- British International Investment (BII) commits $15 million to Rift Valley Energy (RVE) for wind and hydropower projects in Tanzania.
- The new 7.6 MW facilities will power 170,000 people annually and connect 4,000 businesses and households to the grid.
- Owned by Meridiam, RVE manages 30 MW of renewable energy and operates extensive rural distribution networks.
British International Investment (BII) has committed $15 million (EUR 13.9 million) to fund Rift Valley Energy’s (RVE) new wind and hydropower projects in Tanzania. On Tuesday, June 18, 2024, BII announced that the investment could increase to USD 25 million.
RVE will use the funds to develop wind and hydropower plants with a combined capacity of 7.6 MW. These facilities will operate near RVE’s existing run-of-river hydropower assets and the Mwenga Wind farm, Tanzania’s only operational wind farm. RVE plans to integrate these new energy sources into the existing infrastructure.
Once operational, the new facilities will generate enough electricity to power 170,000 people annually. The projects will connect 4,000 businesses and households to the power distribution network. This initiative aims to enhance local energy access, support residential and commercial needs, and advance rural electrification efforts.
RVE, owned by Paris-based investor and asset manager Meridiam, oversees renewable energy infrastructure across Tanzania. It manages a portfolio totalling 30 MW, including various hydro and wind power installations. Mwenga Power Services, a subsidiary of RVE, operates two rural distribution networks covering 460 kilometres (285 miles).
This investment aligns with BII’s mission to promote sustainable development and improve energy access in emerging markets. By supporting RVE’s expansion, BII aims to boost Tanzania’s renewable energy capacity, reduce reliance on non-renewable energy sources, and enhance the reliability of the local power supply.
RVE’s current projects, including run-of-river hydropower stations and the Mwenga Wind farm, contribute to Tanzania’s renewable energy mix. The new installations will diversify energy sources and strengthen the power grid’s resilience. This additional capacity will help meet the growing energy demands of Tanzania’s expanding economy and population.
Overall, the investment will impact the local energy landscape significantly. It will provide a cleaner, more reliable energy source for thousands of residents and businesses. The funding will support the growth of the renewable energy sector in Tanzania, aligning with the country’s environmental and economic goals.
The exchange rate for this financial commitment is USD 1 = EUR 0.933.