Tanzania to invest US$300m in geothermal power

13 November 2014

Tanzania is planning to invest in geothermal power at Lake Ngozi in Mbeya, in a bid to shift focus from hydro. Tanzania’s hydropower has been affected by recurring droughts.

The venture, being led by African Development Bank (AfDB) as financiers, will unlock the country’s potential for geothermal power according to Emeka Oragunye, the principal energy specialist at AfDB.

The new power plant will generate 5,000MW and is part of AfDB’s plan in financing renewables through the scaling-up renewable energy programme (SREP). The country has received US$ 45million from AfDB and US $25 million from SREP.

The country aims to develop 50 other potential geothermal spots – which will be crucial in the shift from hydro and private oil-fired power generation by the state-run Tanesco. It will also be critical in the planned addition of 10,000 MW into the grid by 2025, up from the current 2,780MW.

CEO at Geological Survey of Tanzania Abdulkarim Mruma said the 200°C heat under Lake Ngozi is sufficient to generate power.

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