Review of Power System Master Plan 2012 in the United Republic of Tanzania

Total Page:16

File Type:pdf, Size:1020Kb

Review of Power System Master Plan 2012 in the United Republic of Tanzania Ministry of Energy and Minerals Tanzania Electric Supply Company Ltd. (TANESCO) The United Republic of Tanzania FINAL REPORT ON THE PROJECT FOR FORMULATION OF POWER SYSTEM MASTER PLAN IN DAR ES SALAAM AND COAST REGIONS AND REVIEW OF POWER SYSTEM MASTER PLAN 2012 IN THE UNITED REPUBLIC OF TANZANIA REVIEW OF POWER SYSTEM MASTER PLAN 2012 MARCH 2017 JAPAN INTERNATIONAL COOPERATION AGENCY (JICA) IL YACHIYO ENGINEERING CO., LTD. JR 17-022 Contents Contents List of Figures & Tables Abbreviations Chapter 1 Introduction....................................................................................................................... 1-1 1.1 Background .................................................................................................................................. 1-1 1.2 Contents of the survey and target area ......................................................................................... 1-3 1.3 Schedule and work flow ............................................................................................................... 1-3 1.4 Project implementation setup ....................................................................................................... 1-5 Chapter 2 Tanzania’s Economy ......................................................................................................... 2-1 2.1 Population and Labor .................................................................................................................... 2-1 2.1.1 Population ............................................................................................................................... 2-1 2.1.2 Labor Statistics ........................................................................................................................ 2-1 2.2 Macro-economic Performance ...................................................................................................... 2-4 2.2.1 Economic growth trends ......................................................................................................... 2-4 2.2.2 GDP per capita ........................................................................................................................ 2-5 2.3 Infrastructure and Production Activities ....................................................................................... 2-7 2.3.1 Infrastructure ........................................................................................................................... 2-7 2.3.2 Production Activities ............................................................................................................... 2-11 2.4 Middle and Long term economic plan .......................................................................................... 2-13 2.4.1 Tanzania Development Vision (TDV) 2025 ........................................................................... 2-13 2.4.2 Five Year Development Plan .................................................................................................. 2-14 2.5 Recent Economic Prospects .......................................................................................................... 2-16 2.5.1 Recent economic climate from 2012 to 2015 .......................................................................... 2-16 2.5.2 Outlook short to medium term prospects ................................................................................ 2-16 Chapter 3 Policy and Organization of the Energy/Electricity Sector ................................................. 3-1 3.1 Energy and Electricity Policy ........................................................................................................ 3-1 3.1.1 Electricity Supply System ....................................................................................................... 3-1 3.1.2 Energy and Electricity Policy .................................................................................................. 3-4 3.2 Organization and Functions of Electricity Sector ......................................................................... 3 - 7 3.2.1 Ministry of Energy and Minerals ............................................................................................ 3-7 3.2.2 TANESCO .............................................................................................................................. 3-8 3.3 Principal Activities of TANESCO ................................................................................................ 3-10 3.3.1 Operating Performance ........................................................................................................... 3-10 3.3.2 Projects implemented during 18 month to 30th June 2015 ..................................................... 3-10 3.3.3 Transmission/Distribution Loss .............................................................................................. 3-12 3.3.4 Number of Customer and Customer/Staff Ratio ..................................................................... 3-13 3.4 Electricity Sector Industry Reform ................................................................................................ 3-13 3.4.1 Electricity Supply Reform Strategy ........................................................................................ 3-13 3.4.2 Optional Models ...................................................................................................................... 3-14 3.4.3 Roadmap ................................................................................................................................. 3-16 3.4.4 Immediate Action and Required Budget ................................................................................. 