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Wednesday 29 July 2015

RURAL ENERGY AGENCY PUSHES TO INCREASE POWER AVAILABILITY IN RURAL AREAS

The Rural Energy Agency (REA) is engaging the private sector and financial institutions to explore mutual beneficial ways of increasing access to modern energy services in rural areas.

Speaking in a meeting between REA, private sector and financial institutions, the energy agency’s Director General, Dr Lutengano Mwakahesya, said access to reliable energy services will enable rural people engage in productive socialeconomic activities that will improve their livelihoods.

Dr Mwakahesya said developing rural energy projects requires capital that will only be successful if government partners with the private sector and financial institutions, while creating mutual benefits for each other.

He noted that the government, private sector and the financial institutions will deliberate on the best way to achieve mutual benefits while assisting in bringing the desired rural social-economic transformation in the country.

The DG said implementing rural electrification projects began in 2007 where five district headquarters were connected to electricity; with 80 other small rural electrification projects being undertaken, all these at a cost of 27bn/-.

He stated that the Turnkey Phase-I which began in December 2011, involved 41 sub-projects that were implemented in 16 regions.

This involved construction of 1,825.5 kilometres of Medium Voltage (MV) power distribution lines; 1,043 kilometres of Low Voltage (LV) lines; installation of 443 distribution transformers and connection of 26,305 initial customers. “This project focused on electrifying social service centres like schools, health facilities and water pumping stations.

Through this project, seven district headquarters of Ngorongoro, Loliondo, Nkasi, Namtumbo, Rorya, Kibondo and Kasulu were electrified. The total cost of this phase was 129bn/-,” he explained.

In the Phase II of the same project, which started in October 2013 and is still on, 760 sub-projects in 24 regions of Tanzania mainland were implemented.

It involves construction of six substations of 11/33kV in Kigoma 5MVA, Kasulu 3MVA, Kibondo 3MVA, Ngara 3MVA, Mbinga 5MVA and Tunduma 3MVA.

“The project is being implemented in all regions of mainland Tanzania where 2,500 villagers will be connected to electricity in 133 districts.

It is estimated that 1.25 million prospective customers will be connected using infrastructure built under this project over the next five years,” he explained. Dr Mwakahesya said the total cost for the project until its completion is estimated to be 881bn/-.

The REA Board Chairman, Mr Edmond Mkwawa, said to that date the electricity agency has successfully connected 35 per cent of rural areas to electricity, surpassing the government goal.

Mr Mkwawa noted that REA has decided to involve the private sector and financial institutions in accessing opportunities available in partnering with the government in the rural electrification projects.

“We are discussing with the private sector and financial institutions, to have them participate and increase the speed of electrifying rural areas; the government cannot do this alone,” he explained.

He said that REA is educating stakeholders on opportunities they can benefit from while assisting the government implement energy projects in rural areas.

He said that with participation of the private sector and financial institutions the speed will increase resulting into the whole country connected to electricity, which will in turn boost development.

“Many of the stakeholders have little understanding of how they can benefit from this... that’s among the issues we are discussing, including the available opportunities and how to minimize losses,” he explained.

Daily News

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