DOCSLIB.ORG

Section 12 Case Study – Tanzania

Total Page：16

File Type：pdf, Size：1020Kb

Download full-text PDF Read full-text
Section 12 Case Study – Tanzania Section 12 Case study – Tanzania anzania’s renewable hybrid mini-grid market Today, Tanzania has 209 known mini-grids installed. took off in the early 2010s, earlier than else- With an aggregate capacity of 231,7MW, these proj- where in Sub-Saharan Africa, thanks primarily ects account for about 15 percent of the country’s Tto robust regulations and international assistance. total capacity of 1,461MW.17 Of these projects, al- However, weak implementation of policies, rule most one-third are either solar or solar hybrid mini- changes and ambiguity about the role mini-grids grids. On a per-MW basis, renewable mini-grids are play within the larger goal of improving energy ac- dwarfed by older hydro and diesel projects (Figure cess are making developers uncertain about the 105, Figure 106). market’s future. Market growth has slowed, however. Weak en- forcement of existing regulations plus rule chang- 12.1 Over view es have made players wary of developing new projects. Mixed signals from the government are Tanzania has one of the lowest electrification rates partly to blame. The Ministry of Energy and Min- in East Africa. At the end of 2018, one-third of the erals’ latest long-range electrification strategy general population, and only a quarter of the ru- emphasizes grid expansion and large generation ral population had access to power. The Tanzanian capacity building but leaves the role of mini-grids mini-grid market started developing earlier than somewhat ambiguous (Ministry of Energy and Min- others in Sub-Saharan Africa thanks to a well-de- erals, 2016). These factors might have contributed signed regulatory framework, along with financial to the slowdown in project development over the support from DFIs and donor agencies. past few years. Figure 105 Figure 106 Tanzania’s installed mini-grids, by projects Tanzania’s installed mini-grids, by capacity Number of mini-grids installed Cumulative capacity installed (MW) 200 250 175 200 150 Other Solar hybrid 125 Solar hybrid 150 Other 100 Biomass Solar 100 75 Diesel and/or HFO Biomass 50 Solar 50 Hydro 25 Hydro Diesel and/or HFO 0 0 2013 2015 2017 2019 2013 2015 2017 2019 Source: BloombergNEF, GIZ, Carbon Trust, CLUB-ER, World Re- source Institute, surveyed developers. Note: Operating projects 17 This excludes projects where either the operation year or project without a specified commissioning year are not included. status was not specified. 140 STATE OF THE GLOBAL MINI-GRIDS MARKET REPORT 2020 regulations in the power sector. It sets grid elec- 12.2 Distributed power tricity tariffs and fixed tariffs paid to SPPs, devel- market structure ops guidelines and oversees licensing. Tanzania’s Rural Energy Agency (REA) is the government’s Tanzania’s mainland power sector is dominated by dedicated organization for electricity access and the state-owned vertically integrated utility Tanza- manages the Rural Energy Fund (REF). The REF nia Electric Supply Company (Tanesco). Tanesco is funded by international donor agencies, DFIs owns most of the country’s bulk generation directly. and the government via the annual budget and In the distributed segment of the power-generation from commercial generation levies. It also pro- market, however, private companies hold sway. vides financing to fund rural energy projects in the form of: Tanzania’s Small Power Producers Framework policy defines any project 10MW or smaller in size as a small • Grants for feasibility studies up to USD 100,000 power producer (SPP). The framework allows electrici- or 80 percent of the study cost ty from mini-grids to be sold directly to consumers, or • Grants of USD 500 per household connection to to Tanesco if the central grid expands to where a mini- distribution grids or mini-grids, or a maximum of grid is operating. As of the end of 2018, there were 80 percent of the project’s transmission and dis- nine registered SPPs serving off-grid communities. tribution costs • Construction loans up to 85 percent for <3MW The Energy and Water Utilities Regulatory Author- generation projects (70 percent for projects ity (EWURA) oversees technical and economic greater than 3MW). Figure 107 Tanzania’s distributed power market structure Source: BloombergNEF. 