Tanzania needs $46.2B investments in power sector by 2040
The energy ministry of Tanzania has issued its Power System Master Plan (PSMP 2016–2040), which maps out the finances that will be required in investments to improve the power sector nationwide.
According to the power roadmap, the financing requirement to implement the plan is about $46.2 billion for capital cost, which includes investment in power generation, transmission and substations, reports ESI-Africa.
70% of capital spending would be financed by debt and the rest by the government’s own resources.
The power system master plan also reveals that, currently, around 40% of Tanzania’s population has access to electricity.
The government wants to improve this figure and boost the electrification rate to 90% by 2035.