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Tanzania: Government Intensifies Global Efforts to Attract Investors in Geothermal Energy

Tanzania: Government Intensifies Global Efforts to Attract Investors in Geothermal Energy

The Tanzanian government has stepped up efforts to attract international investors in geothermal energy as it advances plans to exploit its vast geothermal resources to provide affordable, reliable, and sustainable electricity.

Speaking at the annual meeting of the Global Geothermal Alliance (GGA), held under the auspices of the International Renewable Energy Agency (IRENA) in Abu Dhabi, Energy Minister Deogratius Ndejembi stated that the government is strengthening legal and regulatory frameworks to increase investor confidence in the geothermal subsector.

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The minister explained that Tanzania is also simplifying licensing and permitting procedures while expanding access to geothermal data, measures aimed at reducing barriers to entry for potential developers.

“Tanzania’s rich geothermal endowment offers a strategic path to increase energy production in support of national development objectives and global clean energy commitments,” Ndejembi told delegates, emphasizing that geothermal energy is central to the country’s long-term energy strategy.

The minister noted that geothermal development is firmly anchored in key policy frameworks, including Tanzania’s 2050 Development Vision, the 2015 National Energy Policy, the United Nations Sustainable Development Goals (SDGs), and Tanzania’s Nationally Determined Contributions (NDCs) under international climate agreements.

Through the state-owned Tanzania Geothermal Development Company (TGDC), the government is advancing several priority projects nationwide. These include the Ngozi field, with an estimated capacity of 70 megawatts (MW); Songwe (5–38 MW); Kiejo-Mbaka (60 MW); Natron (60 MW); and Luhoi, which is expected to initially generate 5 MW.

The government aims to commission Tanzania’s first geothermal power plant by 2030, with a total installed capacity of 130 MW, starting with an initial phase of 30 MW. Reaffirming the country’s openness to private-sector partnerships, Ndejembi acknowledged that geothermal projects are highly capital-intensive, particularly during early exploration phases.

He also emphasized the importance of concessional financing and stronger collaboration with international partners to address the high initial costs associated with exploration and drilling.

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The minister welcomed cooperation with countries that have advanced geothermal industries, particularly in training and capacity building for Tanzanian specialists in geothermal science and engineering.

Situated along the Great Rift Valley, Tanzania is estimated to have a geothermal generation potential of up to 5,000 MW. To date, 52 sites with geothermal indications have been identified across 16 regions.

Source: Trendsnafrica

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