Masdar has signed an agreement with Tanzania’s state power company in relation to the development of up to 2GW of renewable energy projects in the African country.
The agreement between Masdar and Tanzania Electric Supply Company (TANESCO) is for the formation of a joint venture initially targeting the development of 600MW of renewable energy projects.
The JV aims to develop both solar photovoltaic (PV) and onshore wind projects and will further explore the development of projects with a total capacity of at least 2000MW.
Abdulla Zayed, Head of Business Development & Investment at Masdar and Maharage Chande, Managing Director of TANESCO, signed the Joint Development Agreement (JDA) on the sidelines of the Tanzania Energy Congress in the presence of January Makamba, Minister for Energy for Tanzania.
Chande said: “The agreement we are signing today will bring about a big revolution in the development of renewable energy in the country.
“Through the first phase of the collaboration, we expect to generate approximately 600 megawatts, and we will continue with other projects until we reach 2000 megawatts.”
Abdulla Zayed, Head of Business Development & Investment at Masdar, added: “Masdar and TANESCO are working together to support Tanzania’s sustainable development and to provide a secure, clean source of energy for the people of Tanzania.
“The signing of this agreement demonstrates Masdar’s commitment to the Tanzanian market and to the nation’s energy transition, supporting the target to reach 5000MW capacity by 2025.
“We look forward to working with TANESCO to develop this ambitious program and to provide a clean pathway for growth for Tanzania.”
TANESCO is the sole provider of electricity in Tanzania and is looking to add more renewable energy sources to the national grid to meet the country’s growing demand for power and increase energy access.
The Tanzanian government is targeting an electrification rate for the entire country of 75% by 2035.