Chamwe Kaira
TransNamib says it is working closely with stakeholders, funders, and technical advisors to review and update its procurement strategy after the cancellation of its earlier locomotive tender.
The updated approach aims to ensure compliance, value for money, and alignment with operational needs.
The company has been instructed by the government to diversify its locomotive fleet. To support this, TransNamib is sourcing a rail consultant to help guide the process.
A new procurement approach for acquiring 23 locomotives is currently being developed.
The process is expected to be relaunched in the coming months, pending approval from financiers and governance structures.
“Please take note that this project was cancelled and the public entity has been informed accordingly. On the way forward, CBN will await directives from the public entity on the way forward,” said Johanna Kambala, manager of stakeholder relations at the Central Procurement Board of Namibia (CPBN).
The minister of works and transport, Veikko Nekundi, said TransNamib must come up with new timelines for the purchase of the 23 locomotives.
He had earlier cancelled the plan to procure general electric locomotives valued at N$1.7 billion due to concerns about sourcing from a single supplier.
Nekundi confirmed that TransNamib is engaging with the Development Bank of Namibia (DBN) and the Development Bank of Southern Africa on the way forward.
The planned locomotive acquisition formed part of a N$2.5 billion loan package secured from the two banks.
Earlier this year, TransNamib said it intended to standardise its fleet with general electric/wabtec locomotives.
However, Nekundi said the government rejected the direct procurement method, instructing TransNamib to inform the procurement board that a new tender process must be launched.
He said the new process should follow public procurement laws, open bidding to multiple suppliers, and consider a variety of technically compliant locomotive options suited to Namibia’s climate.
Under the same loan facility, TransNamib also plans to upgrade its mechanical and heavy-duty equipment, steam boilers, tools, and acquire 300 waggons.
Meanwhile, the company reported an increase in freight volumes in the first quarter of this year, reaching 330,410 tonnes, according to responses provided to Observer Money.
