that was presented on November 22, 2022 is being followed up on by this one. We are forced by bureaucracy to organize another nonviolent protest to bring attention to the unfairness we have experienced from the people in charge of running the country.

For approximately 7 months, we did not receive any concrete input regarding our petition and we did not appear at any hearings.”

We have only received part of our severance package and not the full amount as stipulated in our claims that were signed under oath. We ask Parliament to intervene so that we can resolve this matter urgently”, read the petition.

Among a host of issues the ex-employees intend to discuss are tax exemptions on their severance packages and a request for a 30% interest rate, reasoning that payment delays of more than two years have adversely affected me financially. -Namibia Daily News

July 14, 2023 0 comment

Education

San Women Successfully Complete Digital and Dignity Courses

written by Mathias Mupiri

By Lylie Happiness

Windhoek, 13th July. Over the weekend, young girls and women from the San community celebrated their graduation from the Digital and Dignity courses in Okongo, located in the Ohangwena Region.

These graduates, hailing from the Kavango regions, as well as Otjozondjupa, were the first beneficiaries of the pilot project initiated by Ongula Homestead Skills and Technical Academy, based in Okongo.

The Digital and Dignity project, introduced by Ongula Homestead Skills and Technical Academy, aims to empower adolescent girls and young mothers in rural areas and townships by providing them with essential digital, tourism, life, and sewing skills. The focus is primarily on manufacturing washable sanitary pads and school uniforms.

Speaking at the graduation ceremony, Deputy Minister of Information and Communication, Emma Theofilus, praised the leadership of Ongula Homestead Skills and Technical Academy for their transformative initiative, which seeks to improve the livelihoods of rural communities, particularly the San and marginalized individuals.

“This training is crucial in restoring dignity and providing opportunities for these girls who may have had limited options,” Deputy Minister Theofilus stated.

Hilya Nghiwete, the co-founder of Ongula Homestead Skills and Technical Academy, explained that the academy specifically targets adolescent boys and girls who have dropped out of school due to social challenges. By providing technical education, the academy aims to uplift and engage these individuals, diverting them from potentially harmful activities.

The training program was made possible through full funding from Debmarine Namibia as part of their commitment to social responsibility.- Namibia Daily News

July 13, 2023 0 comment

International

Man Marries a Crocodile in Mexico

written by Mathias Mupiri

By Elezo Libanda

International News – July 13 In an unusual ceremony, a Mexican man has recently wedded a crocodile named “Little Princess,” whom he considers the love of his life. Mr. San Pedro expressed his unconditional love for his reptilian partner.

During their wedding, the couple received various gifts, including a fridge, a car, money, and a house. They pledged to stand by each other through thick and thin. We extend our congratulations to this unique couple and wish them all the best in their marital journey.- Namibia Daily News

July 13, 2023 0 comment

Entertainment

ANOVE TUZE: Elia Da Vincii

written by Mathias Mupiri

By Mupiri Mathias

Windhoek, July 13 -Elia Da Vincii, a visual embodiment of Malanga culture and morals, hails from the mighty Kavango East Region, namely Rundu, Kehemu.

The young man has always enjoyed singing, and four years ago, in the midst of the COVID-19 pandemic, he started working as a professional musician and recording artist. He recently collaborated with other MALANGA artists on an album that sent shockwaves down the mighty Kavango River.

The “Ngandu” Society loved the album so much that it was given the name “WHICH CRAFT.”

“We came together and celebrated our culture, language, and beliefs by using musical frequency,” Elia Da Vincii told the Namibia Daily News. “The album is now out on all music streaming platforms, so let us stream the music every chance we get, my people.”

Elia Da Vincii has put out spectacular music in recent years, including a monumental collaboration with Cota Inma, one of the top producers in the Kavango region. Cota Inma rose to prominence after releasing a masterpiece that featured the former Ohangwena’s Regional Governor’s Speech, Usko Nghaamwa.

When 5 a.m. in Malanga was released two years ago, it was one of the songs that made a few singers with Elia Da Vancii famous, like Ariel OG, to name a few. Anytime you want, you can always find the song on YouTube.

Elia Da Vincii and Namibian artist M-Gee Ndumba King will collaborate in an epic performance at Jokers on August 4, 2023, bringing culture and art to Windhoek, the nation’s capital.

“Music is coming to the capital, and we’re bringing the frequency of the Kavango River to the people,” Da Vinci declared.

Prices for tickets, which are currently available, range from N$50 for Phase 1 to N$25 for Makisi. If you’re an African, you can enter by paying N$ 100.00 at the entrance. Elia Da Vincii’s response to his fan in an interview with Namibia Daily News was quite succinct and straightforward: “WIZENI!!!!!!” ~Namibia Daily News

July 13, 2023 0 comment

National

Calls to Remove the Redline Gain Momentum

written by Mathias Mupiri

By Elezo Libanda

Katima Mulilo, 13th July – The persistent demand to remove the redline, also known as the veterinary cordon fence, has been echoing for several decades now. In 2018, President Hage Geingob called for serious deliberations on the matter, joining the voices that have advocated for the removal of the cordon fence.

