TIB embarks on scheme to finance household energy
Dar es Salaam. TIB Development Bank has embarked on a grand project that is aimed at providing clean cooking solutions to half a million households in Dar es Salaam over a period of five (5) years.
The $1.2 million (about Sh2.8 billion) project is dubbed “Promotion of Bioethanol as a clean alternative fuel for cooking in Tanzania.
The TIB Development Bank’s director of managed fund, Ms Lilian Mbassy, said her bank is mandated to drive several initiatives to promote national economic growth and realize various national development policies and initiatives.
“As a development finance institution (DFI), we are ready to drive several initiatives to promote national economic growth and one such mandate is to manage funds on behalf of the Government and other development partners like the United Nations Industrial Development Organisation (Unido) as in this case,” she said.
The project is aimed at enabling households to shift from charcoal and other wood fuels to bioethanol, in line with Government’s goal to reduce deforestation in Tanzania.
Unido is supporting the project in collaboration with the Vice President’s Office Division of Environment.
It is also aimed at supporting sustainable cook stove and bioethanol industrial value chains involved contract signing with Consumer’s Choice Ltd the appointed Distributor of the cook stoves and ethanol in the targeted pilot areas.
Ms Mbassy added that TIB welcomes all development partners with financial resources and developmental objectives to benefit from TIB Fund Management Services taking into account TIB’s good reputation, experience of over 10 years in funds management, reasonable fees whilst focusing on creation of sustainable development impact to the targeted communities.
The Unido Tanzania Resident Representative, Mr Stephen Kargbo said Unido will continue to support the Tanzanian government in various development projects especially ones related to industrial development.
The project’s ultimate goal is to stimulate the assembly, eventual manufacturing and marketing of the cooking stoves in Tanzania on one hand, and the production and distribution of the bio-ethanol from mostly agricultural waste including sugar cane molasses and cashew apple on the other hand.
The initial phase of the project is financed by Global Environment Facility (GEF) and is being implemented together with partner institutions including Ministry of Energy, TIB Development Bank, Tanzania Bureau of Standards (TBS) and Tanzania Private sector foundation (TPSF).
