Works and Transport Minister Veiko Nekundi says rail parastatal Trans Namib's locomotive tender process will soon be relaunched in line with public procurement laws, which will open the bid to multiple suppliers. 

The decision follows the government's decision last year to cancel the company's N$1.7 billion locomotive tender. 

The procurement tender's cancellation came as a result of concerns over single-source supply risks and a lack of competitive bidding. 

TransNamib has since resolved to appoint an independent consultant to evaluate 31 locomotive manufacturers.

The company's Chief Executive Officer Desmond Van Jaarsveld says the Central Procurement Board of Namibia (CPBN) will re-advertise the tender soon.

"Currently, for us, it is to standardise, which will now still be reviewed as we speak. We have an upcoming board meeting where the whole process will be finalised, and hopefully we will be able to go to the Central Procurement Board and make a final submission so that procurement will start without any further delay."

TransNamib had secured a N$2.6 billion loan from the Development Bank of Namibia (DBN) and the Development Bank of Southern Africa (DBSA) for the acquisition of 23 new locomotives, as well as to rebuild seven old locomotives. The rail operator also wants to refurbish six locomotives and lease two of those to South Africa.

"It's been an ongoing project because one of our conditions with the development bank for the loan we mentioned earlier is that TransNamib was supposed to demonstrate to the banks what initiatives we are taking to reduce our carbon footprint emissions."

TransNamib has not received a direct government subsidy allocation for the 2026/27 financial year. 

The institution received N$220 million in the 2025/2026 financial year.

In her budget speech earlier this year, Finance Minister Ericah Shafudah said several State owned Enterprises (SOEs) that previously received government support will receive no transfers from the government in this financial year, as per the government's expenditure projections for 2026/27.