tanzania`s small-hydro energy market

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Project Development Programme East Africa

Tanzania`s Small-Hydro Energy Market

Target Market Analysis

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Target Market Analysis

Tanzania’s Small-Hydro Energy Market Kenya’s Micro-Hydro Energy Market


Author

Mark Hankins

December 2009

Editor

Deutsche Gesellschaft für Technische

Zusammenarbeit (GTZ) GmbH

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Target Market Analysis: Tanzania’s Micro-Hydro Energy Market V

Content

1 STATUS QUO OF THE SMALL-HYDRO SECTOR ......................................................... 1

1.1 Brief Small-Hydro Sector Overview ................................................................................................ 1

1.2 Major Market Segments ................................................................................................................ 3

1.3 Local Capacities ............................................................................................................................. 4

2 MARKET POTENTIALS ...................................................................................................... 4

2.1 Overall Sector Outlook................................................................................................................... 4 2.1.1 Grid connected market ................................................................................................................ 4 2.1.2 Rural / off-grid Market ................................................................................................................. 5

2.2 Undeveloped Market Opportunities .............................................................................................. 6

3 SMALL-HYDRO-SPECIFIC REGULATION AND FRAMEWORK ............................. 10

3.1 Policies and Regulations .............................................................................................................. 10

3.2 Applicable Public Sector Support and Financing Mechanisms ...................................................... 11

4 BUSINESS PARTNERS AND COMPETITORS ............................................................. 12

4.1 Small-Hydro Projects Overview ................................................................................................... 13

Target Market Analysis: Tanzania’s Micro-Hydro Energy Market VI

List of Tables

Table 1: Electricity Generation in Tanzania ...................................................................................................... 1

Table 2: Hydro Power Plants Capacity ............................................................................................................. 1

Table 3: Grid Connected Power Plants ............................................................................................................ 3

Table 4: Power Generation High Forecast ....................................................................................................... 5

Table 5: Existing Hydro Power Plants in Tanzania ........................................................................................... 6

Table 6: Location of Identified Mirco-Hydro Power Sites .................................................................................. 7

Table 7: Small-Scale Hydro Sites Appraised for Development in Rural Master Plan Study (2005) .................. 9

Table 8: Service Providers ............................................................................................................................. 12

Table 9: Licensed Small-Hydro Project Developers ....................................................................................... 13

List of Figures

Figure 1: Percentage of Households with Access to Electricity in Tanzania ..................................................... 3

Figure 2: Tanzanian National Grid System ....................................................................................................... 5

Figure 3: Locations on Small-Hydro Power Sites ............................................................................................. 9

Currency

1 USD = TZS 1,440 (May 2010)

1 € = TZS 1,776 (May 2010)

Measurement

W Watt Wp Watt peak Wh Watt hour

kW Kilowatt kWp Kilowatt peak kWh Kilowatt hour

MW Megawatt MWp Megawatt peak MWh Megawatt hour

GW Gigawatt GWp Gigawatt peak GWh Gigawatt hour

Target Market Analysis: Tanzania’s Micro-Hydro Energy Market VII

List of Acronyms

BBS Battery Based System

CDM Clean Development Mechanism

DANIDA Danish International Aid Organisation

EWURA Energy and Water Utility Regulatory Authority

GEF Global Environment Facility

ICT Information and Communication Technology

LRMC Long Range Marginal Cost

MEM Ministry of Energy and Minerals

NGO Non-Governmental Organisation

PPA Power Purchase Agreement

PV Photovoltaic

REA Rural Energy Agency

REF Rural Energy Fund

SHS Solar Home System

Sida Swedish International Development Agency

SME Small and Medium-Sized Enterprises

SPP Small Power Project

SPPA Standardised Power Purchase Agreement

SPPT Standardised Power Purchase Tariffs

TANESCO Tanzania Electric Supply Company

UNDP United Nations Development Programme

USAID United States Agency for International Development

Target Market Analysis: Tanzania’s Micro-Hydro Energy Market VIII

Summary

The micro-hydro sector in Tanzania is highly underdeveloped. There have been extensive studies

into potential sites within Tanzania. Micro-hydro projects are the way forward to rural electrification

as well increasing the generating capacity of the national grid. Changing policies and regulations

are paving the way for private investor activities in the energy sector. The government has created

mechanisms to subsidise and assist in the financial sector to project developers, local communi-

ties and NGOs. A large number of untapped hydro resources lie in Tanzania that can be exploited

and used to improve the welfare and livelihoods of the people.

