Power Firm in Drought-Hit Tanzania Seeks New Plants
TANZANIA: February 24, 2006


DAR ES SALAAM - Tanzania's power company on Thursday invited bids for two gas-powered plants to boost electricity production following a drought that has reduced hydro power.

 


East Africa's worst drought in years is threatening 11 million people with famine, and the power cuts are one of the first signs of what many say will be its widespread cost to the region's economy.

"Tanzania is currently facing acute power shortage due to prevailing severe drought in the country, including the hydropower catchment areas, resulting in lower water levels in the major hydro power reservoirs," Tanzania Electric Supply Company (TANESCO) said in a statement.

"Consequently TANESCO intends to urgently procure and install a total of 100 MW of gas-based power generation capacity in Dar Es Salaam at the earliest time possible."

The two plants, one generating 60 MW and another 40 MW, will be installed in two existing power stations in the commercial capital Dar es Salaam.

In early February Tanzania announced daytime power cuts, and later in the month said it would extend the cuts.

"Since time is of the essence, the power generation plants shall be fully commissioned and fully operational within four months of signing the contract," TANESCO said.

The utility said it would supply the natural gas, found off the country's Indian Ocean shores.

Tanzania's total generation capacity is 953 MW, of which more than two-thirds is hydroelectric.

The government will give TANESCO the money needed to buy and install the plants, the utility said. The utility said it would hold a meeting with those interested in the bid on March 3.

 


Story by George Obulutsa

 


REUTERS NEWS SERVICE