Shakwa Nyambe Advocates

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With the major offshore discoveries by TotalEnergiesandShellin2022,Namibiaisonthebrink of becoming a significant oil and gas producer However, the potential for prosperity also carries risks like corruption, environmental degradation, and non-sustainable exploration of hydrocarbons.

To address these challenges, Nyambe stresses the importance of a robust legal and regulatory frameworkthatfollowsindustrybestpracticesandinvolves all relevant stakeholders, including indigenous people,localcommunities,andlocalgovernment. The establishment of an independent upstream regulatory agency is a widely adopted approach in many countries. Such agencies ensure independence,attracttechnicalexpertise,andreducepoliticisation that often plagues governmental departments. Nyambe believes that an independent regulator would play a crucial role in monitoring industry participants, ensuring compliance with regulations and policies, and promoting a level playingfieldamongplayersintheindustry Nyambe points out that Namibia's past attempts to separate policymaking and regulation, as reflected intheWhitePaperonEnergyPolicyof1998,were steps in the right direction. However, considering the evolving petroleum industry, including institutions like the Petroleum Training and Education

Fund (PETROFUND) and the National Energy Policy of 2017, the need for a fully independent regulatorhasbecomemorepressing.

To ensure an operational and effective regulator, Nyambeemphasisestheimportanceofdesigninga tailoredregulatoryframeworksuitedtoNamibia's specific needs. Such a regulator would undertake vitalfunctions,includinglicensingandpermitting, monitoring petroleum activities, ensuring technical and safety standards, compliance with laws, and promoting local content development and environmentalprotection.

Drawing upon successful international examples, NyambehighlightstheBrazilianNationalAgency ofPetroleumNaturalGasandBiofuels(ANP)and theUK'sOilandGasAuthority(OGA)asmodels for Namibia to consider These independent regulatorybodieshaveproveninstrumentalinenhancing professionalism, attracting investors, and maximizingtheircountries'hydrocarbonresources while maintaining transparency and good governancepractices.

In conclusion, Nyambe asserts that the establishmentofanindependentupstreamoilandgasregulatoriscrucialforeffectivegovernance,promoting faircompetition,andsafeguardingtheinterestsof allstakeholders.AsNamibiacontinuestodevelop itspetroleumindustry,Nyambecallsforprovisions for an independent regulator in the proposed amendments to the Petroleum (Exploration and Production)Actof1991.

Sources: EnergyVoice,SNCIncorporated