Target Market Analysis: Tanzania’s Micro-Hydro Energy Market 1

1 Status Quo of the Small-Hydro Sector

1.1 Brief Small-Hydro Sector Overview

This report looks at micro-hydro renewable energy technology for the generation of electricity. Tanza-

nia Electric Supply Company (TANESCO) is responsible for generation, transmission and distribution

of electricity in the country. TANESCO is 100 % owned by the government and responsible for gener-

ating 98 % of the energy in the country. The electricity sub sector contributes about 1.2 % of the total

energy consumption in Tanzania.

The Tanzanian electricity sub sector generates 56 % of the country’s total 997 MW capacity from hy-

dro power. Hydro power is the main form of renewable energy used in Tanzania, for the supply of

commercial electrical energy. The country’s hydropower capacity is powered by six large scale plants.

Only few off-grid small hydroelectric power plants are in operation. Table 1 below shows the break-

down of current electricity generation methods.

Table 1: Electricity Generation in Tanzania

Electricity generation MW

Grid Connected 997 MW

Hydro Generation (grid connected) 561 MW

Thermal Generation (grid connection) 437 MW

Ratio Hydro Thermal (grid connection) 1.3 (Jan 2007) compared to 2.3 in 2005 (due to

gas based rentals and lease)

Total Hydro Power Potential 4.7 GW (developed hydro potential)

Total installed capacity (grid connected and off-grid) 1031 MW

Tanzania’s total technical hydro electric energy potential is reported to be in excess of 4,700 MW of

installed capacity or about 3,200 MW of firm capacity. Of this potential capacity, only about 12% has

been actually developed. The six hydro generation plants run by TANESCO are located in Mtera, Ki-

datu, Hale, New Pangani Falls, Nyumba ya Mungu and Kihansi. Table 2 shows the current installed

capacity of each plant. Current private hydro power projects are Ruhudji project (35.8 MW) expected

to be completed by 2012 and Rumakali project (222MW) expected to be completed by 2024.

Table 2: Hydro Power Plants Capacity

Plant Installed capacity (MW) Ownership

Kidatu 204 TANESCO

Kihansi 180 TANESCO

Mtera 80 TANESCO

Pangani 64 TANESCO

Hale 21 TANESCO

Nyumba ya Mungu 8 TANESCO


Tanzania has extensive undeveloped hydro electric resources mainly located in the Southern region.

Only about 10 % of the Tanzanian population are connected to the grid. Tanzania has a per capita

electricity consumption of about 63 kWh per annum, which is growing at the rate of 11 to 13 %.

TANESCO is unable to meet the growing demand. Thus the Government is encouraging private in-

vestment in energy generation projects.

Traditionally, drivers of energy project development have been the central government, international

donors and religious societies. The history of micro-hydro power generation in Tanzania dates back to

the colonial period where power was mainly supplied to specific communities like religious centres

(missionaries). There are also a number of privately owned hydro power plants to supply business

activities.

The majority of people in rural Tanzania are poverty prone and cannot afford the initial connection

costs and the monthly bills. Rural electrification projects through grid extension and grid densification

are associated with long transmission and distribution distances because of the sparse population as

well as low load centres. The small-hydro power projects studied in the Rural Master Plan (2005)

have shown low economic and financial internal rate of return. In these market conditions, projects

need government, multinational development agencies, NGOs and the private sector to work together

in order to design and create opportunities that respond to the needs of the local community.

In order to address these challenges, the government has established the Rural Energy Agency

(REA) and the Rural Energy Fund (REF). The ongoing reforms in the power sector (liberalisation, pri-

vatisation) are anticipated to increase the interest of private firms investing in the hydro power genera-

tion. A project funded by the World Bank was carried out to identify the potential for private sector led

mini/small power plants to aid in the preparation of the expansion of the national grid.