3-19 3.4.5 Challenges To Be Overcome .................................................................................................. 3-19 Chapter 4 Energy Demand ................................................................................................................. 4-1 4.1 Energy balance .............................................................................................................................. 4-1 4.1.1 Energy balance features in Tanzania ....................................................................................... 4-1 4.1.2 Energy consumption structure ................................................................................................. 4-1 4.2 Energy demand trends by energy .................................................................................................. 4-4 4.2.1 Coal and coal products demand .............................................................................................. 4-4 4.2.2 Natural gas .............................................................................................................................. 4-4 4.2.3 Gasoline and Diesel ................................................................................................................. 4-5 4.2.4 Kerosene .................................................................................................................................. 4-5 4.2.5 Fuel oil .................................................................................................................................... 4-6 4.2.6 LPG ......................................................................................................................................... 4-6 4.2.7 Woods and Charcoal ............................................................................................................... 4-7 4.3 Energy demand by sector .............................................................................................................. 4-9 4.4 International comparison for energy demand ................................................................................ 4-10 Chapter 5 Energy Resources for Power Generation ........................................................................... 5-1 5.1 Overview of Energy Supply .......................................................................................................... 5-1 5.2 Natural Gas .................................................................................................................................... 5-4 5.2.1 Shallow Water and Onshore Gas fields ................................................................................... 5 - 5 5.2.2 Deepwater Gas fields .............................................................................................................. 5-9 5.2.3 Outlook of Natural Gas Supply ............................................................................................... 5-10 5.3 Coal ............................................................................................................................................... 5-15 5.4 Renewable energy ......................................................................................................................... 5-20 5.4.1 National Development ............................................................................................................ 5-20 5.4.2 Renewable energy potential and development status .............................................................. 5-21 5.4.2.1 Hydropower .................................................................................................................... 5-22 5.4.2.2 Small hydropower ........................................................................................................... 5-22 5.4.2.3 Geothermal
Recommended publications
  • World Bank Document
    CA. 7h?F Document of The World Bank FOR OFFICIAL USE ONLY Public Disclosure Authorized Report No. P-3547-TA REPORT AND RECOMMENDATION OF THE PRESIDENT OF THE INTERNATIONAL DEVELOPMENT ASSOCIATION TO THE EXECUTIVE DIRECTORS Public Disclosure Authorized ON A PROPOSED DEVELOPMENT CREDIT OF SDR 5.9 MILLION (AN AMOUNT EQUIVALENT TO US$6.3 MILLION) TO THE UNITED REPUBLIC OF TANZANIA Public Disclosure Authorized FOR A COAL ENGINEERING PROJECT .May 2, 1983 Public Disclosure Authorized This document has a restricted distribution and may be used by recipients only in the performance of their official duties. Its contents may not otherwise be disclosed without World Bank authorization. CURRENCY EQUIVALENTS Currency Unit = Tanzania Shilling (TSh) TSh 1.00 = US$0.11 US$1.00 = TSh 9.40 US$1.00 = SDR 0.927 (As the Tanzania Shilling is officially valued in relation to a basket of the currencies of Tanzania's trading partners, the USDollar/Tanzania Shilling exchange rate is subject to change. Conversions in this report were made at US$1.00 to TSh 9.40 which was the level set in the most recent exchange rate adjustment in March 1982. The USDollar/SDR exchange rate used in this report is that of March 31, 1983.) ABBREVTATIONS AND ACRONYMS CDC - Colonial (now Commonwealth) Development Corporation MOM - Ministry of Minerals MWE - Ministry of Water and Energy STAMICO - State Mining Corporation TANESCO - Tanzania Electric Supply Company TPDC - Tanzania Petroleum Development Corporation toe - tonnes of oil equivalent tpy - tonnes per year FISCAL YEAR Government - July 1 to June 30 TrANZANIA FOR OFFICIAL USE ONLY Coal Engineering Project Credit and Project Summary Borrower: United Republic of Tanzania Beneficiary: Ministry of Minerals (MOM) and State, Mining Corporation (STAMICO) Amount: SDR 5.9 million (US$6.3 million equivalent) Terms: Standard Project Description: The project would support Government efforts ro evaluate the economic potential of the indigenous coal resources of Tanzania.
