Starting a Namibian Circular Bio Based Economy

Willem Baartman
Starting a Namibian
Circular Bio Based
Economy, today
Namib Desert, the future of growing fresh produce sustainability.

Dedication
All the work that have gone and is still ongoing into this project is dedicated to my family and
friends.The knowledge gained and practical implementation principals are available for Namibia
and the world to use in solving some of our food production and social problems in the coming
years.
The dream and journey started just outside Swakopmund, Namibia.

Table of Contents
Page
Introduction,The Problem 4
The Solution 9
Our Story 11
What We Learned 16
Welcome To Namibia 19
Agriculture - Horticulture Focus 22
Water 27
Energy 30
Transport 38
Education 43
Funding 45
Conclusion Summary 52

Introduction
The problem
Without the availability of affordable food, water and electricity no economy will prosper.
The world’s energy needs keep on growing, agriculture land and practises are becoming
environmental and political issues, water scarcity is a real problem, job creation is not
keeping up with demand and resources to power industry and the transport sectors are
damaging the environment and people's health.
Basically everything that was done before to feed, power, move and create wealth had an
negative impact on earth and the future of mankind.
Why did this happen? Humans are the only species that have the ability to alter their
environment through science and technology in order to survive and we have used
whatever technology available at that time to drive this process. There was and still is
amongst us humans with little regard and knowledge about how our actions impact earth.
Terms like green, sustainable, renewable, global warming, CO2 emissions, greenhouse
effect and climate change are commonplace in our daily lives. Not without reason.
Then there is the economy, micro and macro. Can’t have the one without the other! A car
manufacturer has to manufacture cars and sell them to make money to make more and so
on. Banks have to borrow and lend money to make money. Governments have to use their
labour force to create wealth, generate tax to make money to pay debt and secure loans
for economy & infrastructure development.
You have to work to earn money to buy the things you need and thus ﬁt into this system of
making money.

Where does the environment fit into this seemingly endless circle? Until recently, the earth
did not feature at all, resources were used to produce and nothing was put back with
recycling or even prevention. Pollutants were discarded without care, into the atmosphere,
sea, groundwater, landfills and soil.
The truth is that looking after the environment costs a lot of money as we have to adopt
different ways of doing things in a structure that was not set up for this purpose! The main
reason is that our economic system developed separately over the years from
environmental management due to our lack of knowledge. We are therefore dependant
on fossil fuels, monoculture agriculture, money and higher power to rule our lives.
So the question is how do we get out of this mess we created for ourselves over hundreds
of years? The answer is simple; with great difficulty!
Imagine being addicted to a substance or way of living and trying to give it up? Coffee,
sugar, your car, electricity, fast food and all your money? It's not going to happen unless
you are forced.
Mother Earth has given us a few warnings now, we are actually now being forced to
change, whether you know it or not.
Chances are most humans will lose everything and end up somewhere without anything to
eat or drink in the next few years if you and the rest of the world don’t change your
consumption and behaviour! Rising sea levels will alone account for most of this damage.
Imagine not being able to afford food or have no access to water? The most basic needs.
There are already millions of people there. You are just on a little longer curve, given the
issues at hand.
These are the realities and no matter how many times we clean beaches, plant trees,
recycle and sit at night by our LED light bulbs, we humans can not undo what has been

done. We can merely stem the tide, because what is going to happen will, as we have
passed the tipping point.
Some will say, that what’s the use then? Purely survival of the human species is the answer.
You read daily of how many species are going extinct, humans fall under that category as
well, just another species that inhabit earth with all the inherent shortcomings of life.
The point being made is straightforward, we need to change in order to survive.
What is being done?
The United Nations has set out guidelines for Government’s across the globe on what
parameters they should adhere to and or change to in order to keep our climate from
warming up to quickly. These guidelines and access to funding is monitored by a scoring
system that determines how successful a country is by playing its part. The USA famously
opted out of the Paris Climate agreement, a decision that will come back and haunt them,
very soon.
The Renewable Electricity generating energy market is growing, doubling its output every
year, to make us less dependant on fossil and nuclear fuels. It is important to note that we
need another 20 to 30 years to draw level with the existing energy generators through
renewables. We are locked into industry and no 100% renewable solution can be
implemented immediately and that is why the speed with which we respond is of utmost
importance.
The Electric transport sector is growing and the electric passenger vehicle market is
currently about 1% of the total market but set to grow. Some EV friendly countries are
beginning to show 3% market share every month. This sector will take many years to draw
level without the outright banning of internal combustion engines (ICE). This is starting to
happen with 2030-2040 seen as the decade of the electric vehicle, with most countries
banning ICE vehicles outright from 2040, and most cities are starting this ban between
now and 2025. This sector cover automobiles, trains, trucks, busses and soon planes!

Food and Water production can not keep up with demand with Agriculture using the
majority of water and land available. Agriculture is also the number one polluter of
underground water, rivers and soil and the cause of more CO2 emissions that all the
transport sectors of all the countries in the world. Clearly something needs to be done
here! The truth is that we need to produce 50% more food by 2050 with less resources, just
to put the problem into perspective.
The ﬁnancial systems that is powering our industry, growth and well being is no longer
sustainable, growth is no longer available in the traditional sense. Funds availability to
those who need it is just not possible and prices and actual income differences have not
kept pace over the years. It is purely a result of how the system was set up and work,
nothing can change its inherent mechanisms, except a move away from the structure
completely. Patching economies with stimulus plans have proved ineffective, further
boosting the argument for a rethink of capitalism and the economic tools available for the
future.
The future is not a case of business as usual, it’s frighteningly unsure, however this
situation can bring the best out of us humans, to ﬁnd solutions, stand together and
bring harmony back into our relationship with our planet.
As mentioned earlier, the world is going through economic and social turmoil and its is
spilling over everything that is negative into the Namibian market. Gone are the days of
extended periods of time regarding price stability in retail and wholesale markets, which
are of particular importance to the Namibian economy.
Exchange rate and commodity price risks are further adding to a dire future outlook for the
Namibian economy and its inhabitants. Banks are not assisting with outdated lending
policies and the legal systems is equally failing the entrepreneurs in Namibia with to much
importance on their exuberant fees than the actual truth or service that should be offered.

There is way too much short term views out there with hardly anyone thinking about twenty
to a hundred years into the future. Our Thinking it seems are at most capable of thinking
four years into the future. The rest it seems is just too difficult to imagine.
Namibia’s problems are the results of Namibians not thinking clearly and acting in their
own interests in stead of that of Namibia. Selling all your raw materials without any local
processing is a case in point.
This paper will address a set of solutions based on Horticulture, Water, Energy and
Transport technologies with related value added services that are not currently available
locally. The social and financial implications of this model will have positive affects on every
single facet of the Namibian economy, however the true benefits are there for the
generations to come.
We, Namibia as a nation will only be independent when we can feed and power ourselves
and that is why the author loves the Growth at Home strategy!
The Green revolution is here and there are no excuses, positive change is mandatory
and attainable for Namibia.

The Solution
The only acceptable solution for any agriculture activity is the one where global
environmental impact is absent. A Zero carbon footprint and the most resource sensitive
processes that are both sustainable and renewable must be at the core of all activities.
What can be done to offset the economic risks and create value chains within Namibia’s
borders that will not only create jobs, but also ensure positive outcomes in relation to
affordable, locally available and high quality manufactured food and fresh produce? The
same question is relevant for water management, energy generation and sustainable
transport solutions.
The answer lies in the European developed model off a Circular Bio based economy.
Given the state of affairs of the local economy, Namibia can not develop a program that is
as time intensive as the European model, however if we start at the bottom, do the little
things well and profitable, our economy will eventually flourish at our particular scale.
Asking for assistance from our neighbour countries for their buy in will not only benefit
their economies, it will create regional opportunities. The issue here is that those countries
are dealing with the same issues as Namibia and their thought processes and policies may
delay on the ground developments. Talking is no longer enough, actions are needed to
show the way and inspire and here Namibia has a once in a lifetime opportunity to guide
Africa. Being a small country in relation to number of people and industry, has huge
positive benefits when it comes to instigating change and new developments.
By seeing the Namibian economy as one organism that produces and consumes for its
own needs and export markets with no waste and no negative impact on its environment
in a sustainable and renewable fashion, you are seeing a Circular Bio based economy.
When all countries eventually operate in this way, humans will start to fix that which we
have broken on our planet, or at the very least ensure our survival in a changing climate.
Given Namibia’s unique set of circumstances, the Circular Bio Based Economic model
proposed will differ from larger countries and economies. Namibia will utilise best practise
to offset research and start up costs from European and commonwealth partners. The
specific technology used will either be Regional or National depending on the climate,

resources and availability of human capital. There are many advantages to leap frogging
certain older technologies in securing up to date and proven solutions tailored for
Namibia.
This proposed Circular Bio Based Economy model has been researched with both
practical and academic focus to offer immediate implementation possibilities.
The Namibian economy has established economic pillars such as Agriculture, Mining,
Tourism and others. These entities are removed from one another by means of different
policies, governance and importance. By integrating the existing economy into the new
model the separate pillars will change more into interlinked areas as each pillar will play a
role in supporting the next economic entity in supporting the economic system.
Agriculture and in particular Horticulture, water, energy, transport, education and
ﬁnance sectors are the key drivers for implementing the changes needed to enable a
Namibian version of a Circular Bio Based Economy.

