Clarifying what a policy is and what it is not: The National Upstream Petroleum Local Content Policy

Mutindi Lydia Jacobs

As the Ministry of Industries Mines and Energy (MIME) continues it’s nationwide consultations on the draft National Upstream Petroleum Local Content Policy, a critical public debate has emerged. Some stakeholders have voiced concerns over the policy’s perceived lack of teeth, specifically its absence of penalties and a concrete institutional framework. This criticism, while understandable, stems from a common misconception about the fundamental difference between a government policy and a law.

Understanding this distinction is essential for anyone wishing to contribute meaningfully to shaping the future of Namibia’s promising oil and gas sector.

The Blueprint vs. The Building: What is a Policy?

Think of a policy as an architect’s blueprint. It is a strategic document that outlines the government’s intent, goals, and plan of action. Since Namibia’s independence in 1990, policies like the Land Policy of 1998 and the recent National Trade Policy of 2023 have served as roadmaps, communicating national values and establishing a clear direction. A policy sets out the “what” and the “why (what goal are we trying to achieve, and why is it important?).

However, a policy is not legally enforceable on its own. For this reason, it will not contain punitive measures like fines or imprisonment, since it’s purpose is to guide, not to punish.

A law, or an Act of Parliament, is the finished building. It is a formal, legally binding rule enacted by our legislature that is enforceable in the courts. It is the law that creates offenses, establishes institutions, and outlines the penalties for non-compliance.

The Journey from Intent to Enforcement

The process of governance is a journey, and policy is the first crucial step. In Namibia, policy formulation is coordinated by the National Planning Commission (NPC). Established by Article 129 of the Namibian Constitution and further mandated by the NPC Act (Act No. 2 of 2013), the NPC leads, coordinates, and evaluates the development of government socio-economic policies to ensure consistency and effectiveness. The NPC ensures that all government policies are consistent, well-consulted, and aligned with our national development goals, such as Vision 2030 and the new NDP6.

Once a policy is debated, consulted upon, and approved by Cabinet, the journey isn’t over. The policy may then serve as a detailed set of drafting instructions for legal experts such as the Law Reform and Development Commission (LRDC) or the Directorate Legislative Drafting under the Ministry of Justice and Labour Relations (MOJLR). Once engaged, these experts translate the policy’s goals into the precise, enforceable language of a Bill.

This Bill is where the “teeth” that critics are asking for are added. It will define offenses, mandate the creation of regulatory bodies, and detail the punishments for breaking the law. We have seen the translation of a policy into law many times over,  and examples of laws that have been successfully translated from policies include the Financial Intelligence Act (No. 13 of 2012) and the Research, Science and Technology Act (No. 23 of 2004).

It is important to highlight that the ongoing nationwide consultations on the draft Upstream Petroleum Local Content Policy are being conducted in strict accordance with the NPC Guidelines on the Public Policy Making Process (PPMP). These guidelines mandate comprehensive engagement and consultation with all relevant stakeholders through consultative workshops, meetings, and other participatory forums.

Furthermore, the draft policy’s structure and content conform to the NPC’s Guidelines for the Structure of a Public Policy Document, ensuring adherence to established standards and provisions.

Since 2022, it has been a Cabinet requirement that all Bills must be accompanied by a corresponding policy. In addition, every public policy must include a supporting Implementation Action Plan (IAP), which should be developed concurrently to facilitate effective monitoring and execution.

Your Voice Matters Now More Than Ever

Why then, is a policy important if it is not the final law? Because the policy stage is the most crucial phase for public participation and influence. This is when the fundamental principles and strategic direction of a matter are defined. Even without legal penalties, policies play a vital role in preventing misunderstandings and conflicts by clearly setting out accepted practices.

The nationwide consultations currently underway are a constitutional imperative designed to embed the values of the Namibian people into the very foundation of the future law. The draft policy will foster consistency, accountability, and clear communication of priorities. It will also serve as an invaluable reference document for legislative drafters, helping to translate policy objectives into practical legal frameworks.

In conclusion, while a policy may not have the immediate force of law, its influence is foundational. It builds the consensus and provides the clear framework from which strong legislation is born. This is exactly the role of the draft National Upstream Petroleum Local Content Policy. Let us seize this opportunity to engage with, critique, and strengthen this document, understanding that it is the vital blueprint for a future legal system that is not only robust and enforceable but also beneficial for all Namibians.

Mutindi Lydia Jacobs is the Deputy Chief at the Directorate Law Reform, Policy and Legislation under the Ministry of Justice and Labour Relations (MOJLR). She is also an Advisory Board Member of the Namibia Youth Energy Forum (NYEF). She writes in her personal capacity.

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