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AfDB Approves US $ 120 Million Loan for Tanzania Hydropower Project

Dar es Salaam, November 27 (Xinhua)-The African Development Bank (AfDB) has approved a US $ 120 million loan to fund the construction of a 50 MW hydroelectric power plant in western Tanzania, the bank said. It was.

The Malagarasi Hydropower Project will provide credible renewable energy to homes, schools, clinics and small businesses in the Kigoma region, AfDB said in a late Thursday statement.

According to the statement, the total cost of the project is estimated at $ 144.14 million.

According to AfDB, most of the $ 120 million will be raised from the banking group Sovereign Window, with an additional $ 20 million donated by the African Development Bank Fund.

The Tanzanian government will provide the remaining $ 4.14 million, the statement said.

Adesina Akinwumi, president of AfDB, said the project’s approval will help the Tanzanian government “accelerate the transition to more inclusive and sustainable growth through the production of clean, reliable and affordable electricity.” He said it reflects the World Bank’s commitment.

According to the statement, the expected average annual output of hydropower plants is 181 GWh, which will meet the electricity demand of about 133,649 households in Kigoma and bring the electrification rate in this region closer to that in other regions.

According to the statement, the project will create about 700 jobs during construction, reduce local power generation costs from the current $ 0.33 / kWh to about $ 0.04 / kWh, and turn to fossil fuels that emit greenhouse gases. It is expected to reduce dependence. ..

“The industry no longer needs to maintain expensive backup generators, which will reduce the cost of doing business,” the statement said.

AfDB Approves US $ 120 Million Loan for Tanzania Hydropower Project

Source link AfDB Approves US $ 120 Million Loan for Tanzania Hydropower Project

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