Even though Tanzania has a long history of experience in implementing small- and mini-hydro power

plants, there is a lack of local capacity for planning, implementing and operating such projects. The

private sector has been formally accepted in the power sector since 1992, but its involvement is just

beginning.


1.2 Major Market Segments

As most African nations, the electricity market in Tanzania can be divided into grid connected power

generation, mostly in the urban areas, and the off-grid markets in rural areas.

Table 3: Grid Connected Power Plants

Power plant

(location)

Technology Fuel type Installed capacity

(MW)

Ownership

SONGAS (Ubungo) Gas turbines Natural gas 182 IPP

IPTL (Tegeta) Diesel Fuel Oil 100 IPP

Aggreko (Ubungo) Gas turbines Natural gas 40 Leased for two

years (since OCT

2006)

Dowans (Ubungo) Gas turbines Natural gas 22 Leased for two

years

Six locations Diesel Diesel 34 (effective

capacity)

TANESCO

In Tanzania, rural electrification encompasses electrification of the district headquarters, townships,

villages and commercial centres. The government views rural electrification as a key input in en-

hancement of growth and economic development of the country and addresses this in the framework

of poverty reduction. The present level of rural electrification is an outcome of the policies adapted by

colonial and early post independence governments rather than the present day policy.

Geographically, the hydro power potentials of Tanzania are located in the Rift Valley escarpments in

the West, Southwest and Northeast regions of Tanzania. Most potential sites are in remote rural loca-

tions where the national grid does not extend, so most of these sites would be best utilised as isolated

rural electrification projects. The main electricity demand is coming from the capital, Dar es Salaam,

and the Northeast of Tanzania, where the level of rural electrification exceeds 10 %. The rest of the

country is between 2 % and 10 % (Figure 1). Almost all regions where level of electrification exceeds

5 % are connected to the national grid (Figure 2).

Figure 1: Percentage of Households with Access to Electricity in Tanzania

Source: TNBS 2002


1.3 Local Capacities

Micro-hydro inventory studies have been carried out by TANESCO, and financed by the Ministry of

Energy and Minerals (MEM). A total of 85 small-hydro sites countrywide have been identified with a

total of 187 MW capacity. The study comprised of both desk and field work. Another study that fo-

cused on micro-hydro potential was the Rural Electrification Master Plan study that was commis-

sioned by MEM and implemented by TANESCO. The study was carried out to help find low cost solu-

tions of supplying electricity to un-electrified areas and priority projects for the expansion of the elec-

trical networks.

Beyond the initial assessment of potential sites, there is a scarcity in skills for project development,

implementation and procurement.

2 Market Potentials

2.1 Overall Sector Outlook

2.1.1 Grid connected market

The level of electrification in Tanzania is comparatively small by African and world standards. Electric-

ity consumption per capita in Tanzania is estimated at 85 kWh. This is rather low compared to the

Sub-Africa average of 432 kWh for year 2000 (World Bank 2003). It is estimated that the annual

growth in demand will rise at a rate of 10 %. The access to electricity in urban areas is estimated to be

37 % whereas in rural areas to be 2 %. On average only 10 % of the country’s population have ac-

cess to electricity.

The installed generation capacity connected to the power grid is 997 MW. Tanzania has an area of

954,000 km2 and has a 220 kV transmission network covering 2248 km. It also has 1400 km coverage

of 132 kV transmission lines. There are about 55 isolated and mini-hydro electric generators which

have a capacity of generating 23 MW supplying 135 km of areas not connected to the grid.


Figure 2: Tanzanian National Grid System

Source: GENI 2009

Over the next ten years, the electrical demand is forecasted to double and then increase even further.

Tanzania will therefore have to source for new capacities.

Table 4: Power Generation High Forecast

GWh 1998 2010 2025

Consumption 1,822.4 5,565.2 12,282.3

Net Generation 2,092.3 6,000.7 14,006.9

Peak (MW) 367.5 1,104.2 2537.0

The government is set to diversify the generation technologies connected to the grid so as not to re-

peat the drought faced in 2007.

