Tanzania National Electric Supply Company (Tanesco) has announced an 18 percent increase on electricity connection tariffs just hours after President Samia Suluhu Hassan raised concern over the amount charged by the corporation.
Tanesco's tariff adjustment (amendment) of Nov. 2020, approved connection charges for single phase services within 30 meters, 70 and 120 meters for urban areas to stand at 272,000/-, 436,964/- and 590,398/- respectively.
Rural residents were to be charged 27,000/- regardless of whether one needs one electricity pole (70meters) or two poles (120meters). However, the government announced it was going to charge a flat amount of 27,000/- in both urban and rural areas.
Speaking in Dar es Salaam on Tuesday, President Samia Suluhu Hassan explained that the decision had potentially affected the ability of Tanesco to supply the required service to people on time.
"You find people have paid for the service yet Tanesco is unable to connect new customers. I know the Minister (January Makamba) is being hesitant to say this, the truth is Tanesco needs money to supply that service," President Samia said at the State House directing authorities to start charging the actual amount for the service.
In what could be less than 24 hours since the President's Statement, Tanesco published tariff adjustment detailing that the new connection for 30, 70, and 120 meters shall be 320,960/-, 515,618, 696,670/- respectively. The new charges begin effective immediately.
Also, it said the charges for a three-phase connection will be 912,014/- within 30m, 1,249,385/- within 70m and 1,639,156/- within 120m.
A statement released by the public relations office said the rural connection will remain at 27,000/- and that the fee includes VAT.