Tanzania to receive US $276M for Kakono hydropower plant project

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Tanzania to receive US $276M for Kakono hydropower plant project

Tanzania is set to receive a sum of US $276M for the construction of the Kakono hydropower plant. The French Development Agency (AFD) and the African Development Bank (AfDB) confirmed their financing of US $120.7M and US $116M respectively towards the project.

The 87.8 MW project is one of the energy sectoral interventions under the “economic growth” pillar of FYDP III to realize an inclusive and competitive economy by increasing the generation capacity to improve the availability and reliability of electricity supply.

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Kakono hydropower plant

The project’s objective is to reduce the use of fossil fuels in north-western Tanzania and also address the deficits of electricity particularly in Kagera, Geita and Mwanza regions in the Lake Zone.  It will further complement the Bank-financed Regional Rusumo Falls hydropower transmission line projects and other related Development Partner (DP) operations in the north-western part of the country, thereby contributing to multi-country infrastructure connectivity to promote cross-border power trade.

The Project will entail the construction of a concrete-faced rockfill dam about 42 m high and 1,380 m long) and a gravity roller-compacted concrete dam, about 61 m high and 284 m long producing a hydropower potential exploited through an outdoor powerhouse at the toe of the dam. The overall Project cost is estimated at USD 308.85 million, including contingencies but excluding local taxes and levies such as overweight road transportation surcharges, etc. The granted loan will be repaid by the Tanzanian government over 17 years

Upon completion, Kakono hydropower plant is expected to avoid annual emissions of 216,000 tons of carbon dioxide (CO2), will also be a hub for Tanzania’s electricity exports to neighboring countries in the Great Lakes region, including Uganda, Burundi and Rwanda.