    [Show full text]
  • Final Energy Report Tanzania
    Final Energy report Tanzania Commissioned by the Netherlands Enterprise Agency Report Tanzania Author: Kees Mokveld & Steven von Eije (RVO.nl) Date: 30-7-2018 Version: 6 (final) RVO 1. Tanzania general overview ...................................................................................................... 2 2. Energy overview ....................................................................................................................... 3 3. Renewable energy ................................................................................................................... 6 4. Energy efficiency ...................................................................................................................... 9 5. Governmental framework ..................................................................................................... 11 6. Regulatory framework ........................................................................................................... 14 7. Access to finance.................................................................................................................... 16 8. Opportunities and barriers for Dutch renewable energy companies in Tanzania ................ 18 9. Dutch companies active in Tanzania ...................................................................................... 22 10. Relevant Dutch support schemes .......................................................................................... 23 11. Relevant international donors ..............................................................................................
    [Show full text]
  • Revisiting Public-Private Partnerships in the Power Sector
    Public Disclosure Authorized Public Disclosure Authorized Public Disclosure Authorized Public Disclosure Authorized Revisiting Public-Private Partnerships in the Power Sector A WORLD BANK STUDY Revisiting Public-Private Partnerships in the Power Sector Maria Vagliasindi Washington, D.C. © 2013 International Bank for Reconstruction and Development / The World Bank 1818 H Street NW, Washington DC 20433 Telephone: 202-473-1000; Internet: www.worldbank.org Some rights reserved 1 2 3 4 16 15 14 13 World Bank Studies are published to communicate the results of the Bank’s work to the development community with the least possible delay. The manuscript of this paper therefore has not been prepared in accordance with the procedures appropriate to formally edited texts. This work is a product of the staff of The World Bank with external contributions. Note that The World Bank does not necessarily own each component of the content included in the work. The World Bank therefore does not warrant that the use of the content contained in the work will not infringe on the rights of third parties. The risk of claims resulting from such infringement rests solely with you. The findings, interpretations, and conclusions expressed in this work do not necessarily reflect the views of The World Bank, its Board of Executive Directors, or the governments they represent. The World Bank does not guarantee the accuracy of the data included in this work. The boundaries, colors, denomina- tions, and other information shown on any map in this work do not imply any judgment on the part of The World Bank concerning the legal status of any territory or the endorsement or acceptance of such boundaries.
    [Show full text]
  • Lake Tanganyika Strategic Action Programme
    ,,,,/ The Strategic Action Programme for the Protection of Biodiversity and Sustainable Management of the Natural Resources of Lake Tanganyika and its Basin November 2010 1 Page for Signature 2 Contents ACKNOWLEDGMENTS ............................................................................................................................. 5 FOREWORD ............................................................................................................................................. 6 EXECUTIVE SUMMARY ............................................................................................................................. 8 ABBREVIATIONS AND ACRONYMS .......................................................................................................... 9 GLOSSARY OF TERMS ............................................................................................................................ 12 1 INTRODUCTION .................................................................................................................. 15 1.1 NEED FOR JOINT ACTION - SHARED RESOURCES IN LAKE TANGANYIKA AND ITS BASIN ............................ 15 1.1.1 The Lake Tanganyika and its Basin .................................................................................. 15 1.1.2 The People ....................................................................................................................... 16 1.1.3 Causes of Threats to Biodiversity and Sustainable Use of Natural Resources in the Lake Basin 18 1.1.4 Previous Projects