Our Story
Its not everyday you get to do what you know is right for you and the world at large.
Working towards a higher purpose, assisting and empowering others. The freedom to
choose that which bring value to your life.
The way I arrived here, is a story spanning just over 19 years. Regrettably the ending of the
last endeavour before this new beginning could of been so much better, however things
happen. I have learned that if you put yourself out there in a totally committed fashion,
without any falls pretences, you can still be exploited by the people you are counting on. I
had to deal with false and despicable humans and institutions, who can only think about
themselves and as such will do whatever it takes to win in their minds, even sell their soul
for money. The biggest words of advise that I need to offer entrepreneurs given all my
experience over the years; Do not start a business if the only thing you are aiming for is
money. You need to love the process and put yourself last.
The process to get where you want to be, gets a bit harder as you need to accept that not
all humans operate at your level of openness and honesty. It further takes time for people
to realise what was going on and for them to find their way back to you. Truth will always
surface.
The optimism I appreciated and still appreciate in these difficult times and situations are
that you leave the toxic and dead wood behind you as you fight the battles that will
change the world. Connecting with like minded positive humans is probably the greatest
asset out there and I have build up the best assets available by being true to myself and
my vision.
My past 19 years were filled with ideas and concepts about what can be done to develop
Namibia as an food, water, energy and transport solutions enabling country. My concern
has always been that we are living a non sustainable life. Whether it is the financial growth
model or our available natural resources. I jumped between industries to gain a broader
range of experience as I could not find practical answers in academia. This career path
together with endless study got me to the point where I started to connect dots that made
sense to me.

I could not ﬁnd people in Namibia that shared my outlook so I had to revert back to
industries where I could make a living while developing my ideas further. My frame of
mind was that at some point in time people will start to realise what was going on. Well its
been a long time and fortunately some people have started to ask the right questions.
There are environmental groups etc in Namibia and I tried to work with some, only to be
rejected, so it kind of killed the idea to work with any of these groups. My take is that it is
not the time to be political correct as the disastrous impact we are about to face can not be
managed through funded programs and time wasting behaviour.
Namibia has water, sunshine and space available for food production yet our output is
dismal. When you compare that Nederland has 2 million hectares of total agriculture land
and effectively generate 30 billion Euros from it every year, Namibia is nowhere, yet we
claim to be focussed on Agriculture. Namibia has 37.5 million hectares of farmland
currently and the GDP of all this land is just over 1 Billion N$ yearly with a very ﬂat curve
over the past ten years. I know there are many productive growers and farmers in Namibia,
however we fall short as a collective. When you look at the wrong framing practises in
specify micro climate areas it further highlights that we have traditional farming practises
that overshadow anything that is modern and more productive. It is clear that Namibia has
the potential to become a world force with all this land at our disposal.
World Bank Data

Before we can look at developing the land to become this world force, there are a few
issues that needs attention. The the lack of water management systems, electricity
generation and distribution, sustainable transport solutions, educated workforce and
access to finance problems. Then there is the group think attitude with the typical business
as usual mentality prevailing. Our focus on the environment is so so at best and nobody
seems to care about tomorrow. There is a lot of talk, just talk, when Namibia needs to be in
it at full speed.
Most private and public businesses are doing it for themselves, with only a few that looked
at the bigger picture regarding, sustainability, renewability and the world of tomorrow. The
author tried to start a trend with the planting of a tree for every new vehicle my previous
business venture sold. Sadly it did not caught on. Coincidently that company was started
as the products were the most fuel efficient and least polluting range available in our
Southern African market.
The author offered these products that were more efficient and less polluting at that time
to the Namibian consumer, with mixed results. It is important to note that all people will
change their habits with great difficulty unless forced to do so. Case in point is that the
Namibian consumer had to give up some comfort and status to buy a more affordable, less
polluting vehicle. Which they choose not to do in numbers as consumers were not in that
headspace yet during this time. The future of transport is Electric Vehicle technology and
just how Namibia will manage this change is still up for debate, however the author is
working on facilitating a forum for this upcoming change.
In the economy we are all busy serving someone, as in your clients, your community or
your stakeholders. Giving back and empathy should not be a once off social responsibility
exercise, it should be part of all activities.
Afritree was born as a company to take baby steps into the unknown of fresh food
production in the Namib desert with an eye on the bigger picture of the Circular Bio
Economy. It was time for me to implement all the knowledge and experience into this

research and commercial facility. What we defined as a successful outcome was the ability
to grow fruits and vegetables in the desert conditions and a scalable way for any micro
climate type. This was achieved, not in a easy way.
Coming from a just failed business it was really not so hard to imaging this business also
failing, due to lack of funding and as mentioned the unknown. The reason for Afritree’s
existence at the basic level is to serve the people of Namibia by looking at ways for us to
help ourselves in order to keep jobs and profits in Namibia. It should not be allowed that
other countries benefit from fresh produce that we can grow locally. Issues such as virtual
water and CO2 emissions come to the forefront when the market is analysed.
Ministry of Agriculture Water and Forestry Data
There is a short fall and opportunity of almost 70% (N$500 million yearly) which can save
more than 4700 Ton of CO2 emissions if produce are grown locally.
It is believed that by sharing the knowledge gained and implementing it towards
Namibia’s Circular Bio based Economy, Namibia will take a step towards food
independence and economic well being not current available in our economic system.
This is what Afritree has set out to do, show what can we, Namibians do towards attaining
the results for Vision 2030, Harambee and NDP5 and beyond, that will not burden the
Namibian Government financially while ensuring food security and economic opportunity
for all. Promoting and implementing the Growth at home strategy is key for Afritree.

The Afritree research and commercial set up was operated on the required bootstrap
model with no institutional bank loans. Not because we did not need the money, more that
the previous situation made any of that impossible. The author beliefs that the problems
solved trumps any discomfort faced with long term beneﬁt for thousands of Namibians.
Thankfully there are friends and family and seven days in a week. Life is about beating the
odds, not complaining about them, as this world we live in owes us nothing.

What we learned
The Namib desert is not the oldest desert in the world without reason. Large Temperature
and humidity swings in remarkable short spaces of time, periodic high speed and dry
winds, known as East winds and the always present high radiation of the sun.
The task to grow commercial viable produce in the Namib desert at an economic viable
cost in a predictive and repeatable manner is not something everyone should attempt. It is
very hard and unforgiving work in inhospitable circumstances with nowhere to hide from
the heat and that extraordinary sun. Afritree did indeed take on the desert challenge and
has identified and tested successful methods of growing various produce types in the
Namib desert that are manageable and a rewarding experience.
After studying Horticulture, technology, and other fields for years, doing experiments at
home, a basic model (methodology) was developed to drive the research element. The
actual lessons learned about grow mediums, seed and crop types, pests, labour skills and
crop enclosure types have been harder and sometimes downright impossible to manage
than what was initially thought.
The end results however are so promising that we envisage the Horticulture industry to
become an reasonable sized economic activity in the Erongo region in the next couple of
years and beyond. This potential will become reality through constant focus on talent
development, policy, technology implementation and new school entrepreneurs
committing to the required vision for innovation and economic development..
With the initial research phase coming to an end and over a hundred plant types tested in
just about every soil and hydroponic method, Afritree has identified best practises that are
1. easy on resources and financially viable or 2. Higher cost specialised applications that
are pushing technology solutions. The road to this point as touched on before had its
challenges and fortunately so, as we can now deliver great value to the Namibian
Horticulture space that did not exist before. Additionally many people have seen our work
and we have assisted many potential growers with the hope that our efforts at worst will be
copied as inspiration for the sector is an important part of what we do.