2.1.2 Rural / off-grid Market

Extending the grid to many parts of Tanzania is not economically viable and, in some cases, practi-

cally impossible. This means 90 % of the population have inadequate supply energy for basic needs

such as cooking and lighting. Many rural health clinics, schools and community centers are not con-

nected to the grid. This hinders social and economic development of the rural population.


The history of small-hydro power development in Tanzania dates back to the colonial period. Cur-

rently, most of the small hydro power systems are privately owned or/and run by missionaries. The

plants were developed to supply power to specific communities like religious centres. Table 6 lists

existing small-hydro power plants.

Table 5: Existing Hydro Power Plants in Tanzania

Location Turbine type/manufacturer Installed capacity

(kw)

Ownership: TANESCO

Tosamaganga (Iringa) Gilkes & Gordon/Francis 1220

Kikuletwa (Moshi) Boving & Voith Reaction 1160

Mbalizi Gilkes & Gordon/Francis 340

Ownership: MISSIONS

Kitai (Songea) Gross Flow/Ossberger 45

Nyagao (Lindi) N/A 15.8

Isoko (Tukuyu) N/A 15.5

Uwemba (Njombe) N/A 800

Bulongwa (Njombe) N/A 180.0

Kaengesa (S’wanga) N/A 44.0

Rungwe (Tukuyu) N/A 21.2

Nyangao (Lindi) N/A 38.8

Peramiho (Songea) N/A 34.6

Isoko (Tukuyu) N/A 7.3

Ndanda (Lindi) N/A 14.4

Ngaresero (Arusha) Gilbsk 15.0

Sakare (Soni) Geiselbrecht 6.3

Mabarari (Mbeya) Chinese 700.0

Ndolage (Bukoba) B. Maler 55.0

Ikonda (Njombe) CMTIP 40.0

2.2 Undeveloped Market Opportunities

Generally, the micro-hydro market in Tanzania is highly underdeveloped. Interested parties have the

option of becoming independent power producers (IPP) or independent power distributors (IPD).

This is a market for those interested to generate their own electricity, for their own use or for a specific

client, and thereby often replace diesel generated electricity. These can either be represented as indi-

vidual entrepreneurs or communities and are usually supported with government subsidies through

the Rural Electrification Agency (REA).


A large number of social institutions and enterprises need electricity for own use. In cases where the

generated capacity is more than what the main clients consume, these may sell some into the com-

munity and thereby become IPD as well.

There have been detailed studies carried out on site surveys of potential small hydro sites. Most of the

studies have been carried out by the Tanzanian Government with funding from African Development

Bank and World Bank.

More than 85 mini-hydro power sites with a total potential of about 187 MW have been identified

through different studies. Table 5 lists mini-hydro power potential sites and Figure 4 shows the loca-

tion of potential sites. The limitation in the geographical potential is that it is site specific and further

studies (technical and economical) have to be carried out to determine the potential at each site. Fur-

ther to that, this is linked to the economic potential because different geographical sites have different

economic levels. These studied can be found in the Rural Master Plan (2005) and the Tanzania Rural

Electrification Study (Assessment Report No. 2, 2004).

Table 6: Location of Identified Mirco-Hydro Power Sites

No. River name Location (Region) Head in

metres

Installed

capacity (kW)

Firm

capacity

(kW)

Average

flow rate

(m3/s)

1 Yungu River Mbinga District (Ruvuma) 20 90 80 0.5

2 Mbawa River Mbinga District (Ruvuma) 200 1,800 1,600 1

3 Luwika River Mbinga District (Ruvuma) 200 1,400 1,200 0.8

4 Luaita River Mbinga District (Ruvuma) 30 1.90 145 0.6

5 Upper Ruvuma River Ruvuma 20 2,000 1,500 6

6 Hanga River Songea District (Ruvuma) 40 550 420 5.2

7 Lilondo River

(Mahanje Mission)

Lingatunda waterfall (Ru-

vuma)

150 1,400 1,100 0.75

8 Kibwaka River

(Mhangazi River)

