Tanzania: Tanesco to Buy 19.16 MW of Green Electricity From Six IPPs

Posted on : Wednesday , 13th January 2021

The state owned Tanzania Electric Supply Company (TANESCO) is signing power purchase agreements with 6 independent power producers that are developing several renewable energy projects in Tanzania. TANESCO agreed to purchase 19.16 MW of electricity, under the supervision of the Energy and Water Regulatory Authority (EWURA) of Tanzania.

Among the selected 6 independent power producers is Nishati Lutheran Investment, which is implementing a 36 kW hydropower project at the Ijangala Falls in Makete. Similarly, Madope Hydro is implementing the 1.7 MW Madope Hydroelectric Project on the Madope River. Lung'ali Natural Resources, which is implementing the Maguta hydroelectric project 1.2 MW on the Lukosi River Falls in Kilolo. Luponde Hydro is also signing a PPA with Tanesco for its Luponde hydroelectric project 9 kW on the Luhololo River in Njombe, will sell its production to the utility.

Commercial operation in next 18 months

The other 6 independent power producers selected is NextGen Solawazi which is working on a 5 MW hydropower project in the Kigoma Special Economic Zone. SSI Energy Tanzania, which is currently building a 10 MW solar power plant in Kahama, will also sell its production to Tanesco. According to the public company, the 6 private companies will have to start marketing their production within next 18 months.

In the meantime, TANESCO is also developing other electricity projects in Tanzania. In this way, TANESCO is also supporting the Tanzanian government's policy of achieving a 75 percent electrification rate by the year 2035. Among its projects is the construction of the Rumakali and Ruhudji hydroelectric power plants which will have capacities of around 222 MW and 358 MW respectively. This year in July month, TANESCO selected Multiconsult Norge AS, a Norwegian engineering consulting firm, to provide consulting services for the 2 projects.