Rural power budget up by 50pc

THE Ministry of Energy and Minerals has increased the budget for rural electrification by 50 per cent, from 357bn/- in the 2015/2016 fiscal year to 534bn/- in the coming year as it struggles to ensure Tanzanians are supplied with reliable electricity.

Presenting his budget estimates for the 2016/17 financial year on 19th May,2016, the minister, Professor Sospeter Muhongo, insisted that all projects under the Rural Energy Agency (REA) will be implemented as planned.

He informed the House that the power access level has also gone up by four per cent. About 40 per cent of Tanzanians are now having access compared to 36 per cent that was recorded last year.

For the first time, 94 per cent of the total budget of the ministry for the next financial year has been allocated for development projects. Budget estimates for the ministry in 2016/2017 fiscal year stands at 1.12 trillion/-.

According to Prof Muhongo, 1.05tri/- will be channelled to fund development projects while the remaining 66.2bn/- will cater for recurrent expenditure. "Basing on section 43 (a) of 2015/2020 CCM election manifesto, which directs the government to increase power production, the ministry has allocated 98 per cent of the development project funds for the energy sector," Prof Muhongo reported.

"REA is now in the process of getting a contractor who will supply power to 121 villages where the Iringa-Shinyanga Grid passes through," he added. Prof Muhongo explained that the government is going on with the implementation of electricity supply industry reform strategy and roadmap in a move aimed at transforming energy sector.

He asserted that by 2019/2020, there were some power projects that are due for completion and which will greatly help increase power accessibility in the country. The projects are Singida-Arusha-Namanga (400kV), Bulyanhulu- Geita (220kV), Geita-Nyakanazi (220kV), North-East Grid (400kV) and Somanga-Kinyerezi (400Kv).

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