The new N$1.25 billon 54 megawatt Anixas II Thermal Power Station at Walvis Bay will go a long way in providing dispatchable and reliable generation capacity to the Namibian grid, thereby improving security of supply and self-sufficiency.
The Anixas II Power Station, which was inaugurated on 5 March, is the first thermal power station in NamPower’s mix of generation projects.
NamPower Managing Director Kahenge Simson Haulofu said although the utility was investing significantly into renewable energy projects such as solar, biomass, battery energy storage systems (BESS) and the development of future wind projects, there was a big need for firm and dispatchable power on the grid.
“While technologies such as solar and wind will help alleviate some of the future energy requirements of the Namibian grid, they cannot fulfil the dispatchable capacity requirements of the future Namibian grid. During times when the sun is not shining, when there is cloud cover or wind still days, or when the Kunene River flow is low for the Ruacana Hydro Power Station to generate sufficiently, dispatchable power plants are required to support the grid and to meet the evening peak demand,” Haulofu said.
He added that when system emergencies occur, or if a Southern African Power Pool (SAPP) member needs supply of emergency energy, firm and dispatchable power plants were required.
ROOM FOR MORE RENEWABLE PROJECTS
Haulofu said the Anixas II Power Station will also support the SAPP members’ ten-minute operating reserve requirements – meaning it can respond in a short timeframe to support the SAPP network – and allows Namibia to integrate more renewable energy projects in the future, by serving as a dispatchable power station to support the grid and energy requirements, in light of the intermittency of renewable energy facilities.
The Anixas II Power Station is built as a dual-fuel power station, ready to receive natural gas (NG) once it becomes available in Namibia at a competitive price. This will allow for greater risk mitigation in terms of fuel diversification, higher capacity factors, reduction in emissions and further reduction of system losses during peak times.
“The power station, in addition to our existing fleet of generators and considering all the new projects in development and execution stages, provides a robust mix of technologies to put NamPower and Namibia in an optimal position for Namibia’s future energy requirements,” the NamPower MD said.
Construction, testing and commissioning of the power station was completed in September 2024, with final taking-over from the EPC contractor on 20 November 2024. The project was financed from NamPower’s balance sheet.
Haulofu said the EPC contract amount started at N$1.259 billion and was now standing slightly lower at N$1.252 billion.
Close to 15% of the EPC contract value (excluding forex hedging cost), which translates to more than N$183 million, was spent on indigenous Namibian companies.
“Constructing a thermal power station and integrating it with an existing power station, as we did with integrating Anixas I next door with Anixas II, is a large and very complex project – compared to PV or many other generation projects – with several civil, mechanical and electrical engineering challenges.
“However, despite the challenges, the inauguration of the Anixas II Power Station is a true demonstration of NamPower’s unwavering commitment to powering the Namibian economy and the Nation, by ensuring security of supply and improving self-sufficiency – a milestone achieved in our quest to becoming the leading electricity solutions provider of choice in SADC, a catalyst for economic growth in Namibia and in the region,” Haulofu said.