141 STATE OF THE GLOBAL MINI-GRIDS MARKET REPORT 2020 announced it was constructing 11 more mini-grids 12.3 Current market to serve more than 80,000 Tanzanians. These were status commissioned in June 2019. The mini-grid market in Tanzania took off earlier than Devergy, a Tanzanian social energy utility, was in neighbouring countries. Favourable regulations founded in 2010 and began operating its first and rural electrification programmes have attracted mini-grid two years later. The company installed a diverse range of developers (Figure 108). The au- an adaptive DC mini-grid system to supply 60 to thors identified nine developers active in the market 400 households with electricity. It sets up local ki- with Jumeme and PowerGen as the two largest in osks where customers pay for use of electricity at terms of the number of mini-grids installed. daily, weekly or monthly rates via mobile money. As a complementary revenue stream and a way to After successfully developing projects in Kenya boost household consumption, customers can also and Zambia, PowerGen began installing mini-grids purchase DC-compatible and energy- efficient ap- in Tanzania in 2015. The organization will expand pliances from the kiosks. Devergy communicates its portfolio further with a project financing deal with its mini-grids through wireless Internet com- it secured with CrossBoundary Energy Access munication systems that enable remote monitoring (CBEA) and other financiers in July 2019. CBEA has and control down to the individual household and an agreement with the Renewable Energy Perfor- meter level (USAID, 2018). mance Platform (REPP), managed by Camco Clean Energy, to finance an initial debt investment of USD With both on-grid and off-grid projects throughout 5.5 million to build 60 mini-grids in Tanzania (Rocke- West and East Africa, German company Redavia feller Foundation, 2019). In August 2019, PowerGen rents solar hybrid mini-grid systems to household also acquired EON subsidiary Rafiki Power, which and commercial and industrial (C&I) customers. Af- has built eight mini-grids ranging from 5kW to ter a certain period and depending on the structure 50kW for customers in Tanzania. of the rental contract, customers have the option to own the system. Co-funded by the EU, solar hybrid mini-grid op- erator Jumeme aims to build 300 systems and The government has recently stepped back on serve 1 million people by 2022. In March 2019, it encouraging mini-grid development, and ap- Figure 108 Mini-grid developer landscape in Tanzania Source: BloombergNEF, company logos. 142 STATE OF THE GLOBAL MINI-GRIDS MARKET REPORT 2020 pears to be prioritizing grid expansion for elec- Rural electrification mechanism tricity access. This has led to uncertainty among developrs around how the government recog- The government designed its national electrifi- nizes the role of mini-grids in its rural electrifi- cation policy with international interventions in cation strategy, which has hindered growth and mind. Specifically, it developed the National Ru- may lead to stagnation in the coming years. Some ral Electrification Programme (NREP) to proceed developers the authors spoke to stated that they the country’s participation in the Scaling-Up may focus their efforts on expanding into other Renewable Energy Programme in Low Income countries in the region. Countries (SREP), administered by Climate Invest- ment Funds (CIF). 12.4 Policy and In 2016, the International Development Association regulations (IDA), CIF and other development partners com- bined to provide USD 467 million in loans, grants As of the end of 2018, Tanzania’s national electri- and direct aid to implement the Rural Electrification fication rate was 33 percent. In rural areas where Expansion Programme (REEP). The programme ad- two-thirds of the population resides, the rate was dresses three of the four electrification goals out- considerably lower at 23 percent (World Bank, lined in the NREP (Figure 109). As a result, it aims to n.d.). The Tanzanian government aims to have all connect 2.5 million rural households. REEP applied 12,268 villages in mainland Tanzania electrified a programme-for-results mechanism that links the through grid expansions or off-grid renewable disbursement of funds directly to the delivery of energy by 2021 (REA, 2017). This means that all defined results. public buildings, including schools, clinics and churches, will have access to electricity when the Results-based financing programmes target is met, but not necessarily households. Overall, Tanzania has established robust regula- The REA has established a number of results-based tions for mini-grids compared to other countries financing (RBF) programmes to assist mini-grids to in Sub-Saharan Africa. However, recent actions date. In its first programme, the REA disbursed USD have called the government’s commitment into 500 and USD 600 grants per new connection for a question with developers complaining of weak hydro mini-grid and a solar hybrid mini-grid respec- enforcement of regulations. tively under the Tanzania Energy Development and Figure 109 How Tanzania’s Rural Electrification Expansion Programme (REEP) builds off its National Rural Electrification Programme (NREP) Source: BloombergNEF, World Bank (2016). 143 STATE OF THE GLOBAL MINI-GRIDS MARKET REPORT 2020 Access Expansion Project (TEDAP) administered by Small Power Producer Framework the World Bank in FY2014/15.18 As a result, USD 2.3 million was awarded to three hydro mini-grids con- Tanzania defines an SPP as a generation facility be- necting over 4,600 customers. low 10MW that produces power from renewable or fossil sources, or has cogeneration, or is a hybrid sys- In 2016, the UK’s Department for International De- tem.
