By Victor Angula /
In order for local enterprises to benefit from the green hydrogen sector there is a need for not only them to “intentionally” onboard themselves onto the green hydrogen bandwagon, but for Hyphen Hydrogen Energy to do more in terms of creating capacity necessary for this “onboarding” to happen.
This was said by Mr Gabriel Erastus, an economist at the Namibia Chamber of Commerce and Industry (NCCI).
Erastus was making a presentation at the Hyphen Hydrogen Energy’s Local Content Engagement event held at Oshakati on 14 March.
The event, which attracted over 60 people, mostly entrepreneurs from towns across the northern regions, was an opportunity for Hyphen Hydrogen Energy to explain how it will achieve its socio-economic development commitments to the Namibian people.
Presenting a paper titled “Intentionally onboarding and enabling local participation in sophisticated sectors”, Erastus asked those present to understand their roles in the efforts to work collaboratively by leveraging their strengths, expertise and resources in driving this nascent energy sector to success.
“When people talk about green hydrogen, it looks so fancy, it looks so scary,” Erastus said. “But if you go within, you see that they just need solar, they just need wind, they just need water desalination, and a machine that takes hydrogen from somewhere. Nothing complicated.”
All that is needed, he said, is to understand one’s role and how to bring their expertise to the table in the process to set up the infrastructures and do the work to produce this green hydrogen which the market needs.
“The opportunities are there, but do we have the capacity? What is your role in terms of capacity building?” Erastus asked Hyphen Hydrogen Energy how it intends to bring onboard local enterprises.
“The first thing you have to do is to communicate effectively. Tell us what is this project all about. What do you need from our local entrepreneurs and the workforce? We will not know if we have capacity if you don’t communicate with us.
“How will I know if I have capacity if you didn’t tell me what to do?”
Then Hyphen needs to be bold enough and deliberate in bringing on board upcoming innovators.
“Don’t do like NamPower who buys a transformer from South Korea, while we have engineers being trained here at our universities every year.
“But you will not be able to be deliberate if you do not understand the capacity of the Namibian entrepreneur and local innovator.”
Erastus stated that the government also needs to come in to strengthen the capacity of local entrepreneurs, as much as investing in research and local innovation.
But entrepreneurs themselves need to invest and reinvest in themselves in acquiring capacity.
He also stated that access to capital will be a major determiner for participation in the green energy sector.
“Without access to capital, will you be able to finish the project? Are you not participating because you don’t have project financing? Project financing is not the same as SME financing.”
Erastus pointed out that asset managers, who are regulated by NAMFISA, are the biggest funders of projects.
“We need to start engaging the government regarding the banks, and we need to start engaging NAMFISA regarding asset managers.”
He emphasised that economic information is paramount.
“Economic information is critical for an entrepreneur in the efforts to create one’s capacity. How do you expand if you don’t have the right information?
“Get the right information. Get closer to the right people. Be deliberate in gathering economic information. Otherwise you will not be in a position to exploit opportunities. Let’s develop a culture of reading. It is not just information but economic intelligence.
“Join sectoral bodies. If you are an entrepreneur, stay out of politics. Sectoral bodies, that is what makes us to have a collective voice. Let’s have one voice to talk to Hyphen.”
In the photo: Mr Gabriel Erastus delivering his presentation on enabling local participation in the green energy sector.
