Tanzania To Purchase 19MW Of Renewable Energy From Independent Producers

Tanzania Tanesco 19MW Renewable Electricity 2020

The Tanzania Electricity Corporation (TANESCO) has entered into an agreement with six renewable energy producers to purchase 19.16 MW of electricity that will enter the national grid and be used in various parts of the country.

TANESCO will buy 10 MW from Kahama Solar Power Project, 5 MW from Kigoma Solar Power, 1.7MW from Madope Hydropower, MW 1.2 from Maguta Hydropower, 0.9 MW from Luponde Hydropower, and 0.36 MW from Energy Lutheran (DKK) Investment.

Speaking at the signing ceremony, TANESCO Senior Investment Manager, Engineer Costa Rubagumya said that “In accordance with the regulations governing the development of small-scale power generation projects, it requires TANESCO to enter into agreements with small-scale power producers in areas where the national grid has not yet arrived.”

Tanzania Investment Guide 2026 Free Edition

He identified other parameters as areas that have a low power supply problem to improve the quality of electricity and another criterion is the areas of electricity distribution where TANESCO’s power lines are long thus causing power losses.

The six companies are required to start selling electricity to TANESCO within 18 months.

Tanzania Power Demand

The Minister of Energy of Tanzania, Dr. Medard Kalemani, recently said that the current demand for electricity per day in the country is 1,177.20 MW and it is expected to more than double to 2,770 MW by 2023.

Currently, Tanzania’s total power installed capacity is 1,602 MW of which 244 MW were added in the past four years. Tanzania’s electricity generation comes mostly from natural gas (48%), followed by hydropower (31%), petrol (18%), solar (1%), and biofuels (1%).

TanzaniaInvest Capital Markets Report Banner

Want to know more about Energy in Tanzania? Our free overview of the Tanzania Business and Investment Guide 2026 covers Energy, plus key sectors and investment opportunities. The complete 141-page edition includes policies, taxation, key regulations, full macroeconomic data, and sources, and is also available at no cost upon completion of a short form.

Download Free OverviewGet the Full Edition for Free
Free Newsletter

Get our monthly update on business and investment in Tanzania.

Related Posts
Songo Songo Offshore Gas
Read More

Tanzania’s Songo Songo Gas Field Sale to Taifa and Amber Goes to Appeal as Operator Plans to Stop Running the Field by 29 November

Taifa Gas and Amber Energy Investment appealed the Fair Competition Commission's 5 October 2026 block on the USD 10 Songo Songo gas field sale to the Fair Competition Tribunal on 20 October 2026. Operator PAET has rejected the government's licence extension terms as uneconomic and plans to stop operating the field, which Orca says supplies about 54% of Tanzania's daily gas output, by 29 November 2026.
Tanzania Amsons Takeover Oryx
Read More

Amsons Group to Acquire Oryx Fuel Stations, Storage Terminals and Distribution Infrastructure in Tanzania

Tanzania's Amsons Group has signed an agreement to acquire the Oryx downstream oil business in Tanzania, including retail service stations, storage terminals, and distribution infrastructure, subject to regulatory approvals. Seller Oryx Energies said the sale is part of a review of its African downstream assets as it refocuses its capital on energy infrastructure and trading.