Solutions for the Erongo Region, Namibia and beyond as being researched, studied and
developed by Afritree:
1. Bio-economy model adaptable for speciﬁc context (Access to resources)
2. Hydroponic grow methods that are not soil dependant
3. Renewable electricity for off grid applications
4. Food security in dry climates
5. Greening of desert areas
6. Saline water crops
7. CO2 savings in transport and food production
8. Water management and Zero waste solutions
9. Improved Health by means of better diet
10.Sustainable employment
11.Erongo Region potential for large scale Horticulture, crops, animal husbandry and
aquaculture.
12.The Fit of these opportunities with future UN requirements(SDG) and Namibia’s
Development plans
The next phase for Afritree is for a large scale commercial production facility to further
proof the concepts at scale and produce enough food and waste to start using those
materials for value add as well as incorporate sustainable technologies into the mix . The
end result will be the ﬁrst Namibian totally decentralised Horticulture produce facility that
is totally off grid using only the sea, sun and waste land to produce world class fresh
produce and other valuable products.

It is through the showcasing of large technological advanced projects that are successful in
their applications that we will better enable acceptance towards National uptake of the
technologies and assist with policy, governance and market development. It is impossible
for our team to do everything needed within this space and its also against our philosophy
to ring fence opportunities as we set out right from the start to create opportunities for
everyone in Namibia that are able to take ownership for business units in supporting the
bigger picture.

Welcome to Namibia
What is the reality in Namibia today? The average Namibian is without work and probably
have few plans for the future other than to survive the next day or at most to have their own
place to live. Compounding our situation is that us Namibians are a lazy nation with a habit
to seek handouts rather than to work towards a goal of attaining something. Working
together towards a common goal is even harder given the sense of entitlement between
inhabitants and the ever threat of someone higher up the pecking order will steal your
ideas and livelihood. The small number of consumers, Asset focussed Namibian banking
system and lack of private investors are equally limiting in getting innovative ideas off the
ground.
It’s a situation whereby if the government don’t drive change and acceptance then these
actions will not take place at the required scale and pace. Where are Namibia’s private
industry? Why are we not ﬁghting for positive change on a daily basis? The author beliefs
that you are not allowed the luxury of complaining about your circumstances if you are not
working on solutions every day.
All the Namibian Ministry of Agriculture, Water and Forestry strategies and policies are
pulled from the main strategic objective within these boundaries:
1. Namibian Constitution
2. Vision 2030
3. National Development Plan
4. Harambee Prosperity Plan
5. 2014 SWAPO Party Elections Manifesto
6. Sustainable Development Goals
7. Growth at Home Strategy

8. Agenda 2030
9. Agenda 2063
10.Paris Agreement of Climate Change
11.Comprehensive Africa Agriculture Development Programme
It is clear that a wide field is covered, however it offers the opportunity for private business
to zoom into areas where short to medium term developments can play a supporting role
to the Government’s long term objectives. The challenge here is to become part of the
system as oppose to being a renegade, short sighted entity. The opportunities however
are more than the available labour force!
Entrepreneurship is a very lonely place in Namibia with limited numbers of people willing
to invest in themselves. Recent poor attendance figures at Namibian entrepreneur days
show a lack of interest and or understanding. What future entrepreneurs need to
understand is that going at it alone is not the secret to success. You need a network and a
team for success. Openness is difficult in the Namibian context.
The one thing if we think about this situation in a less emotionally frame of mind is that
Namibia’s micro economic situation is plain capitalism. Its just that we are a small nation on
a big piece of land with very little access to capital. The problem is that our countries’
resources are being exploited by certain persons in power and everyone else in the world
willing to pay, with little benefit for the people most in need, the inhabitants.
Why is this? We know the economic system is flawed and broken, but how come has
nothing been done to feed, produce enough water and electricity and transport ourselves
in sustainable manners?
Why are we as a nation so set on not changing? As Edison put it, the definition of
insanity is expecting a different outcome when doing the same thing over and over.
Are we so complaisant, even happy in our lives as to just let things continue the way
they are. Or are there other things at play here?

Business as usual in this wholesale and retail driven economy is the one single problem
that will keep innovation and new ideas from changing the market landscape as the major
players will do what they can to keep changes from negatively impacting their operations.
Nobody cares about stuff getting expensive, because what are people going to do? They
have to continue to buy what they need from the established system.
Namibia have a small population and manufacturing in the food space is not seen as
viable when taking the large South African food producers and manufacturers into
account.
Namibia’s government has actively invested in Agriculture projects over the years with just
a small number of large producers committing to crop and Horticulture. Many of these
projects have not lived up to expectations and its impossible to build momentum when
completely workable projects don’t work as a result of mismanagement and frankly lack of
interest.
The African development Bank together with the Namibian government launched a
program in 2017 to assist farmers throughout Namibia with ﬁnancial tools totalling N$ 1,4
billion. It is clear that there is assistance, what is not clear is how it is implemented and
managed and how many farmers are beneﬁting and making a success with this program.
Namibia further does not have any reliable information portals, where information, best
practise and applicable knowledge is shared. There are some government websites,
however the quality of the content and lack of feedback channels are alarming when so
much talk are doing the rounds. The writer wants to see methods where knowledge is
shared and available for all and the idea that nothing will eventually come from Namibia
internally from what is being asked and broadcasted is just not acceptable.
The author is focussing on only one large scale soil based agriculture crop which is Hemp,
while all other producing efforts are based on Horticulture hydroponic produce types. The
development of the value chains in manufacturing from these produce is key to enabling a
sustainable business model. Further developments will include aquaculture as well as
sustainable draught resistant animal husbandry.

Agriculture - Horticulture focus
The solution to our economic problems have been with us all along and it’s really simple.
Agriculture should be the backbone of all economies and the backbone of our energy and
water needs as is so successfully demonstrated by European countries. Our Namibian
Government knows this and have put many strategies and efforts into place to make it
happen, however the combining factor which is the Circular Bio Based Economy has been
omitted. By linking all the efforts towards this economic model, economies of scale and
coordinated activities will drive the change needed.
The way of looking at this solution is to determine what is needed now and how can it be
scaled as requirements change.
Agriculture is the number one user of resources and number one polluter on earth. This
situation is at the core of enabling a sustainable, renewable and ﬁnancially able model for
Namibia as being demonstrated throughout the world.
Namibia, has vast accessible land, it's bordered by the Atlantic ocean and is blessed with
year round sunshine. Each of our regions have areas where communal farming land is
available for upcoming farmers and growers, so there there is an abundance of
opportunity for all. It is estimated that more than 40% of Namibians are engaged in
agriculture activities full time.
The Community, small to medium business solution:
One of the areas we focussed on was developing Namibianised Hydroponic systems and
solutions that can be operated anywhere in Namibia, using the absolute minimum of
resources, while producing fresh produce for food and or job creation.
Enabling these technologies at low cost and with dependable yields was the challenge
and this have been successfully overcome.
There are various models to choose from, taking into account who the groups are, what
their vision is regarding being sustainable growers or shareholders in their own company
to produce and distribute selected crops.

Nothing should be available for free and all the activities are to be self funded with the
benefit of receiving training and ensuring access to a market for the produce.
Additional options are for the establishment of growers networks, once the minimum
standards are in place.
Creating wealth is hard work over a long period that requires patients and team work and
these skills can be taught and managed once entrepreneurs take ownership of their
futures. By training, re-training and making the growers build there own operation it will
ensure that these communities will benefit from having practical experience in growing,
building and maintenance. Depending on the size and market for a operation, these
communities or operators will have access to funds to develop new businesses or ensuring
social benefits for their local groups.
The same technology can be used in draught disaster situations to feed people and
animals and ensure water management practises.
This ownership model can be applied on a National level, giving each Namibian
ownership and profit share opportunities in these units as a owner, investor or share
holder. Future Namibians will inherit running concerns and with the right mind set and
structure this continuity can be managed to ensure generations of self sufficient producers
in Namibia.
The model will work on a Centralised (Grid connected) and Decentralised application,
depending on scale and crop type. With far distances between towns and communities of
which many are small in Namibia, the required transmission lines and capital expenditure
with a extremely low rate of return for the Utility company can be overcome with the
Decentralised model. The technology solutions can add value to the surrounding village or
community in the supply of electricity and water from the growing operation.
Where Infrastructure is available and location, land size and investment is available a
Centralised farming unit can successfully be set up. It is always advised that back up
systems are available for centralised applications as untimely power outages can be
detrimental to a grow cycle.

