Electricity distribution will begin in Kagera and continue to Tanga, reaching more than 17,000 streets and neighbourhoods through the Hamlet Electrification Initiative.
Dar es Salaam. The East African Crude Oil Pipeline (EACOP) and the Rural Energy Agency (REA) have signed a Sh7.5 billion agreement to provide electricity to villages along the 1,443-kilometre pipeline route across eight regions in Tanzania.
The deal, formalised over the weekend in Dar es Salaam, will benefit communities affected by the pipeline project while promoting environmental conservation.
Electricity distribution will begin in Kagera and continue to Tanga, reaching more than 17,000 streets and neighbourhoods through the Hamlet Electrification Initiative.
EACOP Tanzania Managing Director Mr Guillaume Dulout said the initiative aims to support local residents, who he described as part of the EACOP family.
“Since electricity is used to pump oil through our pipeline, it is necessary to provide free electricity to communities along the route,” he said.
REA director general Hassan Saidy said the programme will also reduce reliance on firewood and charcoal, which contribute to environmental degradation, while supporting local livelihoods.
The project will run for five years, with EACOP contributing Sh2.5 billion annually and REA Sh5 billion each year.
EACOP Tanzania Legal Manager Mr Stanley Mabiti said the initiative will spur small-scale industries, increase household incomes and advance Tanzania’s National Development Vision 2050, which seeks universal access to clean energy for households and economic activities.
“This project aligns with our goal to improve the well-being of communities along the pipeline through energy, schools, water and other essential services,” he said.
EACOP is owned by TotalEnergies (62 percent), Tanzania Petroleum Development Corporation and Uganda National Oil Company (15 percent each), and CNOOC (8 percent). In Tanzania, the pipeline passes through Kagera, Geita, Shinyanga, Tabora, Singida, Dodoma, Manyara and Tanga.