Load more

Recommended publications
  • 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]
  • 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]
  • United Republic of Tanzania
    United Republic of Tanzania POWER SYSTEM MASTER PLAN 2012 UPDATE Produced by: Ministry of Energy and Minerals May 2013 LIST OF ABBREVIATIONS AfDB African Development Bank BoT Bank of Tanzania CCM Chama Cha Mapinduzi COSS Cost of Service Study DSM Demand-side Management EAPMP East Africa Power Master Plan EEPCo Ethiopia Electric Power Company EPC Engineering, Procurement and Construction Contract ERT Energizing Rural Transformation ESKOM Electricity Supply Company (RSA) EWURA Energy and Water Utilities Regulatory Authority FYDP Five Years Development Plan GoT Government of the United Republic of Tanzania GWh Gigawatt-hours = 1,000,000,000 watt-hours GWh Gigawatt-hours = 1,000,000,000 watt-hours IDC Interest During Construction IPP Independent Power Producer IPTL Independent Power Tanzania Limited KPLC Kenya Power and Lighting Company kWh Kilowatt-hours = 1,000 watt-hours LTPP Long Term Plan Perspective MCA-T Millennium Challenge Account Tanzania MEM Ministry of Energy and Minerals MKUKUTA Mkakati wa Kukuza Uchumi na Kupunguza Umasikini Tanzania MKUZA Mkakati wa Kukuza Uchumi Zanzibar MoF Ministry of Finance MPEE Ministry of Planning, Economy and Empowerment MPIP Medium-Term Public Investment Plan MVA Mega Volt Ampere MVAr Mega Volt Ampere Reactive MW Megawatt = 1000,000 watts MWh Megawatt-hours = 1,000,000 watt-hours NBS National Bureau of Statistics NDC National Development Corporation NGO Non-Governmental Organisations POPC President‘s Office Planning Commission PPA Power Purchase Agreement i PPP Public Private Partnership PSMP Power System Master Plan R&D Research and Development REA Rural Energy Agency REB Rural Energy Board REF Rural Energy Fund SADC Southern African Development Community SAPP South African Power Pool SEZ Special Economic Zone SME Small and Medium Enterprises SNC SNC-Lavalin International Inc.
    [Show full text]
  • The Re-Organisation of Tanzania's Electricity Sector
    Energy January 2017 Briefing The re-organisation of Tanzania’s electricity sector Ever since the enactment of the Electricity Act 2008 (the Electricity Act), the Ministry of Energy and Minerals (Energy Ministry) has taken a series of measures to improve the performance of the electricity sector, including the adoption of the Electricity Supply Industry Reform Strategy and Roadmap 2014 – 2025 (ESIR), the National Energy Policy 2015 (the Energy Policy) and the Electricity (Market Re-organisation and Promotion of Competition) Regulations 2016 (the Electricity Sector Re-organisation Regulations). In this month’s energy briefing, we look at the key parts of these energy policies and laws to highlight the manner in which Tanzania’s electricity sector will be transformed (at least, in theory). Electricity Act The Electricity Act regulates electricity generation, transmission, distribution and supply activities in Tanzania. Part VIII of the Electricity Act is called the “Reorganisation of the Electricity Market” and it provides that the Minister for Energy and Minerals (the Energy Minister) may, in consultation with the Minister for Finance and Planning, restructure the electricity supply industry in order to: (a) foster competition for increased efficiency; (b) enhance development of private capital investment; and (c) promote regional electricity trading. The Energy Minister was obliged under Part VIII of the Electricity Act to publish an electricity sector re-organisation policy within one year from the Act’s commencement (1 April 2009). Despite this obligation, the ESIR was published in 2014. Part VIII of the Electricity Act further provides that the Energy and Water Utilities Regulatory Authority (EWURA) shall give effect to the policy published by the Energy Minister by: (a) preparing or amending market rules, grid codes, distribution codes and all other rules promulgated by it; (b) defining the types of persons that are eligible to enter into electricity supply agreements; and (c) de-regulating tariffs in the relevant sections of the electricity market.