The first practical steps to evaluate whether produce growing can be feasible at a specific
location:
1. Access to water and preferably a sustainable source
2. Access to land large enough for the specific output and suitable for application. Soil
crops versus hydroponic crops.
3. Access to labour during the building phase and operational phase.
4. Access to funds to develop and operate the unit or units.
A unit is a Agricultural farm with Greenhouses and/or open field activities, it has a water
purification facility(mostly required in Namibia) to produce water fit for purpose
(agriculture or potable) and comes with a solar power generation plant.
These plants can supply electricity for the agriculture unit as well as local communities as
mentioned earlier and where scale allows with storage.
When its a small rural unit, the agricultural part will supply food to the local community
while creating a few sustainable and needed jobs while educating with the learn while
doing teaching model. This way the knowledge and skills will organically spread
throughout the country.
The power generation plant is totally reliant on the sun for its operations. Combined with
Battery Energy Storage it can supply power in day and night time. The technology that’s
applicable for each business unit will be different depending on scale and produce type.
The utopian idea as the business develops and is managed well is that this unit can act as
an industrial hub for future industry, all powered by the sun, which can lead to green
communities/towns. Charging local electric vehicles by way of this renewable energy
method means zero emissions in energy production and in the actual driving of the
vehicle.
The average time to construct a medium sized site is six months and it employs people
with varied levels of skills. It is ideally suited for women wanting to go into business.

There are enough arable land and water available in Namibia for crops needed in the food
industry (wheat, corn etc.) There are some logistic issues, however given the location of the
land it is an issue that will be managed.
When dealing with perishable fresh produce the start is to utilise land that is unsuitable for
any other use. Using arable land for soil crops in a sustainable way. With Hydroponic grow
operations that are located as close to market as possible on unused un-arable land it will
ensure quality food, shorter logistics chains and lower costs while not taking up space for
other required land uses.
Afritree’s Sustainable Hydroponic Model:
1. Support mainly local suppliers
2. Not priority to own land
3. Is scalable: Urban to mega farm
4. Is adaptable to different crops
5. Is able to accept Aquaponics into the system (Weather dependent)
6. Is profitable
7. Is sustainable and accept renewables
8. Create Namibian jobs
9. Offers Training
10.Does not require any arable soil, can be done anywhere!
Large Scale Glass Greenhouse vs Poly Tunnels
Afritree completed a three year research project to experience at first hand how weather,
economy, local market trends, labour and crop types all worked together in this unique
desert area. We determined best practise for the crop types that will work with specific
systems in the desert areas of Namibia. These grow systems will work in any Namibian
micro climate to produce similar crops by utilising the technologies identified.
There are tremendous opportunities available for any Namibian willing to invest and work
in Agriculture and Horticulture. The caveat is that technology and best practise needs to be
followed without which all efforts will account to zero.

The use of greenhouse technology needs to be promoted in Namibia. Afritree has made it
one if its goals to introduce and develop the greenhouse industry. Previous objections
against Greenhouses that were based on high set up and operational costs are now no
longer valid as the higher price of importing produce and efficient growing methods are
making a strong business case. Growers are not farmers. Horticulturists don’t focus on
animals, the same way farmers who are involved in animal husbandry should focus on their
sector. The biggest mistake growers and farmers make is that off being bigger brings more
income, which could not being further form the truth. Being lean and mean and totally
focussed on specific production is what enables success.
As an example, as a grower it is sometimes better to grow four cycles a year and not push
for five cycles. Its all about looking at the market, labour & available resources, in a sense
managing your risks vs reward and how these actions will impact the following years
planning. Our Horticulture systems operate and produce 365 days a year and enables
precise planning and higher yields possible in the field, while using less water and other
resources.
Greening the Namibian coast and desert with plantations of Hemp, trees, grasses, fruits
and vegetables.
Afritree’s integrated farm model:
Afritree Integrated Bioeconomy at large Farm Scale/Scalable
Trees/Biofuel/Biomass/Fruits
Grasslands/Biofuel/Biomass/Feed/Food
Well &
Other
Seawater
Aqua culture
Desalination &
Power Block
Industry
Community
Shrubs & Vegetables/Biomass/Food/Feed
Greenhouses/Food/Biomass
Energy, Water
&Waste

The Afritree Circular Bio Based Economy Farming Model
It is no longer the size of the farm land that counts! Its the productivity and integrated
approach that ensures successful produce production.
The Circular Bio Based Economy in a slide. Each one of these elements are fundamental in
the end to a complete solution. Key to this model is its training school, without which this
business model will not function.
Waste streams
The common denominator of all agricultural activities that will drive the Bio Economy is
waste. How we source, manage and provide value add to waste streams is key in
establishing new and exciting business units. It is important to note that waste generally is
not recycled and end up as compost or landﬁll when managed. Other non managed waste
streams end up in the ocean, rivers and on land. Clearly disposing of products that can be
used for second life products should be stopped.
Gas as an example: is an un-utilised by product in Namibia. With natural animal and bio
mass waste the use of Anaerobic digestion should be encouraged to be produce bio gas
used for heating, cooling, industry or cooking.
Fertiliser, Minerals, Compost, Food, Energy, Water, Fabrics, Packaging, Pharma, Bio Polymer
,Beauty products are all by products of waste streams that are viable in a Bio economy.
Waste streams are also applicable to water brine and reclaiming minerals, salts and
compostable materials are part of a zero discharge future.
The new technology that needs to be phased in is Energy from Waste, whereby landﬁll
sites can be “cleaned” for energy production. This together with recycling, value add and
less waste generation from operations will eventually lead to a zero waste situation, and
that is the doable game changer for now and future generations.
Agriculture is key to enabling these technologies in order to drive the circular bio
economy model.

Water
How to feed the world without degrading land and water resources, eroding
biodiversity and contributing to climate change is among the greatest challenges of
our times. FAO
With limited resources comes greater responsibility to look after those value resources.
Putting proper management systems in place, ensuring quotas for output in relation to
use. Offering people potable water at a affordable price where they live is probably the
biggest issue in Namibia. Agriculture water use is a luxury in certain circumstances and is a
problem that need to be looked at each step of the way.
It is estimated that a third of the world’s population use groundwater. Whether all if it are
renewable is unknown, however it demonstrates where we are and what the future trends
will be.
Desalination technologies are available for small and large scale plants, using solar or
conventional electricity, to serve small communities with ground water purification to large
seawater desalination solutions. The only environmental negative about desalination is the
waste water management issue, called brine that the process produces. There are
solutions coming to the front that produces commercial salt and other extraction methods
for minerals that should lead to zero brine. These solutions come at a high cost, however
as with all technology will become more affordable and thereby offering financially viable
water treatment at any scale. Replacing groundwater used should be a key driver when
resources are utilised for agriculture and or human consumption.
The lack of detailed information about water usage and groundwater levels makes it
difficult to develop a clear water management plan. It is foreseen that this situation will
change as trusted data sources becoming available. While all data streams are being
developed accurate extraction can be measured nationally with real time processes.
Water capturing from fog and rain holds promise for coastal and rural applications.
Municipalities are behind on water treatment technologies and many are without drainage

systems causing a significant loss due to run off. Natural storage basins and capture areas
need to be determined.
An example of using applicable technology in a financially viable way for water storage:
The northern region of Namibia you find natural small dams called Oshana’s. These can be
converted to a affordable water storage systems with some construction to stop leakage
and evaporation.
Hydroponics address some of the water usage issues as the water can be re-used when
filtered. Additionally precise water consumption can be monitored per plant. Generally
hydroponics use 10% of soil water requirements. One kilogram tomatoes grown
hydroponically will use 20 liters of water and in soil it will be at least 60 liters.
The data obtained from NASA shows that Namibia’s groundwater reservoirs are still not
stressed when compared to the UAE and other Northern African countries. This offers
Namibia an advantage that by managing this resource in conjunction with sea water
desalination efforts, Namibia should never experience total draught devastation scenarios.
The biggest risks for draught are animal based where the wrong farming methods are
used due to culture and lack of knowledge. This causes losses in livestock and severe
degradation of the soil.
The end result of water for agriculture and in particular Horticulture is that the cost of water
after being pumped, filtered and delivered to the place of consumption needs to be in the
N$3.00-N$9.00 per cube (1,000 litres) price range to make large scale hydroponic
growing profitable. This is the challenge more so than any other variable including energy.
If water costs are above N$12.00 per cubic than there is very little opportunity in growing
profitability and is more suited for own consumption communities and families. These
costs take into account everything needed including maintenance and filtering costs.

Energy
Background
Namibia has PV solar, hydro, coal and diesel electricity generation capacity. Our biggest
drawback is cost of electricity, as around 60% of our electricity is currently being imported
at high cost and together with high mark ups results in some of the most expensive
electricity tariffs in the world.
As an developing nation we need electricity generation and ﬁnancial viable distribution
infrastructure. A large percentage of the income generated by Nampower is going
towards infrastructure development and maintenance.
It is impossible for the foreseeable future for Nampower to build all the electricity
generating scale needed in the relatively short required time frame. Co-operation will be
required with energy sector investors to move away from fossil fuelled electricity and
dependancy on imported electricity.
This potential shift towards renewable electricity creates an opportunity for cost reduction
and renewable electricity systems to take centre stage.
Our Namibian governing structures for Electricity generation and supply consists of the
Ministry of Mines and Energy, the Electricity Control Board, Nampower and the RED’s
(Regional Electricity Distributors).
The Electricity Control Board is driving the National Renewable Energy Policy that has a
target of 70% Renewables by 2030 and connecting 50% of the population with electricity
access.
Nampower is tasked with assisting the National Development Plan 5 & Harambee by
focussing on clean power (renewables) for industry growth, job creation, health and
education.

