The 87.8 MW Kakono hydropower plant in the northern region of Kagera is being co-funded by the French Development Agency (AFD), the African Development Bank (AfDB), and the European Union (EU). Tanzania, which is heavily dependent on natural gas and oil for its electricity production, can diversify its national electricity mix through the construction of the Kakono hydropower plant.
The 87.8 MW Kakono hydropower plant in the northern region of Kagera is being co-funded by the French Development Agency (AFD), the African Development Bank (AfDB), and the European Union (EU). Tanzania, which is heavily dependent on natural gas and oil for its electricity production, can diversify its national electricity mix through the construction of the Kakono hydropower plant.
The French Development Agency (AFD) and the African Development Bank (AfDB) have confirmed their financing of USD 120.7 million and USD 116 million respectively. The loans will be repaid by the Tanzanian government over 17 years of building this run-of-river power plant.
The Kakono hydropower project will get a $39.5 million grant from the European Union (EU). This brings the total cost of the project to 276.2 million dollars. The project, which started on 1 April 2023, will be delivered by 31 December 2028 by the state-owned Tanzania Electric Supply Company (TANESCO). The infrastructure, which will be accompanied by a dam on the Kagera River, will provide clean energy to about 4 million people.
Once functional the hydropower project will replace the use of fossil fuels in north-western Tanzania, where diesel generators are often brought into service to supplement grid supply or improve the quality of supply to avoid prolonged power cuts. The Kakono plant will generate about 524 GWh per year and this power will be transmitted through a 38.5 km long 220 kV transmission line to the existing Kyaka substation.
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The Kakono hydropower plant, which is expected to avoid annual emissions of 216,000 tons of carbon dioxide (CO2), will also be a hub for Tanzania’s electricity exports to neighbouring countries in the Great Lakes region, including Uganda, Burundi, and Rwanda. According to AFD, the commissioning of this facility will contribute to the achievement of the United Nations’ 7th Sustainable Development Goal (SDG) which calls for the development of renewable energy.