- Hydropower facilities at Rusumo and Kakono in its northwestern region, with a capacity of 80 MW and 87 MW are expected to come onstream in 2024 and 2030, respectively.
- The 166-km (103 miles) overhead line will connect the Kagera region in the northwestern part of the country to the national grid, replacing the energy supply from Uganda with local hydropower.
On Thursday, The OPEC Fund for International Development said it would provide a USD-60-million (EUR 55m) loan to support the construction of a power transmission line in Tanzania. The 166-km (103 miles) overhead line will connect the Kagera region in the northwestern part of the country to the national grid, replacing the energy supply from Uganda with local hydropower.
The fund said that as a country bordering Lake Victoria, which the Kagera River feeds, Tanzania has the potential of a significant renewable. Hydropower facilities at Rusumo and Kakono in its northwestern region, with a capacity of 80 MW and 87 MW are expected to come onstream in 2024 and 2030, respectively.
The new transmission line will reduce Tanzania’s dependence on energy imports and ensure an improved power supply for one of its poorest regions. In addition, the increase in hydropower generation will enable the country to close costly and polluting backup thermal power plants.
Several partners will participate in the financing of the project. The OPEC Fund will provide a USD-30-million loan as a first tranche of a USD-60-million facility. The Abu Dhabi Fund will join it for Development with USD 30 million, the Saudi Fund for Development with USD 12.8 million and the government of Tanzania with USD 2.6 million. According to the announcement, other backers are expected to finance a downstream distribution network that will connect many unserved communities to the grid.