Namibia Electricity Supply, demand and Cost
Nampower data 2017
The following are given as available Namibian electricity producers and suppliers:
Nampower data 2017
Independent Power Producers (IPP)
Nampower in contract from 2018 with Diaz Wind power, 44MW on 25 year contract with
transmission infrastructure for cost of N$1,5 billion.
Innosun 25 year 4,5MW
Greenam Energy 20 MW
Altan Solar Power 37MW
2016 2017
Minimum demand MW June 228 235
Maximum demand MW 667 677 (Increase 3,6%)
Average Retail price per Unit 134,6 153,2 (Increase 16.71%)
Cost of Electricity 3,615,787,000 3,128,420,000 (Decrease
13%)
Units into System GWH 4506 4610 (Increase 3,7%)
Units Sold GWH 4008 4157
Transmission losses 11% 9,8%
Value of losses 802,438.20 678,616.05
2016 2017
Ruacana Hydro MW 350 347
Van Eck Coal MW 120 120
Anixas Diesel MW 22.5 22.5
Paratus Diesel MW 24 (Not Operational) 0 (Not Operationall
TOTAL MW 492.5 489.5
Interconnector 600 600
TOTAL MW ALL 1093 1090

At this given time it is unclear which projects are going ahead and who the stakeholders
are.
During 2016 Nampower paid an average of 83.43 cents per kWh with a internal target
price of 114,37 cents per kWh and retailed it for an average price of 129,73 cents/kWh,
until the end of June 2016 with an yearly average ended retail price of 134,60 cents kW/h.
For 2017 there is an decrease in the cost of electricity, however the Nampower audited
statements does not disclose from which price point this was calculated.
In 2016 Nampower paid Eskom one of its suppliers N$2,6 Billion and it would be
beneﬁcial to know how much transmission losses there were given the distances of these
lines.
Ongoing consumer growth was expected to be 9.5% per year, however for the last two
years its been 3,6 and 3,7% respectively. With new Industry and developments planned
(The extend of these new industry requirements are unclear at the time of writing) an
signiﬁcant increase can be expected over the following two years 2018-2019.
The Xaris 120-240 MW project has been scrapped which would of had a cost of N$7,6
billion and the capacity replacement has yet to be communicated.
We therefore have installed capacity of 1,093MW/year and Nampower puts 4,505 units
into the system and sells 4,008 GWh as in 2016.
The question is what are being done for Namibia to reach the 2018 and 2030 targets?
* The net metering policy and IPP’s and not much else are being communicated.
With one of the highest cost per kWh in the world it's not a good place to be, regardless of
any other economic activity. Many countries are offering excess electricity at discounted
rates even free at certain times to stimulate industry, so for Namibia this will be a hard road
to forge out.
There are many Environmental Players in Namibia, offering access to funds and skills,
especially in the renewable sector. Whether policy and actual economic activity is aligned
is up for debate as for the foreseeable future it will be business as its expensive and
polluting usual.

The Namibian Electricity Control Board has published the current electricity cost structure
for electricity in 2018. The General Tariff is et at N$1,28 + Transmission N$ 0,41 +
Distribution N$0,55 = Average retail tariff N$2,41.kWh
What are our options?
Scrap all future investments in fossil and nuclear energy and take a look at decentralized
rural models while using existing and renewable technology side by side until a complete
changeover to renewables are possible.
Create a marketplace to encourage the uptake of electric vehicles, solar electricity
installations, solar hot water generation and solar cooking in all sectors with grants and or
assisted loans.
Hot water, potable water, agriculture water and electricity production can be combined for
decentralised needs and applications.
The main renewable technology currently being used is Photovoltaic panels to generate
electricity with hardly any Namibian installations adopting battery storage with only direct
feed into the grid while producing electricity during day time. The new wind generation
facility also does not have any storage capacity.
This direct feed is an major issue for our grid as high peak usage is normally when the sun
doesn’t shine and balancing of the grid can only be done with day before purchases from
other countries and our own generating capacity.
It certainly looks like our two tier pricing model can either include a third level and/or start
to look at storage as to keep supply and pricing in a available and cost effective state.
A disadvantage of PV solar is that the units generally lasts for 10-20 years and wind power
turbines 25 years. A longer lasting investment option needs to be looked at in addition to
these technologies.
The future electricity solution for Namibia lies in the sun as well, its called Concentrated
Solar Power (CSP) with Thermal Energy Storage to be precise. These systems are robust
and have generally a long life expectancy with the added beneﬁt that these systems store
energy in the from of heat that can be converted into electricity even after sunset.

Additional advantages of this technology includes heating, cooling and potable water
desalination which can all be incorporated.
Depending on the system it can be used for small to large buildings and far off located
communities- Fresnel reflectors and Stirling dishes and for large utility scale applications
Parabolic troughs and/or Tower reflectors.
Never has Namibia been is such a advantages position with our high sun radiation and
barren landscapes to produce electricity for local consumption and export.
Construction of these plants are coming down in price however for an direct comparison
with the cancelled Xaris 240 MW plant it is interesting to note that its cost were to be
N$7,6 billion, no mention has been made of the fuel and operational costs, nor the
emissions. In South Africa there are a few CSP plants operational, two of these have an
combined output of 200MW Kaxu and Xina and are on approximately 630 hectares in the
Northern Cape. The local community is a part owner with partners Eskom and the Builder/
operator.
Each site was developed for US$860 and US$880 million. Both have energy storage
capacity and low operating costs with zero emissions. Costs have come down since 2016
and are dropping which should drive feasibility for Namibian implementation in the
foreseeable future.
Value Chain
By making electricity cheaper the Government and Namibians in either private or industry
consumers will save direct electricity costs which will create more value in Namibia.
Namibia’s electricity costs must have a maximum wholesale value of 30 to 40 Namibia
cents/kWh in order to be competitive on the word scale. This is important for future
development and new emerging opportunities that require energy to drive the future. The
current solar project tenders are costed at 2-16 cents US per kWh depending on
technology size and location.
Trade and Industry, Mines and Energy, Environment and Tourism, Works and Science and
Technology are all government ministries that will benefit directly and or indirectly from
the uptake of electrification of our Transport industry and adoption of Solar Power.

New infrastructure, charging networks, transport solutions (both public and private), data
centres, rural electrification, construction (low cost housing and all building construction
projects), small-large scale agriculture and future electricity needs can all be catered for in
an economically, sustainable and renewable way. Additionally rural communities can
benefit from job creation and disadvantaged groups can benefit financially from part
ownership in these developments.
Practical examples of positive change:
Building Industry; solar roofing, electricity, heating and cooling
Construction and commercial; equipment and machinery, solar panel, CSP systems
Charging Network; private, business, government, public
Public transport; Trains, Busses and Taxis
Agriculture; equipment and machinery and closer to market
Tools and battery manufacturing as well as recycling
Conversion industry
Civil; pumps and street lights
Communications, internet and communications access to rural areas
Production of equipment and services
Freight, Truck and Train Transport
Aviation vehicles
Tourism; vehicles and lodging (ATV’s game viewing etc), electric bikes, sightseeing
vehicles
Marine industry
Mining vehicles and equipment
Decentralised power generation, replacing fossil fuelled generators.
Nampower cost savings on decentralized options
Namwater sufficient and economical water supply from sea and or aquifers.
Government fleet costs and operational budget savings (cooling and heating)
The biggest positive social factor is employment and skills development opportunities
Foreign investment, to utilize lower electricity costs and our stable political climate.

