Tanzania, Kenya to trade power in $309.26 million deal

Dar es Salaam. The government said on Saturday, February 3, 2024 that the Tanzania-Kenya power exchange deals were at the approval levels to enable the two countries to benefit with the constructed connectivity deal.

The government came a few days after the African Development Bank (AfDB) called on the partner countries to speed up the signing of three key agreements following the completion of the $309.26 million connectivity line.

The 507.5 kilometre line that runs from the Isinya substation to Arusha, through Namanga, has the capacity to transfer 2,000 megawatts.

In its latest review, AfDB, which is a major project financier, said the three deals were key to rolling out the regional power trade meant to boost electricity supply and cut reliance on the dirty and costly thermal power in the two countries.

“It is of significant importance that the afore-mentioned agreements are concluded as soon as possible to coincide with the completion and commissioning of the cross-border electricity infrastructure to pave the way for regional power trade,” AfDB says in the review.

However, speaking to The Citizen, Energy Ministry Permanent Secretary, Felchesmi Mramba shared that the said deals are subject to approval by government agencies.

“They include the ministry of Energy, the Energy and Water Utilities Regulatory Authority (Ewura) and the office of the Attorney General (AG),” he said, expressing hope that approval will be done soon.

He said the deals were the ones determining the flow of electricity from one country to another, despite the fact that both countries currently lacked the capability to trade electricity.

Tanzania has recently been forced to ration power in some parts of the country due to low hydro generation, highlighting the critical role of the line to the neighbouring country.

The line, whose construction started in 2015, will allow cross-border exchanges of cheap and cleaner surplus power from neighbouring countries in the Eastern Africa Power Pool countries.

Also read: TZ cuts power imports from Kenya by 67pc

Nations in the Eastern Africa Power Pool are Kenya, Tanzania, Uganda, the Republic of Sudan, South Sudan, Burundi, the Democratic Republic of Congo, Djibouti, Ethiopia, Egypt, Somalia, Rwanda and Libya.

“Tanzania will only be ready to trade electricity after the completion of the Julius Nyerere Hydropower Project (JNHP). Likewise, Kenya is incapable of trading electricity to its neighbours due to shortages they are facing,” he said.

What this power pool means to Tanzania

Speaking on the importance of the power pool to Tanzania, Mr Mramba said that it provides assurance of access to electricity from neighbouring countries with the surplus.

He said the pool also allows Tanzania to trade its excess power to neighbouring countries facing electricity shortage, emphasising the need for interconnection lines.

“Tanzania has constructed connection lines with Kenya, Rwanda, and Burundi. A 400 kilovolt connectivity line with Uganda will be constructed next fiscal year to replace the existing 132 kilovolt line,” he said.

“We are also constructing a 400 kilovolt line that will connect Tanzania with Zambia. Feasibility studies for the construction of connectivity lines with the Democratic Republic of Congo (DRC), Malawi and Mozambique has been completed,” he added.

He said the projects’ completion will enable Tanzania to have reliable access to power as well as trading the surplus for generation of foreign currency.

JNHPP update

Updating on the status of power generation at the JNHPP, Mr Mramba said thar most important tests have been completed, with technicians now carrying electrical tests.

“After undergoing automatic starting and shutting tests, engineers have now moved to testing the power generator slated to be completed in the middle of this month,” he said.

“They will then move to testing power entry in the national grid. Definitely, power from the first generator will enter the national grid at the end of February, with that of the second generator scheduled for the end of next month,” he added.

Furthermore, he said a significant amount of water has entered the JNHPP and Mtera Dam, expressing his hope that the power situation will resume to normalcy.

“We are thankful to Tanzanians for their patience during the difficult moment of power insufficiency. They will soon start witnessing the difference as the government increases efforts to strengthen electricity infrastructures to further improve power access in the country,” he said.