Africa | June 6, 2023

Tanzania’s 50 MW solar plant contract

Tanzania signs EPC contract with Sinohydro Corp for 50 MW solar plant

 

Tanzania’s 50 MW solar plant contract

Image for illustration purposes.

Tanzania, Kishapu: Tanzania signs EPC contract with Sinohydro Corp for 50 MW solar plant

Tanzania’s Ministry of Energy, through the Tanzania Electricity Organization (TANESCO), signed an engineering, procurement, and construction (EPC) contract with Chinese firm Sinohydro Corporation to construct the first phase of a 150 MW solar power project. The plant will be located in Kishapu, about 120 km from the capital Dodoma.

According to TANESCO’s Executive Director Maharage Chande, this first phase will comprise constructing a 50 MW solar PV plant, a 33/220 kV substation, and its subsequent connection to the existing Singida-Shinyanga 220 kV high voltage line. In the second phase, the remaining 100 MW will be deployed. The entire project cost is about $118 M.

In 2021, the Agence Française de Développement (AFD) agreed to provide Tanzania with a $140 million (€130 million) loan. These funds will finance the construction of the first phase of the plant as well as other transmission and distribution infrastructure upgrades.

According to the AFD, the other component will finance the transformation of TANESCO’s transmission network into a “smart grid”.

Mr. Chande notes that the first phase of the solar plant will cost about $46 M and will be completed in 12 months. When completed, this will be the second-largest solar PV plant in East Africa and Tanzania’s first grid-connected solar plant.

At the contract signing, the Minister for Energy, January Makamba, noted that the Solar Project’s implementation reflects the government’s effort to create a healthy electricity mix in the national grid. He added that to increase clean energy production further, the government is developing a new renewable energy policy that will promote investment in the sector.

Source: Energy & Utilities