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Tanzania seals deal to import 400MW of electricity from Ethopia via Kenya’s corridor

The power import will be facilitated in two batches
Electricity power plant
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The East African nation, Tanzania, has finalized a power import agreement with Kenya to source electricity from Ethiopia, leveraging the newly energized Isinya-Singida interconnector. 

The agreement was disclosed by the Tanzania Electric Supply Company (TANESCO) and Kenya Power on Tuesday, according to a local newspaper.

The deal facilitates the import of 100 MW of electricity from Ethiopia through the Ethiopia-Kenya-Tanzania (EKT) wheeling arrangement, with plans to scale up to 200 MW within three years.

The interconnector has a transfer capacity of 2,000 MW. It is part of the East Africa Electricity Highway, which stretches about 507 kilometers.

Kenya accounts for 96 kilometers of the line, while Tanzania contributes 414 kilometers.

The project is financed by the government of Kenya and the African Development Bank, as per an African Energy report, totaling approximately $309.26 million.

In addition, the infrastructure serves as a critical component of the East Africa Electricity Highway, fostering integration among the 13 member countries of the Eastern Africa Power Pool (EAPP).

Addressing Tanzania’s northern supply challenges

Despite Tanzania’s national generation capacity of approximately 1,694 MW excluding the 2,115 MW Julius Nyerere Hydropower Plant, regional supply deficits persist, particularly in the Northern Zone. 

There are transmission losses and inefficiencies over long distances that result in annual economic costs of nearly Ksh32 billion ($248 million).

The imported power will stabilize supply in these regions, enhancing reliability and reducing dependence on costly thermal energy.

“This interconnector enhances the reliability of our power systems, ensuring sustainable electricity access across East Africa,” said John Mativo, KETRACO’s Managing Director.

The EKT transaction, the first wheeling arrangement within the EAPP, sets a precedent for cross-border energy trade.

Meanwile, the Isinya-Singida interconnector positions Tanzania as a pivotal hub linking the EAPP with the Southern African Power Pool (SAPP). 

The forthcoming Tanzania-Zambia interconnector will further enable Tanzania to export surplus power, potentially from the Julius Nyerere Hydropower Plant, to southern African markets. 

The project aligns with the larger Southern African power pool.

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