Finance
Tanzania receives $21.7M fund for geothermal activities
- Tanzania wins $21.7 million from Climate Investment Funds to advance geothermal exploration and transform its energy sector

The Climate Investment Funds (CIF) has approved $21.7 million for the United Republic of Tanzania to finance its Geothermal Energy Development Project, the African Development Bank Group (AfDB) announced recently.

The project aims to help the country’s plans to transform its national economy through affordable sustainable energy technology.

It will develop the Ngozi geothermal steam field in southwestern Tanzania.

"The project is funded under the CIF’s Scaling-up Renewable Energy Program (SREP) and will receive $5 million as loan and $16.73 million in grant resources to be implemented by AfDB," according to the statement.

The country has committed to transforming its energy sector through a more diversified mix of technologies tapping into its renewable resources.

"Geothermal energy is particularly a promising technology for the country, which has around 15 geothermal sites with an untapped estimated potential of 650 megawatts (MW). A sixth of this potential can be developed in the Ngozi site," the statement read.

The project involves conducting exploratory test drilling and installing the required steam-gathering infrastructure in the Ngozi geothermal site.

"Once fully operational, the project is expected to come with the following benefits to the country: improved power supply, increased energy security, increased public and private investment, and benefits to local households and businesses," according to the statement.

The project’s 100 MW generation will be added to the country’s energy mix adding up to 823 gigawatt-hours per year to the grid.

By Gulsen Cagatay

Anadolu Agency

energy@aa.com.tr

 

 

 

24 Jul,2017
FINANCE NEWS