The Permanent Secretary of the Ministry of Energy, Engineer Felchesmi Mramba, has clarified that buying and selling electricity is a normal practice among countries.
He emphasized that purchasing electricity for Northern regions will benefit the respective areas and strengthen the national grid system.
"Buying and selling electricity among countries is a normal practice. The Northern regions will greatly benefit from this arrangement, ensuring a stable and reliable power supply," said Mramba.
He explained that the government’s decision to purchase electricity from Ethiopia through Kenya to Namanga in Arusha Region aims to enhance electricity availability in Northern regions, which currently rely on power generated in the South.
Speaking to journalists on March 10, 2025, in Dar es Salaam, Mramba reassured that this move does not indicate a power shortage, as Tanzania currently generates approximately 3,796 megawatts, which is sufficient for national demand.
"This does not mean that Tanzania is facing an electricity shortage. We generate enough power—around 3,796 megawatts—which is more than sufficient for our national needs," he explained.
Mramba further noted that the arrangement benefits both Tanzania and its neighbors. The same transmission route used to purchase electricity from Ethiopia will also be used to sell electricity to other countries when needed.
He explained that while Ethiopia’s electricity is integrated into Kenya’s grid, Kenya will, in turn, supply electricity to Tanzania, balancing the trade.
"The agreement is beneficial to all parties involved. The same route we use to purchase power will also allow us to sell electricity to countries in need when the opportunity arises," he stated.
He added that cross-border electricity trade is not new. Tanzania has been purchasing electricity from Uganda for Kagera Region, Zambia for Rukwa Region, and Kenya for some border areas in Tanga Region.
Additionally, Tanzania is constructing a power transmission line to Zambia, which, upon completion, will create opportunities to sell electricity to Southern African countries.
"We have been trading electricity for years. For example, we buy power from Uganda for Kagera, from Zambia for Rukwa, and from Kenya for certain border areas in Tanga," Mramba pointed out.
Regarding the Julius Nyerere Hydropower Project, which is now 99.8% complete, Mramba highlighted its significant contribution to electricity availability.
He stated that Tanzania currently utilizes the electricity it needs, and excess power generation is regulated to match demand.
"At the Julius Nyerere Dam, we are generating only what we need. Since our national grid demand is around 1,908 megawatts, we cannot produce beyond that, as there would be no use for the excess power," he explained.
Tanzania has joined the Eastern Africa Power Pool (EAPP) and the Southern African Power Pool (SAPP) to facilitate regional electricity trade.
The Southern African market is already operational for countries with the necessary infrastructure, and Tanzania is advancing the TAZA project to enable the country to sell surplus electricity, particularly from the Julius Nyerere Hydropower Plant, to the Southern African region.
"By joining these power pools, Tanzania is positioning itself strategically to take advantage of electricity trade opportunities in both the Eastern and Southern African regions," Mramba noted.
The government aims to strengthen the electricity grid and reduce costs by participating in regional electricity markets. With its strategic location, Tanzania can leverage these opportunities to buy and sell electricity within the Eastern and Southern African regions.
"Our goal is to reinforce our national grid while reducing costs. Tanzania’s geographical location gives us a unique advantage to engage in power trade across different regions," he said.
The Ministry of Energy is committed to developing robust infrastructure to facilitate electricity trade within the EAPP and SAPP regions.
This will not only enable Tanzania to engage in electricity trade but also generate revenue from wheeling charges for transmitting electricity across different regions.
"The government is working to ensure that we have a strong infrastructure to support electricity trade. This will not only benefit Tanzania but also allow us to earn revenue from transmitting power between regions," Mramba emphasized.
As various projects progress, integrating electricity into the Northern region will bring significant benefits, including improved electricity supply and stability.
"Strengthening electricity supply in the North is a major step toward achieving energy stability across the country. This initiative will ensure reliable power for all," he concluded.