What do we need to make this happen?
Access to ﬁnance, technology partners and the Namibian labour force.
Namibia needs to offer the community where these power plants are to be run a share of
the business, creating jobs and wealth for these communities.
Additionally each power plant must incorporate a data centre and/or agriculture facility to
further encourage foreign investment and securing food security.
The opportunities within Renewable energy far outweigh any opportunities offered by
fossil burning electricity generation.
The current electrical supply in Namibia is primary imported from neighbouring countries.
This situation causes electricity to be disproportionately more expensive than that of the
competitive neighbouring countries. For the Namibian economy to become truly
competitive it needs to have access to cheap electricity when and where it is required.
Expensive distribution lines are not the solution and disruptive new ways of generating
and storing electricity is required for Namibian business and it’s economy to become
effective from a cost perspective when competing on the world stage.
The good news is that the technology and systems are commercially available now to
ensure that Namibia can have access to low cost uninterrupted electricity. The mind shift
required to move in this direction has been restricted for an extended period of time. It’s
therefore unacceptable that Namibia is in the situation it is.
The private sector will be able to solve the issues, with the Namibian government, however
the government and its stakeholders need to set policy that will enable co-operation. Off
utmost importance is to ensure that all economic activities needs to focus on empowering
Namibians and not offer foreign players undue local economic beneﬁt.
The future
The truth that we need to focus on is the balance within nature. Burning anything that
grows will generally be part of the carbon cycle and not damage the climate. Burning

anything else such as fossil fuels which are not in sync with the carbon cycle will play a
negative role towards earth’s the climate issues.
Using the sun which is a thermal nuclear reactor that is dependable and free should be at
the forefront of all electricity, transport, agriculture, water and economic developments.
Solar installations on roofs of buildings are already cheaper options than grid connected
options in Namibia. 78% of Customers that have solar installations should save money
from day 1 (Sungevity 2012).
Decentralised communities that are using Kerosene are paying US$ 2/kWh while they can
pay US 10 cents/kWh going solar?
In the world the cost of solar has passed nuclear as the cheapest option yet electricity retail
cost are still going up? In Germany solar is driving power costs down by 40% since 2012.
There is no educated nor practical reason why Namibia should continue importing
electricity and expose its consumers to rising prices. Its totally counter productive to the
development goals set for Namibia as a country and needs an immediate policy for
implementation.
The ﬁnal thought about electricity is the fact that PV generation with battery storage is
cheaper than any old school generation and distribution model! Its the number one
disruptive technology innovation that requires an equally disruptive and innovative new
Business model. Good thing is we don’t have to work it out, everything needed has already
been paid for, we can leapfrog right into an renewable solution.
If there is one concept to think about and potentially do something about its this, why
does Namibia and Namibians not all go the PV and battery storage route? Its cheaper and
ensures availability to every household and business irrespective of location? Why would
you continue to drive a expensive centralised distribution model?

Transport
The world is seeing an accelerated move away from traditional fossil fuelled transport
applications. Most developed countries are banning internal combustion engines from
2020-2050 and most major cities have already started to ban internal combustion vehicles.
For a developing nation such as Namibia this means one thing, that the country will be
seen as a dumping ground for internal combustion engine vehicles in the foreseeable
future. Without proactive policies and investments into the electric transport space,
Namibia will face risks of Carbon penalties and being costed out of international trade.
It is further seen that developing countries are not as focussed on environmental
management practices when it comes to their transport sectors. The reasons are varied,
however fears for loss of jobs and escalating operational costs in this sector are part of this
phenomenon.
It is important to note that the change over to electric vehicles will take about 50-60 years.
Some sectors such as light passenger to heavy commercial vehicles will show the fastest
adoption, however the market place for ICE vehicles and service stations will continue long
into the future. The opportunity lies within the process and how new skills are developed
to grow jobs and opportunities.
At ﬁrst glance low priced used vehicles may sound attractive, however no amount of
carbon tax can and will stop the damage these vehicles are doing to our environment.
Short term mentality needs to be replaced by long term vision.
Furthermore it must be made clear that Namibia has no yearly roadworthy MOT system in
place to test vehicles in order to measure their exhaust gasses and as such these high
polluters continue to operate on our roads. It’s lack of focus such as this that is keeping
Namibia from leading the African pack. Namibia is however actively involved in ensuring
The Paris Climate Agreement requirements are met, however our data and as shown focus
is not on changing our behaviour, rather reporting on it.

Our Namibian transport network consists of:
* Planes (Regional & International),
* Trains (Regional & International),
* Marine (Sea and Freshwater),
* Light Passenger,
* Construction & Industry (Forklifts & Machines),
* Busses (Local & Regional)
* Light, medium and heavy commercial
* Additional polluters are power generation and the burning Liquid petroleum gas.
The Way forward for an Electric Transport Future is not based on if and when, it is
happening now and should be treated as a current change!
First of all to be competitive from a pricing point on the world stage Namibia needs to
produce power in the future for not more than N$0.30/kW/h.
Why would this be important? It will enable us to compete for manufacturing and value
add commercial activities internationally. With Namibia's current over 30% unemployment
rate its key for all economic and social development plans.
The important factor towards transport is at a retail price of N$0.50/kW/h - N$1.00/kWh for
electricity. This will cause our transport costs to be considerably lower and sustainable than
the current situation with the added beneﬁt of being sensitive to the environment
irrespective of our long distances driven as a result of Namibia’s far off boundaries.
Fossil fuelled- and Nuclear electricity generation are now more expensive than renewable
energy and the costs associated with a centralised power generation and the distribution
network is not viable for Namibia with our low population and large areas to be serviced.
The solutions is clear and it lies within Renewable energy generation and storage that are
both Centralised and Decentralised.
The cost difference of an average passenger vehicle when an Electric Vehicle is compared
to a fossil fuelled vehicle in relation to cost of km brings out the potential operating cost of

ownership which will only get better as the base price of EV models become more
affordable.
The current operational savings are substantial. A Normal passenger class EV such as an
Hyundai Kona 64kWh does 8.2km/kWh @ N$2.41/kWh = 0.29 N$/km and a frugal ICE
12km/L = N$1.13/km. If you manage a fleet these type of figures should make you want to
re evaluate your current fleet solutions.
The relative savings with medium to Heavy vehicles are exponentially higher, making their
case to strong to dismiss at any level. This total cost of ownership has passed the tipping
point and will continue to offer increased value.
The future of transport is electric and autonomous. Most countries are starting to ban
internal combustion engined vehicles with most setting 2040 as their last year of allowing
sales. Volkswagen announced that the company will seize ICE development in 2026,
except unfortunately for Africa?
The 2040 timeline offers Namibia 21 year to prepare. If we look back at the time changes
took over the past 28 years then we have a problem. When you add 2026 to the mix its
only 7 years from now, then it becomes apparent that the opportunity is now.
Our economy is fossil fuelled and moving away from that will cause economic losses for
some. Namibia does not have an periodic CO2 and roadworthy testing program for
vehicles. Pollutants are not seen as an issue, although our vehicles are polluting more than
their counter part as say in Europe where testing is done. Why have nothing been done?
Namibia like many other African countries will become the dumping ground of every type
of used vehicle, which will continue the fossil cycle for many years to come, with no focus
on actual pollutants, our environment and people will suffer not only from poor air quality
but also financially from carbon taxes.
Electric vehicle solutions are up and running across the globe with proven lower cost of
ownership when compared to fossil vehicles. Zero emissions, generally safer vehicles and
just as practical with equal range and features makes a compelling argument for their
uptake.
There is a zero probability that this disruptive change will not happen in Namibia and
Africa. Namibia is in a enviable position as it is a small country when looking at its vehicle,

truck and train fleets. The changes needed can be done in a short time frame, giving
Namibia the enviable position as a world and African leader in this field. Now factor in the
new skills, infrastructure and cost benefits and the decision is a no brainer and policy
makers should push to establish the right environment to enable this transition without
delay.
The new electric powered transport market will be focussed on autonomy, car sharing and
other mobility services that don’t currently exist. Remember vehicles are now part of
Moores law and as such will only developed faster and faster.
Convergence of technologies and open source drives and expedite change. Its this tip
over point that will surprise and catch out governments and consumers alike.
Current private vehicles are used 4% of their total life time and its the second most
expensive investment a consumer will make. Together with poor asset utilisation and the
potential savings offered with new business models will drive further uptake for change.
When full autonomy is available and the car share model is the norm then the total new
vehicle market is estimated to fall with 70%. This will change how cities are planned as less
parking will be required, financial institutions will no longer have vehicle volume to finance
and many current income streams from industry and government will be affected. There
are equally many new opportunities that are not available now that will come forward.
It is also interesting to note that vehicle use with the pay as you go car share model will be
only 10% of normal vehicle ownership costs. Additionally as renewables take over for
electricity production, consumers will receive a 60% reduction in cost. These are just two
examples where consumers will save money and there are many such examples. The point
being that cash flow for private, industry and government could be positively affected.
Enabling spending on health, education and other areas currently under pressure from
disproportionate high transport and energy costs in Namibia.
There are many resources, however the writer and lecturer Tony Seba has published a
book about disruptive technologies that is well worth the read with details about past and
future changes in technology.

