Zanzibar eyes 450MW wind electricity in $1.2 billion deal

Unguja. Zanzibar on Thursday took a big leap towards self-sufficiency in electricity after signing an agreement with an Austrian firm for a 450-megawatt wind power project.

The agreement was signed between the Water, Energy and Minerals ministry and Pougex Energy Proprietary Ltd. The project’s execution is expected to cost about $1.2 billion (Sh3 trillion).

Water, Energy and Minerals permanent secretary Joseph Kilangi, said the project would upon its completion be a liberator in the electricity sector, adding that persistent power shortages would be history.

“This is the biggest project of its kind on the isles. Its infrastructure will be set up out in the sea, so there will minimum inconvenience to the people,” he said.

 Of the total output, 300MW will be generated in Unguja and the remaining 150MW will be produced in Pemba.

The project’s first phase will see 50MW being generated in Unguja, while 100MW will be produced in Pemba.

Water, Energy and Minerals minister Hassan Shaib Kaduara said the agreement would not be left to gather dust on shelves and would be implemented to its conclusion.

“We commend these investors for deciding that Zanzibar is a safe investment destination. We welcome other investors as we continue to improve the investment climate,” he said.

Pougex Energy Proprietary Ltd engineering projects and asset management director Charles Lwanda said the conducive investment environment created by Zanzibar’s government was the chief reason that persuaded the international firm to invest in Zanzibar.

He added that the project would enable Zanzibar to not only meet its electricity needs, but also have surplus power.

Mr Lwanda said a feasibility study would be conducted before the project’s execution begins in earnest.

“A feasibility study will be carried out and will be followed by the construction of the relevant infrastructure in Zanzibar. It will be an environmental-friendly project since the infrastructure will be set up out at sea and on shores.”

He said the power to be generated would mainly be for the use of industries in Zanzibar and some would be transmitted outside the isles through marine cables.

“The great thing about this energy project is that it will be sustainable and long-lasting since it will be using a renewable source. It will also help reduce carbon emissions and will create jobs for the local population,” Mr Lwanda said.

The 125MW that Zanzibar currently receives from mainland Tanzania through Tanzania Electric Supply Company (Tanesco) is about 90 percent of the archipelago’s electricity needs.