A strong legal framework for midstream infrastructure is essential to ensure that Namibia maximizes economic benefits, attracts investment, and builds a sustainable energy industry
SANDTON, South Africa, June 20, 2025/APO Group/ --
By Rachel Mushabati, Senior Associate Attorney & Country Head – CLG Namibia (www.CLGGlobal.com)

From Discovery to Delivery: Building a Legal Framework for Namibia’s Midstream Infrastructure (by Rachel Mushabati)
Namibia’s recent offshore oil discoveries mark a pivotal moment in the country’s energy sector. With major players such as Shell, TotalEnergies, QatarEnergy, and Galp uncovering significant reserves, Namibia is poised to become a key oil producer. However, while exploration and production activities have gained momentum, the midstream sector; involving transportation, storage, and refining of petroleum, remains underdeveloped.
A strong legal framework for midstream infrastructure is essential to ensure that Namibia maximizes economic benefits, attracts investment, and builds a sustainable energy industry. CLG Legal and Business Advisory, with its extensive advisory experience across Africa, is uniquely positioned to support this transition. CLG has advised on midstream regulatory frameworks, infrastructure structuring, and investment promotion strategies in various jurisdictions, and brings this expertise to the Namibian context.
Understanding Midstream Infrastructure and Its Importance
Midstream infrastructure serves as the critical link between oil extraction and the end consumer. This includes pipelines, refineries, storage facilities, and specialized port infrastructure that facilitate the transportation of crude oil and natural gas. Without adequate midstream infrastructure, Namibia risks becoming an exporter of raw crude without capturing additional value through processing and distribution. A robust midstream sector can boost job creation, industrial development, and energy security, making it a strategic national priority.
Market studies from other African producers have shown that well-developed midstream infrastructure can contribute up to 30% more in local value addition compared to direct crude exports.[1] In Ghana, for instance, domestic refining and pipeline infrastructure contributed significantly to its GDP growth in the petroleum sector between 2016–2022. Namibia has the opportunity to tap into similar economic potential.[2]
Existing Legal Framework and Gaps
Namibia’s petroleum sector is primarily governed by the Petroleum (Exploration and Production) Act 2 of 1991 and the Petroleum Products and Energy Act 13 of 1990. These laws focus largely on upstream activities and the regulation of downstream petroleum products. However, there is no dedicated midstream regulatory framework. The absence of clear midstream regulations means there is little guidance on ownership structures, investment incentives, and operational guidelines for pipelines, storage, and refining facilities.
For example, Nigeria’s midstream sector prior to the Petroleum Industry Act (2021) faced significant bottlenecks due to the absence of a clear regulatory framework, particularly regarding third-party access and tariff setting for pipeline infrastructure. These issues led to investor reluctance and underinvestment, which were only addressed after the establishment of the Nigerian Midstream and Downstream Petroleum Regulatory Authority (Nigeria Petroleum Industry Act, 2021).
Lessons from Other Oil-Producing Countries
Namibia can draw inspiration from countries that have successfully developed midstream infrastructure through effective regulation. Norway, for example, has established a robust midstream legal framework that ensures state participation in pipelines and refineries while promoting private investment.[3] Ghana has a dedicated Petroleum Midstream Regulatory Authority that oversees infrastructure development and ensures compliance with environmental and safety standards. Similarly, Nigeria’s Petroleum Industry Act (2021) introduced the Nigerian Midstream and Downstream Petroleum Regulatory Authority, which provides clear guidelines on pipeline ownership and operations.
The Role of Key Stakeholders in Strengthening Namibia’s Legal Framework
To unlock the full potential of the midstream sector, coordinated action is required among various stakeholders:
- Government Ministries and Regulators: Responsible for drafting legislation, setting environmental and safety standards, and issuing licenses.
- Private Sector and Investors: Bring in capital and technical expertise, while also needing legal certainty to invest confidently.
- State-Owned Entities: Can serve as infrastructure operators and strategic partners in public-private partnerships.
- Civil Society and Communities: Essential for ensuring environmental accountability and social license to operate.
- Legal Advisory Firms: Provide technical assistance in drafting laws, structuring transactions, and navigating policy reform.
Strengthening Namibia’s Midstream Legal Framework
To address the existing gaps, Namibia must develop a comprehensive legal framework that clearly defines the governance of midstream activities. A dedicated Midstream Act would be a crucial first step, providing legal certainty on pipeline infrastructure, refineries, storage, and transportation. Encouraging public-private partnerships can drive midstream development while ensuring local participation. Establishing an independent regulatory authority will help enhance transparency, streamline approvals, and enforce compliance.
Additionally, Namibia should implement policies that prioritize local employment and skills transfer, ensuring that midstream investors contribute to national workforce development. Environmental and safety standards must also be strengthened to mitigate risks associated with pipeline integrity, spill prevention, and emergency response. To further attract investors, tax breaks, duty exemptions, and streamlined licensing processes should be introduced to make Namibia a more competitive destination for midstream infrastructure development.
Conclusion
For Namibia to fully capitalize on its oil discoveries, it must establish a strong midstream legal framework that facilitates the efficient transportation, storage, and processing of petroleum resources. Without this, the country risks losing significant economic value and remaining dependent on crude exports.
