Tanzania Project Notice - TANZANIA - Kakono Hydropower Project


Project Notice

PNR 50094
Project Name TANZANIA - Kakono Hydropower Project
Project Detail Project Summary Approval Date 16 Dec 2022 Planned Completion Date 31 Dec 2026 Last Disbursement Planned Date 31 Dec 2026 Sovereign / Non-Sovereign Sovereign Sector Power DAC Sector Code 23220 Environmental Category 1 Commitment U.A 121,329,385.95 Status Approved Project General Description The proposed 87.8-megawatt (MW) Kakono Hydropower Project (HPP) 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. The Kakono HPP, together with the ongoing and planned projects in the north-western part of the country, will contribute to increased renewable energy production, thereby displacing the costly diesel generators while, at the same time, improving TANESCO’s financial health. It will also address the deficits of electricity particularly in Kagera, Geita and Mwanza regions in the Lake Zone. Specifically, the Project will 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. Project Objectives The project development objective is “to increase on-grid energy production from least cost renewables to address the electricity deficits in north-western Tanzania.” The development of Kakono HPP will displace the use of fossil fuels in the north-western corner of Tanzania in the Lake Zone where costly diesel power generators are often brought online to either supplement the grid supply or improve the quality of supply to avoid prolonged blackouts and brownouts. Beneficiaries The proposed Kakono hydropower plant, approximately 90 km west of Bukoba Municipality in the north-western corner of Tanzania, will be situated downstream of the three sites, namely, Rusumo, Murongo/Kikagati and Nsongezi along the Kagera River. Besides the large electricity consumers who will benefit from the improved supply reliability, the key beneficiaries include the general population in the Lake Zone. Taking into consideration the energy consumption patterns alongside the gender-disaggregated percentage of the population using grid electricity as the main source of lighting as well as the corresponding average monthly consumption patterns, it is expected that the Kakono power plant will provide green energy to nearly 210,000 households (of which 30 percent will be female headed) thereby playing a significant role in increasing the electricity connectivity rate in the Lake Zone. Apart from the electricity consumers, the Project will create employment opportunities. It is expected that about 1,000 temporary job opportunities will be created during the six-year implementation phase in addition to the 100 permanent jobs pertaining to the operational phase.
Funded By African Development Bank (AfDB)
Sector Energy & Power
Country Tanzania , Eastern Africa
Project Value TZS 121,329,386

Contact Information

Company Name TANZANIA ELECTRIC SUPPLY COMPANY LTD (TANESCO)
Web Site https://projectsportal.afdb.org/dataportal/VProject/show/P-TZ-FAB-003

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