As a final thought about the transport space, Transnamib, Namibia’s rail operator should
invest in Hybrid locomotive upgrades to its fleet as the company is planning to refurbish its
entire fleet over the next few years and should only purchase cleaner hybrid tech
thereafter. Its an more affordable and sustainable money saving step that will set the tone
within the Namibian government. Its unclear why Namibia has not fully embraced
renewables, but the opportunity is there for the leaders to stand up and take charge of this
all important environmental issue.
The technology is available and its not waiting around for Namibia and Africa to one day
decide to become participants. There are challenges, negatives and positives in this
process. Its our choice to get acquainted and start the conversation or not.
The times we are living in are historically the best times to be a human on earth. There are
opportunities, money and abundance. These things are not equally divided, yet its there
for anyone to attain. We should use this technology advanced and relative well off time to
enable a better tomorrow. Once the earth is gone its gone and its this generation that will
decide the timeline.

Education
Education is becoming the one factor from which Namibians can’t hide. We as a nation are
lagging behind all developed economies in both % of educated people and % of
specialised skills availability.
Make no mistake Namibia offers enough opportunities for education with proper
institutions. however we have a problem with our youth gaining the minimum education
level for further study. The same is not true for technical skills whereby there are limited
options to learn skills and no such technical schools are operating in Namibia. This is a
short fall that is a serious oversight.
Empowerment comes from education. When we compare educated women in Africa vs
uneducated you find a measurable difference on how they live their lives. The same is true
for all humans. Knowledge offers options and the freedom of choice. It’s reflexive in its
application.
Taking into account the sectors involved in the Circular Bio based economy it becomes
clear of the lack of skills Namibia has to offer at scale. However the sectors within this
Economy offers enough scope to address all joblessness in Namibia. By addressing skills
shortages in a staggered roll our structure whereby talent can be developed where it is
earned.
Starting with low expectations and a clear path for development all sectors will eventually
be filled by Namibians and thereby creating wealth and stability. It is again one of those
situations where Private business should drive the change and not Government initiatives.
In the following section, funding comes up for discussion. In that sector banks rule as
education comes at a price, however when in-house training is offered as part of a
personal development plan all of a sudden the costs are no longer an issue, just
performance in an atmosphere of common benefit. No judgement, just shared vision.
It is important to focus on developing talent by offering local students opportunities to
develop their skills and develop new skill sets for the benefit of Namibia. Encouraging the

major set of students with job security possibilities should be and is key of the Circular Bio
Economy model.

Funding
Let’s start at the end as this economic activity is where the buck stops literally. In order for
our current financial systems to survive, it needs money to circulate. Money from
transactions, investments and loans. We can not abolish this old system as it is what make
everything we do possible, so we need to help it and the process should benefit the
masses and environment to make it sustainable.
The author has two proposals that can be debated, but first ask yourself, what is interest
and what is an exchange rate?
Why is it that in developed countries you pay close to 0% interest and why is it that
developed countries always have a higher exchange rate value than a developing country?
Interest is the mechanism by which a government can encourage or limit spending and
goes hand in hand with the printing of money. The printing of money bit is a balancing act
between over and under valuing of your currency, a problem the USA now faces. So what
is it and why the difference between countries?
Developing countries don’t have the money required to build infrastructure nor do they
have the expertise to compete with larger more developed countries. Loans are therefore
granted for such development, which are administered by the World Bank and IMF
(International Monetary Fund). There are many other Banks that we(Namibia) have loans
with, for example the loans made by our Namibian utilities.
For the sake of keeping things simple the author is just commenting on two entities to
illustrate the point. The Bank of Namibia is therefore a client of the World Bank and IMF.
Loans are repaid at set interest levels with regards to ratings obtained from ratings
agencies that take into account the asset values offered and general economic system
being utilised by a country. Therefore foreign currency and any outside loans cost the Bank
of Namibia a certain amount/rate and the repo rate is calculated on top of that in order to
make a profit and service the loans.
The movement of currencies, for instance a tourist in Namibia wishes to exchange US
dollars for Namibian dollars works on the same principle as normal business as its based
on availability and demand. The more a currency is traded the more valuable it becomes
as there are more demand for it. Our central bank has to buy US dollars(or other specific

accepted currencies) when they pay loans, the Namibian Dollar is not an accepted
currency for these transactions, nor many others and this attracts a cost factor. Since there
are millions of transactions everyday a willing seller will offer US Dollars at a given rate and
it’s up to the buyer to decide who to buy from and that is exchange control.
There have been many banks involved in price fixing over the years, however that’s for
another day.
That is why imported goods into Namibia can only be costed on the bill of lading when
handed in at its receiving authority, given that day’s exchange rate. This causes problems
when exchange rates go higher than anticipated and sometimes it benefits Namibian
exporters in the same scenario.
The influence of oil on the Rand to which the Namibian dollar is pegged is another topic,
well worth researching. Go do a analysis on the behaviour of the Rand vs the oil price and
you will find that over the past two decades when oil’s cost went up the Rand’s exchange
value went up and visa versa to mitigate the difference. Really a peculiar situation.
The Namibian dollar and South African Rand has run its course and a new alternative is
needed to ensure a future financial system. The pegging of the N$ against the US$, Euro,
Yuan or a combination of currencies is the only solution for our economy to create stability.
Namibia is part of world trade and Namibia and all African countries (All developing
economies) need to look at this problem. The fluctuations not only causes price stability
issues, it destroys value. South African politics have caused more harm to the Namibian
economy in the past ten years than any affiliation with its currency can justify.
From the above it is clear that you have to loan money from a developed country with low
interest charges and invest in in a developing country with higher interest earning
opportunities. Then money will work for you! However this is not allowed for normal folk,
only sovereign funds which are countries’ central bank mechanisms to trade in the open
stock market., benefitting and also opening up to their potential losses.
In order to benefit normal folk as well the following two upcoming conversations are well
worth a look;
1. Blockchain and Crypto currencies

With the world taking notice of Cryptocurrencies it has been seen as a saviour and foe,
however when you dig a little deeper you will see the underlying technology which is the
blockchain. It's the code based on numerical problems which to this day could not be
hacked.
Now if the traditional way of printing, distributing and save guarding of physical money
can be eradicated and replaced by a blockchain driven crypto currency that has the same
value for every human on earth, all of a sudden there is a level playing ﬁeld with great cost
reductions, meaning less interest charges and less administration to name a few.
This can be done by the banks to keep the structure in place, while each of them may want
their own coin for their identity, with the same value it could potentially make funds
available to more people as there is less risk, such as exchange rates. The large bank
groups in the world are there already, however in our Namibian context it is still a
debatable issue at current.
An example of our human thought process. Say there are three humans left on earth and
one decides that he/she is going to charge the other two 10% interest on all money he
lends them and charge them money to deposit and withdraw while saying his/her money
is worth twice as much as the other two’s money. The other two will them him to bugger
off. Its that simple yet here we are.
2. Universal Basic income (Social upliftment scheme)
There are many ways to describe and implement these type of system.Here are two
examples with the second already in place.
Each country has a tax system and a portion can go towards income for each individual of
which a portion then goes back into the tax system, while the rest stimulates the economy.
Canada has implemented a carbon tax system of $50.00 per ton CO2 which is paid by
individuals and industry when buying fuel, etc. This tax is then used for environmental
expenses and the positive balance is then re-distributed back to the private individuals in
the country.

The current tax system is the cash flow that should cover all welfare expenses such as
pension and medical which are normally budgeted for. Worldwide the tax system is used
to create additional income for governments by raising VAT and other taxes such as fuel
levies, etc, however when a government is part of the direct income of individuals with
their needs it is a manageable system that will not hurt the poor. This system can even run
on a blockchain, making it more cost effective and fair. As an example: Say Namibia stops
all individual tax and raises VAT to 40%, then everyone pays tax and it will enable more
cash flow through the system. With a less complicated tax system there are more savings
for the government and so on.
It will take a combined effort to ensure a system like this can work and the reason it can
work is that with Cryptocurrency we are back at a limited supply of money, thereby forcing
pricing structures to change. There is no gold backing any money these days, only bits and
bytes in cyberspace, that is managed by outdated crypto accounting security systems. The
switch therefore is in essence only a click away.
Currently the only way a Government can control the economy is by interest rates and the
printing of money. These control mechanism are not successful as proven in all economies.
It creates uncertainty and benefit only the larger economies.
The biggest opponents against Universal Basic Income stems from the idea that it will
make people lazy, however when you take a look at athletes who are supported by
governments in order to focus on what they do without working and government grants
for children it is in essence operational. Many countries have or are running pilot programs
to determine how this UBI will pan out, even Namibia took part in a trial with the
inhabitants of two villages in the North receiving a monthly income for a year. The findings
over the period were less malnutrition amongst children and an increase in school
attendance as well as a reduction in livestock theft and general crime.
With the uptake of AI (Artificial Intelligence) and other industry specific technologies the
world will see 40% less traditional jobs due to them becoming obsolete. Since there is not
enough open jobs to be filled by this 40% there will need to be some sort of intervention
until parity is reached.
It is important to note that many people on earth are born into poverty and thus into
welfare. These ideas should not be seen as to take away from one party to give to the next.