Njombe (Iringa) 50 5,100 4,000 35

9 Malisa River Njombe (Iringa) 75 1,250 1100 6

10 Mbaka River Kyela (Mbeya) 200-300 8,000 4-6 2.5

11 Kiwira River Kyela (Mbeya) 285 25,000 18 15.7

12 Songwe River (Lake

river)

Rukwa 20 1,000 15.7GWh 10.6

13 Lupa River Chunya (Mbeya) 50 2,800 280 15.7

14 Lukwate River Chunya (Mbeya) 60 900 1.8

15 Wuku River Chunya (Sumbawanga) 80 2,500 2,000 3

16 Yeye River 90 2,500 1,900 2.5

17 Rungwa River 108 50 9 35

18 Lukima River 120 4,000 3,000 4

19 Msadia/Mfwizi River 120 25,000 215GWh 18

20 Mtozi River 40 2,400 1,700 12

21 Mbede River 50 1,240 1,080 0.3

22 Mamba River 50 155 135 0.1

23 Filongo River 150 415 360 0.3

24 Mpete River 200 55,000 48,000 0.03

25 Chulu River Rukwa 300 850 720 0.3


26 Kirambo River 300 280 240 0.1

27 Muse River 200 520 450 0.2

28 Luiche River 200 1,100 800 0.5

29 Msofwe River 500 4,500 3,200 0.95

30 Milepa River Rukwa 450 0.2

31 MBA River Rukwa 300 1,000 770 0.55

32 Kilemba River Sumbawanga (Rukwa) 300 270 230 0.95

33 Kalambo River Sumbawanga (Rukwa) 430 80,000 58,000 30

34 Kawa River Rukwa 200 2,000 1,700 2.7

35 Luamfi River Rukwa 40 1,200 1,000 9

36 Mtambo River Mpanda (Rukwa) 40 2,400 1,700 8

37 Luegele River Mpanda (Rukwa) 175 15,000 11,000 15

38 Ruchugi river Kigoma River 20 1,000 859 30

39 Mkuti River Kigoma River 23 630 420 3.3

40 Himo l and ll Kilimanjaro (Moshi) 945 190 3.3

41 Kihurio SHP l & ll Seseni River, Same Dis-

trict, Kilimanjaro

1,740 260 3.3

42 Ndungu Goma River – Same (Kili-

manjaro)

1,740 260 3.3

43 Bombo/Gonja Higilili River – Tanga

(Tanga)

0.64

44 Mto wa Simba Mto wa Mbu (Arusha) 210 2.4

45 Mbulu SHP Mbulu (Arusha) 450 8,100 1.75

46 Pinying river Loliondo (Arusha) 450 221 0.9

47 Njombe Falls Njombe (Iringa) 2,000 5.6

48 Kifunga Falls Njombe (Iringa) 3,600 16

49 Hagafiro River Njombe (Iringa) 5,000

50 Kasongenye SHP Biharamulo (Kagera) 420 840 1.0

51 Kaonjuba SHP Kamwana River – Muleba

(Kagera)

90 800 200 1.2

52 Malagarasi SHP (Kigoma) 80 7,600 16.0

53 Uvinza Ruchugi River (Kigoma) 1,000 850 30

54 Nzovwe SHP Sumbawanga (Rukwa) 3,000 460 0.33

55 Nakatuta SHP Songea (Ruvuma) 30 7,500 2,100 61

56 Hainu River SHP Mbulu Babati (Arusha) 100 3,.520 0.48


Figure 3 shows the locations of the small-hydro power sites which have been identified.

Figure 3: Locations on Small-Hydro Power Sites

Another study, the Rural Electrification Master Plan, commissioned by MEM and implemented by

TANESCO was to identify low cost solutions of supplying electricity to un-electrified areas and priority

projects for the expansion of the electrical networks. The five potential small hydropower projects ap-

praised in the study are listed in Table 7.