However, despite these calls, the removal of the cordon fence is still a distant prospect. Some farmers, especially in the South, continue to express concerns about collapsing meat prices and exclusion from international markets if the redline is eliminated. Nevertheless, the nation firmly believes that the redline must be removed as it unfairly excludes northern farmers from lucrative markets. There are those who assert that the cordon fence was an apartheid policy designed to benefit the southern elites.

The fears of southern farmers regarding competition with their northern counterparts causing price collapses are unwarranted. The demand for meat continues to increase, particularly in Asian markets. Locally, businesses beyond the redline have suffered immensely as they are unable to transport meat across it. Consequently, residents are forced to purchase expensive meat in Windhoek or other southern areas, despite the presence of local cattle. A communal farmer from the Zambezi Region lamented, “It’s an apartheid law that needs to be done away with.” He threatened to seek alternative means of supplying meat to the city as he can no longer bear the situation. In the past, significant quantities of meat were confiscated or destroyed at Mururani and Oshibelo checkpoints.

Without political intervention, northern farmers will continue to endure losses and miss out on potential markets due to their exclusion. The ongoing hope for many Namibians lies in the case filed by Job Amupanda, leader of the Affirmative Repositioning movement, who is suing the government for the removal of the redline. Several southern farmers have also joined the case to defend the existence of the redline.- Namibia Daily News

July 13, 2023 0 comment

Editorial

Editorial Analysis: Namibia’s Same-Sex Marriage Recognition Debate

written by Mathias Mupiri

By Mary Mutonga

The recent judgement by the Namibian Supreme Court regarding the recognition of same-sex marriages has ignited a spirited discussion on the balance between constitutional rights and societal values. The court ruled that same-sex marriages legally concluded outside Namibia must be recognized by the government, providing non-Namibian spouses in same-sex marriages with the same residence rights as opposite-sex spouses.

The ruling, supported by four judges, emphasizes the importance of equality and dignity for all individuals, regardless of sexual orientation. It acknowledges that public opinion, as expressed through legislation, can be relevant but does not override the court’s duty to protect fundamental rights enshrined in the constitution.

However, it is crucial to note that one judge dissented from the majority opinion, arguing that Namibia does not recognize same-sex relationships and that Parliament should address the issue. This dissenting voice highlights the complexity and diversity of opinions within society, as well as the ongoing tension between constitutional interpretation and legislative action.

The case also raises questions about the doctrine of precedent and the binding nature of court decisions. The Supreme Court clarified that obiter dicta, statements made by the way that are not essential to the decision, do not hold binding authority. The Full Bench’s reliance on obiter dicta from a previous case was deemed erroneous. This emphasizes the importance of distinguishing between the ratio decidendi, the binding basis of a judgment, and subsidiary statements that do not carry the same weight.

In response to the Supreme Court’s ruling, Member of Parliament Jerry Ekandjo introduced a private member’s bill seeking to amend the Immigration Act. The proposed amendment aims to define ‘spouse’ within the Act as a legally recognized marriage between a man and a woman, aligning it with Namibia’s traditional understanding of marriage. This move underscores the role of the legislative body in shaping the country’s legal framework and reflects the ongoing debate between different branches of government.

It is evident that the recognition of same-sex marriages is a contentious issue in Namibia, with divergent viewpoints represented both within the judiciary and the legislative sphere. The principle of “the minority have their say, and the majority have their way” holds significance in this context. While the Supreme Court ruling represents a step towards equality and inclusion, the dissenting opinion and proposed legislation reflect alternative perspectives and societal norms.

As the debate continues, it is crucial for all stakeholders to engage in constructive dialogue, considering both constitutional rights and societal values. Striking a balance between the two is essential for fostering a society that respects and protects the dignity and equality of all its citizens.- Namibia Daily News

July 13, 2023 0 comment

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World Trade Organisation at Odds with Mineral Export Bans in Zimbabwe and Namibia

Namibia relaxes home loan curbs to stimulate economy

Namibia Grants ReconAfrica Permission to Drill for Oil and Gas

Ministry of Agriculture Clarifies Under-Expenditure in 2021/22 Financial Year

Ex-Air Namibia employees seek intervention of parliament

San Women Successfully Complete Digital and Dignity Courses

Man Marries a Crocodile in Mexico

ANOVE TUZE: Elia Da Vincii

Calls to Remove the Redline Gain Momentum

Editorial Analysis: Namibia’s Same-Sex Marriage Recognition Debate