Masdar announced on Friday that it has signed an agreement with Tanzania Electric Supply Company Ltd. (TANESCO) to develop renewable energy projects with a total capacity of up to 2 gigawatts (GW).
The Joint Development Agreement (JDA) was signed by Abdulla Zayed, Head of Business Development & Investment at Masdar, and Maharage Chande, Managing Director of TANESCO, on the sidelines of the Tanzania Energy Congress.
As a first step, the two companies intend to develop solar photovoltaic (PV) and onshore wind projects with a capacity of about 600 megawatts (MW). The joint venture will further explore the development of projects with a total capacity of at least 2,000 megawatts.
TANESCO, the sole provider of electricity in Tanzania, is looking to add more renewable energy sources to the national grid to meet the country’s growing demand for power and increase energy access.
The Tanzanian government is targeting 75 percent electrification of the country by 2035.
“The agreement we are signing today will bring about a big revolution in the development of renewable energy in the country,” Managing Director of TANESCO,Maharage Chande said.
Head of Business Development & Investment at Masdar Abdulla Zayed said that the two companies are partnering to support Tanzania’s sustainable development.
“The signing of this agreement demonstrates Masdar’s commitment to the Tanzanian market and to the nation’s energy transition, supporting the target to reach 5,000 MW capacity by 2025,” he said.