Dar es Salaam. The national power grid will have an
additional 240 megawatts (MW) when the Kinyerezi II power project is completed
next month, the site’s general manager, Mr Shoji Watababe, confirmed yesterday
during a two-day oil and gas congress.
“We are currently
working on a few technical issues before completing the project. The work plan
shows that until next month, the project will be concluded,” he assured the
audience at the congress.
Mr Watanabe said this is the first combined cycle plant
to be constructed in Tanzania and East Africa at large, which upon its
completion, between 30 and 240 MW will be supplied to the national grid.
The $432 million (approximately Sh986 billion) project
has created jobs to 1,500 Tanzanians and at least 1,000 indirect employments
during the two years and five months of its implementation, he said.
The construction works commenced in 2016 with the
government contributing 15 per cent of the total funding of the project while
the Japan Bank for International Cooperation and the Sumitomo Mitsui
Corporation financed the investment by 85 per cent.
Once the project becomes fully operational, it will add
36 million standard cubic feet per day to the daily national gas demand.
So far, total power generation stands at 1,513.3 MW, but
782.82 MW of it is generated from natural gas, according to Tanzania Electric
Supply Corporation (Tanesco) chairman of board of directors Alexander Kyaruzi.
“More than 50 per cent of national electricity capacity
is generated from nine natural gas projects at the moment. We also expect to
implement other gas-powered projects including the Kinyerezi III and IV,” Dr
Kyaruzi.
Upon the completion of the projects, the nation would
save up to $1 billion (about 2.3 trillion) annually on oil imports for
electricity generation.
As things stand, Dr Kyaruzi added that the government’s
ambition is to generate at least 5,000 MW in 2020 and 10,000 MW in 2025.
So far, Tanesco is the major buyer and consumer of
natural gas, taking an average of 90 million standard cubic feet a day,
according to TPDC.
The country has saved at least Sh22.1 trillion from 2004
to 2017 by using natural gas for power production, consuming 337.58 million
standard cubic feet.
Source: The Citizen