    [Show full text]
  • Lake Tanganyika Biodiversity Project Projet Sur La Biodiversité Du Lac Tanganyika
    Lake Tanganyika Biodiversity Project Projet sur la Biodiversité du Lac Tanganyika Lake Tanganyika: Results and Experiences of the UNDP/GEF Conservation Initiative (RAF/92/G32) in Burundi, D.R. Congo, Tanzania, and Zambia prepared by Kelly West 28 February 2001 TABLE of CONTENTS ACRONYMS 08 CHAPTER 1. INTRODUCTION to LAKE TANGANYIKA 11 1.1 Why is Lake Tanganyika Special? 11 1.1.1 Physiographic Considerations 11 1.1.2 Biological Considerations 12 1.1.3 Socio-Political Considerations 17 1.2 Threats to this Resource 19 1.2.1 Pollution 19 1.2.2 Sedimentation 20 1.2.3 Overfishing 21 1.2.4 People 22 CHAPTER 2. ORIGIN, STRUCTURE and EVOLUTION of LTBP 23 2.1 History 23 2.2 Project Objectives 25 2.3 Project Structure 25 2.4 Chronology of LTBP 28 CHAPTER 3. IMPLEMENTATION and OUTPUTS of LTBP 31 3.1 Capacity-Building and Training 31 3.1.1 Material Capacity Building 31 3.1.2 Human Capacity Building and Training 32 3.2 Technical Programmes 35 3.2.1 Biodiversity Special Study 35 3.2.1.1 Objectives and Strategy 35 3.2.1.2 Products 36 3.2.1.2.1 Methodology 37 3.2.1.2.2 Human Capacity 38 3.2.1.2.3 Databases 38 3.2.1.2.4 Biodiversity in Lake Tanganyika 39 Habitats 39 Lakewide Biodiversity Patterns 41 Biodiversity Patterns near PAs 41 3.2.2 Pollution Special Study 45 3.2.2.1 Objectives and Strategy 45 3.2.2.2 Products 46 3.2.2.2.1 Water Quality Studies 46 3.2.2.2.2 Industrial Pollution Inventory 47 Bujumbura, Burundi 48 2 Uvira, D.R.
    [Show full text]
  • PURPA and Solar by Robert Shapiro, in Washington
    April 2017 PURPA and Solar by Robert Shapiro, in Washington Solar developers are again using a 1978 federal law that requires utilities to sign long-term power purchase agreements to secure utility PPAs after years of disuse, but the recent track record of developers trying to use this statute is mixed. The law, called the Public Utility Regulatory Policies Act or PURPA, requires utilities to buy electricity from renewable energy projects of up to 80 megawatts in size at the “avoided cost” the utility would otherwise spend to purchase or generate the electricity itself. PURPA is expected to overtake state renewable portfolio standards as the biggest driver for utility-scale PPAs in 2017 due to falling solar electricity prices. Solar electricity can now be delivered at less than utility avoided costs in such states as North Carolina, Georgia, Utah and Oregon. Any developer planning to use PURPA should analyze first how likely it is to end up bat- tling with the utility before the state public utility commission and, if so, with what likeli- hood of success. Potentially Useful Tool For more than 10 years, renewable energy developers have relied on renewable portfolio standards, or RPS, created under state laws as the primary way to get a utility to enter into a long-term PPA that can support project financing. Twenty-nine states and the District of Columbia have RPS standards. However, as most of the state utilities in RPS states have signed / continued page 2 IN THIS ISSUE 1 PURPA and Solar 6 Emerging Storage A TAX EQUITY TRANSACTION was set aside on audit.
    [Show full text]
  • Intra Energy Corporation Limited (ABN 65 124 408 751)
    Intra Energy Corporation Limited (ABN 65 124 408 751) Annual Financial Report For the year ended 30 June 2019 Contents Page Corporate Directory 3 Chairman’s Report 4 Review of Operations 6 Directors’ Report 10 Remuneration Report 15 Auditor’s Independence Declaration 23 Directors’ Declaration 24 Independent Auditor’s Report 25 Consolidated Statement of Profit or Loss and Other Comprehensive Income 31 Consolidated Statement of Financial Position 32 Consolidated Statement of Cash Flows 33 Consolidated Statement of Changes in Equity 34 Notes to the Financial Statements 35 ASX Additional Information 73 Page 2 Corporate Directory DIRECTORS Graeme Robertson (Chairman) Troy Wilson (appointed 4 October 2017) Alan Fraser (appointed 24 August 2018) Marc Schwartz (appointed 31 July 2019) David Nolan (resigned 24 August 2018) James Shedd (Managing Director appointed 7 November 2018) COMPANY SECRETARY Rozanna Lee REGISTERED OFFICE - AUSTRALIA Level 40, 2 Park Street Sydney NSW 2000 Email: [email protected] REGISTERED OFFICE - TANZANIA Amverton Tower Plot No 1127 Chole Road, Masaki PO Box 23059 Dar es Salaam, Tanzania REGISTERED OFFICE - MALAWI Room number 15 Africana Complex City Centre Lilongwe, Malawi SHARE REGISTRY Link Market Service Limited Level 12, 680 George Street Sydney NSW 2000 Telephone: (02) 8280 7111 Facsimile: (02) 9287 0309 AUDITORS Hall Chadwick Level 40, 2 Park Street Sydney NSW 2000 Telephone: (02) 9263 2600 Facsimile: (02) 9263 2800 INTERNET ADDRESS www.intraenergycorp.com.au ABN 65 124 408 751 ASX CODE (IEC) Page 3 Chairman’s Report On behalf of the Board of Directors of Intra Energy Corporation Limited ("IEC", "Intra Energy" or "the Company"), it is my pleasure to present this summary of operations for this Annual Financial Report for 2019.