These ideas are about how we can move forward together, acknowledging each others
situation while contributing to the bigger picture which is the ultimate goal of ensuring an
prosperous, sustainable in all areas and renewable future for Namibia.
The current financial system in Namibia does not cater for Namibian entrepreneurs. The
people that have made it in Namibia are to few and their wealth is not on par with other
first world countries. Therefore Angel investing, private equity and business incubators are
not available to many.
The Commercial banks work only on assets and credit worthy entities. The Development
Bank of Namibia is also a commercial bank and as such risk averse. When you are an
entrepreneur and you have an money making idea, the truth is that without assets your
financing options are every limited. Namibia should provide safe and available financing
avenues for its entrepreneurs to allow them in kick starting their ideas.
There are local bank and government loans towards green business and many
international funds and organisations to assist in implementing green technologies, food
production, social development and renewables including transport. It is just as mentioned
earlier difficult for those with the ideas and drive to get to that finance level.
The effort that is required now, is to ensure that local policy makes it possible to work with
outsider finance and especially securing revenue streams with new business models that
will disrupt the business as usual model.
Venture Capital firms as an example are not well promoted and all of this creates an
unclear path for future business players. Sustainable Funding for small to large businesses
is the enabler for the Namibian economy and fortunately there seem to be positive
developments in this arena locally. The problem being the pace of change seem to be
lagging in implementation.
A new finance model
Previously the author made the point that the only current and future solutions for any
agriculture activity is the one where any global environmental impact is absent with Zero

carbon footprint and the most resource sensitive processes that are both sustainable and
renewable. Finance is no different, it needs to be in tune with environmental requirements.
Namibian entrepreneurs who wants to start a business, need to understand the process of
bank(Institutional funding) and the other options available: Example; Bootstrap, Seed,
debt or capital?
In Namibia there are yearly Start-Up festivals for entrepreneurs. Many presentations are
offered to educate and inspire. The two biggest issues with these events are the lack of
participants and lack of finance focus. It is probably the lack of knowledge about
alternative finance options that are keeping entrepreneurs from coming forward. There is a
large opportunity that needs to be addressed.
A typical business will follow this route and can stop at any point which is in line with the
management’s objectives. Not everyone wants a unicorn and as such there are different
finance options for each stage which as a rule is not well defined nor available in Namibia.
Current system: Soul or Co-Founder
• Loans from Friends and Family - small amounts N$10,000- 500,000
• Angel Investor - medium amounts - N$500,000 - 2 million. Done with interest and time
and/or convertible note (safe agreement) with stock discount 20% if converted. Normally
a conversion cap. // Boot camp 5-9% with optional after the fact investments. Incubator
process.
• Venture Capitalists - Seed, Series A, B, C, D - seat on board, shares (An US system
especially for disruptive tech with million X return potential)
• Private Equity
• IPO, Initial Public offerings
• The new ICO, Initial Coin offerings process which is highly volatile given the speculation
in Crypto currencies.

It is very important to note that these investors understand the risks and they focus on 20%
of their investments to make money on average. Failure when everything is done possible
is not a total end of career scenario. It is part of the process and this is something
Namibians need to learn quickly to become open to the idea of risk versus reward.
There is much to be said and done within this space and conversations need to start in a
open and trustworthy fashion to encourage participants to take charge of their destiny.

Conclusion summary
Perspective of what is projected 2018-2050:
* Land: Currently Half of habitable land is used for agriculture: Yield vs Land use with a
third of arable land already unusable for traditional farming methods
* Energy: World wide needs will double
* Water: only 0.003% of all water is fresh and consumption to grow over 50%. A third of
world’s population rely on groundwater
* Population: Over 9 billion
* Resources: Fossil fuels and CO2 issues, vehicles from 1 to 2 billion
What is a Bio economy?
Creating value from not just the end produce, but from the complete cycle.
Private sector involvement, less government assistance on agriculture projects, more jobs,
less pollution and greater tax revenue.
Solutions in our Namibian context should be to grow sustainably anywhere and anytime
using only the sun and any available water.
The Bio economy model is an disruptive technology and concept, however its
implementation and outcomes are more towards positive change except for fossil fuel
auxiliary industries that will die out. There will be convergence of many facets of
economic activity and available resources in Namibia, giving rise to entity that is largest
than the some of its parts.
Why Hydroponics as preferred technology?
* Growing crops without soil
* Various methods available: Hydroponics: Aquaponics, Aeroponics, Dryponics, and
Bioponics
* Use less water than traditional soil farming
* Suited for most types of crops
* Can be done anywhere - Urban to Mega scale close to market
* More intensive way of growing food, options of multiple levels, horizontal or vertical
* Developing best options for dealing with drought - securing food security in the worst
of times

Why Urban and rural hydroponics holds the key for food security and value addition:
* Lawns, roofs, inside warehouses, any open space
* Drought - No Problem as water can be recycled for re-use
* Don’t need to own land
* Scalable
* Portable solutions - bring food to where it’s needed
* Can be incorporated with aquaculture/Bioponics for ﬁsh production
* Hi tech expensive options (Commercial) or Low tech affordable options (Private &
Vulnerable communities)
Activities needed in a Bio Economy Value Chain:
* Strategic Partners and knowledge share :*
* Soil management techniques & livestock integration
* Software and hardware
* Renewables: Energy, Heat, Cooling, Water
* Crops and end user product research & development
* Greenhouse, soil, livestock farming systems and processes design
* Robotics
* Skills transfer & capacity building
* Sources to Funding
* Market for skills and products
* Talent - local skills development
* Value add ﬁnal products
* Zero waste management systems
* Local industry for global markets
* Innovation
New Economy with many New Opportunities building on existing industry:
* Eco friendly packaging & other products from process waste
* Sustainable Transport & Logistics
* Seed and propagation
* Energy, cooling, heating & water service providers
* Materials from metals such as Steel, Copper & Aluminium
* Electric motors & pumps

* Engineering, Project Management, Research, Horticulture & associated industry training
* Electronics, battery tech, IT, data, software(open source) & AI
* Optical - drone & static
* Air management & control
* Waste to energy & many more
Sectors to be Developed:
* Agrofood
* Logistics
* Life Science
* Chemie
* Water Tech
* Energy Tech
* Health
* Hi Tech
* Creative Industries
End Product from Value Chain:
High Value Pharma & Cosmetics
Food & Feed
Bioplastics & Polymor
Bulk Chemicals & Fuels
Low Value Energy & Heat
Namibia’s own solution that’s been developed for Nam ibis by Namibians.
* Solutions for Cities to small villages
* Bioeconomy model adaptable for speciﬁc context (Access to resources)
* Totally renewable and cheap electricity even for off grid communities
* Ensuring Food security for humans and feed for livestock
* Measurable CO2 savings
* Water management and focus on Zero waste
* Improved Health through nutrition and education
* Full time Sustainable employment

* Starting Namibia - Erongo Region as potentially large world force in manufacturing for
specific target markets
* Fits in with future UN requirements(SDG), Namibia’s Harambee and National
Development plans & No burden of Government finances, with large revenue stream
potential
For some people all these changes and new ways may be a lot to take in, for others it may
be a way of life and there may be issues addressed that seem very ambitious.
It is for the reader to decide, if they will do their own research, to gain more knowledge
and understanding.
It’s no longer if we need to change is now just a question of when and time is running out.
In our Namibian context, a national Bio Economy body needs to be appointed to
represent the Namibian Government, industry and community to educate, find solutions
and offer guidance for policy and implementation as to stay with developments in the rest
of the world. In a purely commercial context it is possible to start all of these economic
activities without governmental input and many co-operatives. A business case can be
made for all the areas in this Bio economy model that will create profit opportunities and
sustainable businesses.
The future of Namibia is way more positive than any of its neighbouring countries, given
the options available to ensure our sovereign independency. It is up to our generation to
implement the changes and keep Namibia geared towards a prosperous future for every
man, woman and child.
When new cities such as Neom receives US$ 500 billion in investment to establish a
transport hub and six industry economy in the UAE from scratch then it is not
inconceivable that Namibia with all its potential can attract the capital and innovation
needed to make Namibia the greenest country on earth.
The time is right to think about and implement actions towards a Namibian Circular
Bio economy Model. There really is no excuses for Namibia to be a net importer with
a weak economy.

Circular Bioeconomy model
Farm
Community/Competition/
Labour
Energy- No
Fossil Fuels
Product
Product
Skills
Development
Waste
Market
New
Products
Inco
me

Starting a Namibian Circular Bio Based Economy

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