Work towards constructing the 600MW gas fired power plant and a 650 km transmission line in Mtwara has started with the major partners starting ground study and selection of equipment for the venture.
Prof Sospeter Muhongo, Minister for Energy and Minerals
The project is a public-private partnership involving Tanzania Electric Supply Company (Tanesco), Symbion Power and General Electric. In an interview with ‘Sunday News’ in Dar es Salaam, Symbion Power CEO, Paul Hinks, said they have already started doing study work and equipment selection for the project in Mtwara and expect to start construction in January, next year.
The Minister for Energy and Minerals, Prof Sospeter Muhongo, welcomed the development in an interview with this paper yesterday. He said it was already known that the public-private partnership initiative would bring results for the country’s power sector.
On whether Symbion’s coming is likely to cut down cost of electricity for rural Tanzania, Mr Hinks said the company does not control the price of electricity in the country. “This is a discussion for TANESCO. Symbion cost of power is very competitive in world standards,” he said.
Asked to clear some circles’ perception that Symbion was born from Dowans and earlier from controversial Richmond, he said Symbion has been around for many years and bought the plant from Dowans over two years ago. “We are a US company and it is independent.
We bought the plant from Dowans over two years ago and have provided a first class service to Tanzania ever since,” he said. On fears that independent power producers have charged Tanesco exorbitant capacity charges, he said Symbion did not charge exorbitant rates.
“Symbion does not charge exorbitant rates. The rates are very low. Symbion is here to support the country and the government and we have a very long term view about our business interests in Africa and in Tanzania. So our charges must be fair.”
Symbion is an international engineering contractor specialising in electrical infrastructure projects. Tanesco has partnered with USbased power firm to build the gasdriven electricity plant in Mtwara to ease power shortages in the south of the country and elsewhere.
The partners have agreed to set up a joint-venture company to oversee the project, which include construction of a 650-kilometre transmission backbone from Mtwara to Songea, where it will be connected to the national power grid through a line that will be built from Makambako to Songea.
Apart from the construction of a power plant, the project would also supply electricity to a new cement factory that will be constructed at a cost of 500 million US dollars by the Dangote Company.
This paper could not reach Tanesco acting managing director, Felchesmi Mramba to comment on the development as his phone went unanswered yesterday, but he has recently said implementation of the project will be phased, taking three years from financial closure to completion.
The first phase will involve increasing the existing capacity in Mtwara to meet the growing demand in the southern regions of Lindi and Mtwara, he stated, adding that the project’s engineering study was set to start two months ago, after which construction works would commence later this year.
Source Tanzania Daily News