Table 7: Small-Scale Hydro Sites Appraised for Development in Rural Master Plan Study (2005)

Potential Location Potential capacity (MW)

Pinyinyi Hydropower potential Ngorongoro District , Arusha 0.45

Nzovwe Hydropower potential Sumbawanga Rural District, Rukwa 3.0

Malagarasi (Igamba Falls Stage II)

potential

Kigoma Rural District 8.0

Sunda Falls Hydropower potential Tunduru District, Ruvuma 3.0

Nakatuta Hydropower potential Lower Nakatuta, Songea Rural Dis-

trict

10.0


3 Small-Hydro-Specific Regulation and Framework

3.1 Policies and Regulations

The National Energy policy of Tanzania was adopted in 2003 and replaced the previous energy policy

from 1992. The main goal of the policy is to improve the welfare and living standards of Tanzanians.

The objective of the national policy with regard to development of the energy sector is:

To provide input in the development process of the country by establishing a reliable and effi-

cient energy production, procurement, transportation, distribution and end use systems in an

environmentally sound manner and with regard to gender issues (Energy Sector Policy Over-

view paper, 2006).

The energy policy with respect to rural energy stipulates the following development areas:

To support research and development into rural energy;

To promote alternative energy sources, other than wood fuels, in order to reduce deforesta-

tion, indoor health hazards and time spent by women collecting firewood;

To promote entrepreneurship and private initiatives in the production and marketing of prod-

ucts and services of renewable energy;

To ensure continued electrification of rural economic centres and make electricity accessible

and affordable;

The Tanzania Development Vision 2025 has envisioned a high quality livelihood for all Tanzanians.

One of the ways of achieving high quality livelihood is by alleviating poverty, social development and

environmental conservation objectives. Rural electrification has an objective of conservation of the

environment to avoid deforestation, climate change, air pollution both indoor and outdoor and land

degradation.

Several institutions involved in the development of renewable energy projects for power generation

are listed below:

The Ministry of Energy and Minerals (MEM) is responsible for the whole energy sector in-

cluding the development of renewable energy sources, in which small hydropower belong.

MEM is also responsible for initiating legislation in the energy sector.

The Tanzania Electric Supply Company Limited (TANESCO) is a government owned utility

company. TANESCO is responsible for generation, transmission and distribution of electricity

in Tanzania. It is also responsible for publishing standardized tariffs for renewable energy

generation.

The Rural Energy Agency (REA) is responsible for promoting new investments in modern

energy for rural areas throughout Tanzania. It will collaborate with key service-sector institu-

tions and ministries responsible for improving rural services such as energy.

The Rural Energy Fund (REF) is the repository of financial resources for communities, com-

panies, local governments and any investors in modern energy services.

The Energy and Water Utilities Regulatory Authority (EWURA) is responsible for delivery

of energy and water services through world class regulation for the enhancement of the wel-

fare of the Tanzanian people.

The Centre for Sustainable Modern Energy Initiatives (TaTEDO) is a development NGO

based in Dar es Salaam, Tanzania. Its goals are to improve quality of life of Tanzanians by


contributing to availability of improved and sustainable modern energy services, employment

and income generating activities (for poverty reduction), reduce environmental degradation

and reducing the country’s dependence on imported energy.

The above mentioned institutions - except for TaTEDO - are government owned. The Government of

Tanzania through MEM is establishing a framework for development of small power projects genera-

tion through renewable energy sources. This move is expected to accelerate and promote develop-

ment and operation of small power projects among local and foreign private companies. The frame-

work is being developed pursuant to the Electricity Act, 2008. It includes the introduction of the Stan-

dardised Power Purchase Agreement and Standard Tariff Methodology, which is applicable between

developer and buyer. Eligible small power projects are those capacities ranging from 100 kW to 10

MW and utilising renewable energy sources. Full details of the Standardised Small Power Purchase

Agreement (SPPA), Standardised Tariff Methodology and detailed tariff calculations can be found on

EWURA’s website (www.ewura.go.tz/sppselectricity.htm).

The EWURA website also provides information on various Acts such as the Electricity Act and regula-

tions.

3.2 Applicable Public Sector Support and Financing Mechanisms

The Rural Energy Agency (REA), as an institute, will facilitate the development of rural energy pro-

jects. The projects will be owned and implemented by the private sector, NGOs and Community

Based Organisations. The Rural Electrification Fund (REF) is an instrument used to stimulate devel-

opment of rural energy projects. It provides capital subsidies to bring down the cost of energy services

and also reduce the risk to project developers.

