Chamber of Mines of Namibia chief executive Veston Malango says recent incidents involving hazardous materials such as sulphuric acid show the risks posed by damaged sections of the country’s railway network. He said these incidents can cause serious environmental harm, especially in sensitive areas.
Malango said the mining sector relies on safe and reliable transport. He stressed that a strong railway system is critical for moving mining inputs and products in a safe and cost-effective way.
Observer Money (OM): What is the Chamber of Mines of Namibia’s position on the current state of the railway industry in Namibia?
Veston Malango (VM): While TransNamib has made several efforts to upgrade and improve railway infrastructure, the network remains sub-optimal for full utilisation by the mining sector. Recent derailments, including incidents involving hazardous materials such as sulphuric acid, highlight the risks posed by deteriorated sections of the railway. Such occurrences can have severe environmental consequences, particularly in ecologically sensitive areas. The Chamber believes that a reliable and efficient railway system is critical for safe and cost-effective transport of mining inputs and products.
OM: Has the Chamber ever presented its position on railway transport to the government or TransNamib? If so, when and in what context?
VM: Yes. In 2014, the Chamber facilitated the establishment of the Northern Transporters Forum (NTF), comprising several Chamber member companies that relied on rail transport. At the time, members faced significant service deterioration, forcing a shift of large volumes of mining inputs and products to road transport. The NTF aimed to demonstrate the financial and operational impact of this shift on TransNamib and proposed practical solutions to restore and enhance rail services. At that time, it was estimated that almost 70% of heavy mining goods and products were being transported by road and only 30% were being moved by rail, instead of vice versa.
The Chamber engaged TransNamib on several occasions, with the TransNamib CEO and team addressing Council members at annual strategy sessions. These sessions culminated in the Chamber engaging the Ministry of Works and Transport, where the Chamber positions were delivered and concerns raised. The Chamber also made proposals on how best the railway system could be run more efficiently with private sector participation, as witnessed in East Africa.
OM: Which mining operations in Namibia currently make use of railway transport?
VM: Sinomine Tsumeb Smelter (when operational), Tschudi Copper Mine, Ohorongo Cement, B2Gold Otjikoto Mine and Rössing Uranium Mine.
OM: What actions does the Chamber of Mines recommend the government undertake to improve the condition and performance of the railway industry?
VM: Based on the volumes of freight moved by the NTF at that time, it was recommended that TransNamib first look to invest in the Walvis Bay–Kranzberg–Tsumeb corridor, which serves high-volume mining operations and offers significant revenue potential for TransNamib. This investment could be structured through Public-Private Partnership (PPP) models, which have proven successful in other African countries. Such collaboration would accelerate infrastructure upgrades and ensure sustainable rail services without relying solely on government funding.
OM: Could you provide any available statistics regarding the transportation of mining products by rail?
VM: The NTF calculated that of the 123 106 tonnes of freight transported by members per year, 84 049 tonnes of this were transported by road, which is 68% of the total volume that could have been transported by TransNamib. This shift represented a substantial revenue loss for TransNamib. Current volumes are likely similar or even higher, underscoring the urgent need for rail infrastructure improvements, and have resulted in a major income loss for the parastatal.
