The Board of Directors of the African Development Bank Group
(AfDB) approved an African Development Fund (ADF) Loan of USD 144.9 million1, to Kenya -
Tanzania Power Interconnection Project.
The project will allow the two countries to exchange power. In addition, the Kenya-Tanzania
Interconnection Project plays an important role in promoting regional integration through power
trade.
The project is expected to improve the supply, reliability and affordability of electricity in
the Eastern Africa region through cross-border exchanges of cheap and cleaner surplus power
The project involves the construction of approximately 508 km of transmission line between
Kenya and Tanzania (about 93 km in Kenya and 415 km in Tanzania) and associated
substations in Arusha and Singida (Tanzania).
The line will have a transfer capacity of up to 2,000 MW in either direction. It will allow to
interconnect Eastern Africa Power Pool to the Southern African Power Pool and further in the
future to Northern Africa through East Africa Electricity highway project, the Ethiopia – Kenya
interconnection line. At initial stage, the project will allow the two countries to exchange power
and followed by import and export energy from the interconnected countries.
Following the Board’s approval, the Director of the AfDB’s Energy, Environment and Climate
Change Department, Alex Rugamba, explained that, the project aligns with the pillars of the
regional integration strategy papers (RISPs) for Eastern Africa which focus on regional
infrastructure and capacity building and fulfills the objectives of the New Partnership for Africa'sDevelopment (NEPAD), in terms of regional integration and promotion of infrastructure
development through regional co-operation in key productive sectors such as energy.
He also
added that the interconnection line will create competitiveness in the energy sector and
encourage the private sector investing in generation of electricity by facilitating power transfer
through the interconnector.
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