So far, the main sources of financial support for rural electrification have been development partners

(World Bank, UNIDO, SIDA, etc.). According to the United States Energy Information Administration,

in July 1999 Tanzania announced attractive financial terms for potential investors in developing its

vast renewable energy resources. It has simplified procedures for investing in solar, wind and micro-

hydro projects including a 100 % depreciation allowance in the first year of operation, exemption from

excise duty and sales tax and concessionary customs duty on the first import of materials used in re-

newable energy projects.


4 Business Partners and Competitors

The known project developers are listed in Table 8 below.

Table 8: Service Providers

Type Name Address Contact details.

Development

Organisation

United Nations Industrial

Development Organisa-

tions (UNIDO)

P.O.Box 9182

Plot 134 – 140

Kingsway

Mafinga street (Off

Kinondoni Road), Dar

es Salaam

(+255) (0) 22 2199264


Internet:

http://www.unido.org/office/tanzania

Small Industries Devel-

opment Organisation

(SIDO)

P.O.Box 2476

Dar es Salaam

Tel: (+255) (0) 22 2151948


Consulting

Companies

Snowy Mountains Engi-

neering Corporation

(SMEC)

Plot No. 314B

Msasani Village

Dar es Salaam

Tel: (+255) (0) 22 260 1596-7,

22 266 6625


International Network on

Small Hydro Power

(INSHP)

Prof. Dr. Liu Heng


Internet: www.inshp.org

Government

organisations

Tanzania Electric Supply

Company (TANESCO)

Internet: http://www.tanesco.com/

The Energy and Water

Utilities Regulatory Au-

thority (EWURA)

P.O. Box 72175

6th Floor, Harbour

View Towers

Samora Avenue

Dar es Salaam

Tel: (+255) (0) 22 212 3850/3/4/6

Internet: www.ewura.go.tz

Ministry of Energy and

Minerals (MEM)

P.O. Box 9153,

Dar es Salaam.

Tel: (+255) (0)22 2452035

Fax: (+255) (0)22 2452037

Email [email protected]

Internet: www.mem.go.tz

Rural Energy Agency

(REA) and Rural Energy

Fund (REF)

TAC Associates

Building, 3rd Floor

114 Malik Road,

Upanga

P. O. Box 7990

Dar es Salaam

(+255) (0) 22 213 4006

(+255) (0) 22 213 4334/6/8


Internet: www.rea.go.tz

TANESCO has been the main developer with the aid of development organisations and NGOs. Since

the colonial time, no private investor/developer has implemented the underused mirco-hydro technol-

ogy.

http://www.tanesco.com/

http://www.mem.go.tz/

mailto:[email protected]?subject=FROM%20WEB%20FEEDBACK%20&%20CONTACT%20US

http://www.rea.go.tz/


4.1 Small-Hydro Projects Overview

As of yet, not much attention has been accorded to small sites that potentially have a generation po-

tential between 10 to 100 kW. Some of the hydro power projects being considered by the Government

of Tanzania are rehabilitation projects. For example, the Tosamaganga hydro plant is in need of re-

furbishment to commence its operation once again.

Currently, there is only one new project in addition to the aforementioned established hydropower

schemes:

Table 9: Licensed Small-Hydro Project Developers

Project developer Project and

location

Project brief Capacity

(kW)

Status

UNIDO Kinko Village,

Lushoto, tanga Re-

gion

Provide electricity for lighting to

approximately 85 households and

for productive businesses such as

grain milling, ICT centre, etc.

9 Operational


References

Arvidson, A. & Nordstrom, M. ENABLE Tanzania: Energy Sector Policy Overview Paper. Sep-

tember 2006.

GENI: Map of Tanzanian Electricity Grid,

http://www.geni.org/globalenergy/library/national_energy_grid/tanzania/tanzaniannationalelectricit

ygrid.shtml, Oktober 2009

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tanzania`s small-hydro energy market

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