    [Show full text]
  • Occasional Paper 272 Occasional Paper
    POWER AND THE PRIVATE SECTOR IN TANZANIA: PROSPECTS FOR THE AFDB’s HIGH FIVES STRATEGY CYRIL PRINSLOO & TALITHA BERTELSMANN-SCOTT OCCASIONAL PAPER 272 OCCASIONAL PAPER NOVEMBER 2017 SOUTH AFRICAN INSTITUTE OF INTERNATIONAL AFFAIRS The South African Institute of International Affairs (SAIIA) has a long and proud record as South Africa’s premier research institute on international issues. It is an independent, non-government think tank whose key strategic objectives are to make effective input into public policy, and to encourage wider and more informed debate on international affairs, with particular emphasis on African issues and concerns. It is both a centre for research excellence and a home for stimulating public engagement. SAIIA’s occasional papers present topical, incisive analyses, offering a variety of perspectives on key policy issues in Africa and beyond. Core public policy research themes covered by SAIIA include good governance and democracy; economic policymaking; international security and peace; and new global challenges such as food security, global governance reform and the environment. Please consult our website www.saiia.org.za for further information about SAIIA’s work. ECONOMIC DIPLOMACY PROGRAMME SAIIA’s Economic Diplomacy (EDIP) Programme focuses on the position of Africa in the global economy, primarily at regional, but also at continental and multilateral levels. Trade and investment policies are critical for addressing the development challenges of Africa and achieving sustainable economic growth for the region. EDIP’s work is broadly divided into three streams. (1) Research on global economic governance in order to understand the broader impact on the region and identifying options for Africa in its participation in the international financial system.
    [Show full text]
  • Tanzania Has Tanzania Played a Key Support Role for Our Project Since Day 1
    “The Power Africa team in Tanzania has Tanzania played a key support role for our project since Day 1. From making introductions Population: 57.31 million to providing technical expertise they GDP Growth (2017): 7% have been reliable and valuable GDP/Cap (PPP): $879 partners for our business.” Tom Ease of Doing Business: 137 Carnahan. Owner, Wind Capital Group ENERGY SECTOR OVERVIEW Tanzania is the sixth-most populous country in sub-Saharan Africa; it connects six land-locked countries to the Indian Ocean; and, with the announcement of natural gas reserves, it presents opportunities for investment. Tanzania has abundant and world-class wind and solar resources. The Government of Tanzania (GOT) has committed to reform the operations of TANESCO (the national utility), and meet new demand through low-cost solutions. High reliance on expensive thermal and emergency generation sources have helped make the sector financially unviable. Tanzania has made progress in grid expansion, increasing generation capacity with natural gas, facilitating an enabling environment for solar home systems, and publishing of new standard Power Purchase Agreement for small producers 2017; but more progress is needed to provide adequate and reliable electricity. GENERATION CAPACITY CONNECTIONS Installed Capacity: 1,504 MW Current Access Rate: 32.7% . Hydroelectric: 568 MW . Thermal: 925 MW Households without Power: 7.7 . Other Renewables: 82.4 MW million . Target: Universal access by Power Africa New MW to date 2030 . Reached Financial Close: 162.5 MW Power Africa New Off-Grid Connections: 2.26 million Power Africa 2030 Pipeline 2,302 MW INVESTMENT AND ENABLING ENVIRONMENT Biggest Issues and Bottlenecks Power Africa Interventions 1.