By adopting best practices from other oil-producing nations and implementing strategic legal reforms, Namibia can create a thriving midstream sector that benefits both investors and citizens alike. CLG stands ready to support this transformation, leveraging its pan-African expertise in midstream regulation, infrastructure development, and legal advisory. Our team has been instrumental in shaping midstream legal regimes across West and Central Africa, and we are committed to helping Namibia build a regulatory foundation that supports sustainable growth and long-term prosperity.
[1] Ruben, R., Kuijpers, R., & Dijkxhoorn, Y. (2022). Mobilizing the Midstream for Supporting Smallholder Intensification. Land, 11(12), 2319. https://apo-opa.co/4ngI2bu
[2] Oxford Business Group. “Ghana's energy production targets and exploration attract investment”. Retrieved from https://apo-opa.co/4kUZQHu.
[3] Norwegian Petroleum Directorate (2021). 'Midstream Regulatory Framework and Investment Guidelines'.
Distributed by APO Group on behalf of CLG.
This is ridiculous, absolutely ridiculous. Hirsi Gaab will bear the brunt of this illegal arrest.
I believe anyone who instigates insecurity in any country on the Planet is liable to face the law of that country. If the former government is proven guilty beyond doubt, he must face the justice, otherwise he should be released immediately.
Furthermore, we the people of Somaliland must stop using tribal outcry, whenever someone is arrested without us knowing the crime committed. This will not take us anywhere and should be stopped.
Omar Hussein Dualeh please have a common sense. If this man has committed a crime, your competent government would have charged him in court of law or bring him to court to request for legal detention. The law is clear. No one can be arrested more than 48 hours without due process of law. We know for sure why Guleid is detained. He is detained because he is campaign against the Ignorant government of Somaliland's attempt to dislodge an Isaaq clan from Burao. Somaliland peace can only be maintained if the rule of law and due process of law equally apply to all citizens. As we have heard recently Kulmiye party is in disarray. The other two Somaliland political parties are caught up up with internal infighting that treating their existence. To save Somaliland from doom, it is important both opposition parties sort out their difference and come with United front to send the regime out of power. We cannot afford another around of Kulmiye party domination in Somaliland otherwise the real existence of Somaliland is in grave danger.
I promise you if I were made minister of internal affairs in the next government of Wadani that I will harass, intimidate and abuse Siilaanyo's dignity publicly. I will send the RRU to his house every few days, confiscate his property until he willingly leaves the country for his own safety. This dude deserves nothing less.
one person for public disorder should be arrested for inciting violence that caused for killing innocent indigenous and should charges for murders counts !!!!!! who is he ????????????? he diverse to be in Mandela prison than berbera custody
Since Kulmiye party succeeded the administration of government they immediately to began to breach the law and misuse as a favoritism, from my point of view as you all mentioned no once can be arrested without warrant of court, inline with that breach of rights Guleid has the rights to get a legal remedy according to article 23 of UDHR and 27 of Somali-land Constitution and also am suggesting the Kulmiye Administration to stop all these shameful action.
Ladies & Gentlemen and Boys & Girls,
“Justice DELAYED is justice DENIED” Contrary to that is just a BANANA!
Every citizen has the right to be heard in a court of Law. The rights if this man in Jail is awfully being abused and right in our faces (he could be mine and your uncle, brother and father), by an individual who is welding, in the very open and without shame, “POWER” that neither belongs to him nor bestowed upon him by his superiors. He is in a fast forward mode for his own demise. Attention, if you see this character, please stay away and do not attempt to have any contact with him. We have seen and witnessed the likes of this young man in the past. “Those who bounce faster than the revolution are to be chopped”! Mind you, this is not even an elected official. How dare, can such be allowed and entertained in a place we all know, how we painfully acquired from the Jaws of shark regime?
Those of you chanting for this illegal action and trashing those speaking for the “RIGHTS” of a Somalilander, being irrefutably quashed and slaughtered by a few young bad men, should remain brave enough to withstand it, should this non sense, (GOD forbid) ever drops by your front yard or over your fences and through your windows, in that matter. This is a new Tsunami in the making and better watch for it. It is time to speak against this kind of illegal and Banana Republic style of Governing of our people.
What is urgently suggested and highly required by the Silanyo Administration, is to immediately drop “The Xersi Factor” (no more added value in this guy) and take him completely out of the picture as there is absolutely no reason and need for him to be part of any international or domestic missions (he must remain in the State House enclave), unless, otherwise, as correctly mentioned by a Professor in one of his earlier writings as just being a mere watch-dog for the President which can eventually cost him dearly in reputation and legacy wise, if action is not swiftly taken on his uncontrollable and ever damaging behaviour that must come to a complete halt and YESTERDAY!
If anyone in the Silanyo administration and the President’s immediate family are watching and are willing to pay any further attention to this ever ending episodes and menace, Xersi has unequivocally become a "The mother of liability “to the Silanyo Administration and got to be muzzled if Silanyo ever wants to be re-elected and see the light of a second term as President of Somaliland anytime soon, Period!
How long more can President Silanyo carry this young endeavouring man on his aged back? Remains to be seen. To be continued.
Chief K
Gulaid, the former deputy Governor of Burco, finally got out of the jail today without bail or preconditions after Siilaanyo administration failed to prove that he commited a crime. In a press release shortly after he was released, Gulaid vowed that he will not leave alone those who were behind his arrest. Hopefully he would return to Burco as a hero.