    [Show full text]
  • Tanzania Electric Supply Company Limited
    TANZANIA ELECTRIC SUPPLY COMPANY LIMITED ENVIRONMENTAL IMPACT STATEMENT FOR PROPOSED MALAGARASI STAGE III 44.8MW HYDROPOWER PLANT AT IGAMBA FALLS ON THE MALAGARASI RIVER IN KAZURAMIMBA WARD, KIGOMA REGION FINAL REPORT Non-Technical Summary – English Version PROJECT PROPONENT: Tanzania Electric Supply Company LTD P.O. Box 9024 Dar Es Salaam Phone : +255 22 2451131 – 9 Fax : +255 22 2451206 Email: [email protected] CONSULTANT: Dr. Flora Ismail Tibazarwa ESBI Engineering & Facility Management Ltd P.O. Box 105810 Dar Es Salaam Phone : +255 22 2451738/1744 Fax : +255 22 2451748 Email : [email protected] SUBMITTED TO : National Environmental Management Council (NEMC) P.O. Box 63154 Dar Es Salaam Phone : + 255 22 2127817 Fax : + 255 22 2134603 Email : [email protected] October 2012 Malagarasi ESIA Non-Technical Summary 1. Non-Technical Summary 1.1 Introduction TANESCO is proposing to develop a new hydropower plant at Igamba Falls on the Malagarasi River, to serve Kigoma-Ujiji Municipality and the surrounding towns of Kasulu and Uvinza with an affordable and reliable supply of electricity. Earlier feasibility studies have indicated that there are three potential hydropower projects that could be undertaken in the Igamba Falls area. This description is for Stage III of the potential three-stage Igamba Falls development which is the most downstream dam site and hydro-power station (Figure 2). The power generated from the project will be distributed to a number of communities in western Tanzania with approximately 1.3 million persons with increased access to electricity. Recently TANESCO has preceded with a number of interconnecting transmission lines and Kigoma should be linked to the national grid by 2015.
    [Show full text]
  • Zanzibar Interconnector 132 Kv Submarine Cable in Tanzania
    B4.6 9th International Conference on Insulated Power Cables B4.6 Zanzibar Interconnector 132kV Submarine Cable in Tanzania Yoshiharu NAKAMURA, Masanori OTA, VISCAS Corporation, Japan, [email protected], [email protected] Robert DONAGHY, ESB International, Ireland, [email protected] ABSTRACT Zanzibar Island is located off Tanzania in East Africa in the Indian Ocean. This island recently experienced chronic electricity shortage because of aging of existing equipment. A new 132kV XLPE insulated submarine power cable interconnector was installed to improve power supply reliability and to deal with higher electricity demand in the future. A type test was performed to confirm the mechanical and electrical properties of the cable design. The cable laying work from Zanzibar Island to the mainland consisted of 37km length and maximum 60m water depth. The construction work was completed in March 2013. KEYWORDS Submarine cable, HVAC, Africa, XLPE cable, Installation, Interconnector INTRODUCTION Tanzania, located on the eastern coast of Africa, has a very low penetration of electricity with less than 15% of the population connected to the national grid. The lack of reliable power is a major constraint to economic growth in Figure 1: Interconnector map Tanzania. Significant efforts are underway to rehabilitate Tanzania’s out of date economic infrastructure and PROJECT BACKGROUND alleviate poverty with the help of international development funding through the Millennium Challenge Tanzania Electric Supply Company (TANESCO) and Corporation (MCC).
    [Show full text]
  • Tanazania Country Fact Sheet__04 22 15
    Tanzania Energy Sector Overview The Government of Tanzania’s (GOT’s) Big Results Now (BRN) initiative for 2016 aims to phase out high cost emergency power plants (EPP), increase generation capacity to 2,780 MW, reform the public utility’s (TANESCO’s) operations, and meet new demand through low-cost solutions, such as developing new gas resources and mini and off-grid renewable opportunities. Recent gas discoveries have quadrupled Tanzania’s known resources. A new gas pipeline, necessary for new gas generation from southern Tanzania to Dar es Salaam is under construction and scheduled for completion in late 2015. Tanzania has 1,226 MW of grid installed generation capacity to serve its population of over 47 million, and an additional 82 MW in isolated mini-grids. High reliance on expensive thermal and emergency generation sources that utilize diesel, heavy fuel oil or jet fuel have made the sector financially unviable. Tanzania has made progress by entering agreements with independent power producers, who bring know-how Sources: World Bank Databank, 2010; TANESCO Operations and technology, and establishing feed-in tariffs that Report, 2013; EWURA website; National Bureau of Statistics, 2011 provide many of the commercial terms that would otherwise delay negotiations on power purchase agreements (PPAs). The GOT is publicly committed to improving TANESCO’s viability through tariff reform allowing for full cost-recovery and operational improvements to the management of the utility. TANESCO’s received a 39% tariff rate increase from the regulator, EWURA, effective January 2014, increasing the average rate to 17 cents/kWh and the Electricity Supply Industry Reform Strategy and Roadmap was adopted by the GOT in June 2014.
    [Show full text]