    [Show full text]
  • Tanzania – Energy Development and Access Expansion
    THE UNITED REPUBLIC OF TANZANIA RURAL ENERGY AGENCY (REA) Rural Energy Agency and Innovation in Delivery of Modern Energy Services to Rural Areas Justina P. Uisso Rural Energy Agency Electrification status around the country Energy Situation in Tanzania Less than 15% of the country has energy access. In rural areas, energy access is about 2% Limited installed capacity – 1,000 MW Recurrent power shortages Rural energy consumption makes up to 85% of the national energy consumption (biomass) Per capita electricity consumption: 100 KWh (versus 500 KWh required for quality life) Abundant, but largely untapped renewable energy resources, which could be harnessed for power generation and access expansion About REA - the Rural Energy Agency REA is an autonomous body established under the Rural Energy Act of 2005 The Ministry of Energy and Minerals (MEM) oversees the activities of REA REA’s scope is to promote and facilitate improved access to modern energy services in rural areas REA is funded through government budgetary allocation, levy on electricity and Development Partners like the World Bank and Sida. REA often works as a facilitator to bring together project collaborators/champions, financing, and technical expertise to lead to innovation in service delivery. Rural Energy Agency as Facilitator PROJECT CHAMPIONS & COLLABORATORS RURAL INVESTORS & TECHNICAL ENERGY FINANCIAL EXPERTISE AGENCY/ ASSISTANCE & TRAINING FUND VIABLE RURAL ENERGY INVESTMENTS, PROJECTS AND VENTURES Current REA Programs Support grid extension projects Provide
    [Show full text]
  • Country Commercial Guide for U.S. Companies (2018)
    Tanzania 2018 1 2018 Country Commercial Guide for U.S. Companies Table of Contents Doing Business in Tanzania ............................................................................................................................... 5 Market Overview .......................................................................................................................................................... 5 Market Challenges ....................................................................................................................................................... 6 Market Opportunities ................................................................................................................................................. 6 Market Entry Strategy ................................................................................................................................................ 6 Political and Economic Environment ............................................................................................................. 8 Selling U.S. Products and Services ................................................................................................................... 9 Using an Agent to Sell US Products and Services ................................................................................................ 9 Establishing an Office .................................................................................................................................................. 9 Direct Marketing .........................................................................................................................................................
    [Show full text]
  • European Investment in Tanzania: How European Investment Contributes to Industrialisation and Development in Tanzania
    EU market study:EU market study 17/10/2016 11:54 Page 1 European Investment in Tanzania: How European investment contributes to industrialisation and development in Tanzania Funded by the European Union EU market study:EU market study 17/10/2016 11:54 Page 2 European Investment in Tanzania: How European investment contributes to industrialisation and development in Tanzania Funded by the European Commission Written by Ashley Elliot © European Commission, Dar es Salaam, 2016 The content of this publication does not reflect the official opinion of the European Commission. Responsibility for the information and views expressed in the publication lies entirely with the author. "EU" refers to the European Union, and "EU+SN" to the members of the European Union and the Economic Free Trade Area (EFTA), unless otherwise indicated. For further inquiries or clarifications please contact [email protected]. A project implemented by consortium led by POHL CONSULTING & ASSOCIATES GMBH EU market study:EU market study 17/10/2016 11:54 Page 3 European Investment in Tanzania: How European investment contributes to industrialisation and development in Tanzania Funded by the European Union EU market study:EU market study 17/10/2016 11:55 Page 4 European Investment in Tanzania: How European investment contributes to industrialisation and development in Tanzania Foreword by Ambassador Roeland van de Geer, Head of the Delegation of the European Union to Tanzania and the East African Community As the Government of Tanzania and international partners join forces to lift millions of Tanzanians out of poverty, the role of trade and investment in the fight against poverty is increasingly recognised.
    [Show full text]