African Development Bank Approves $282 Million to Expand Clean Energy Access in Tanzania's Island Regions

18 July 2025
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African Development Bank (Abidjan)

The Board of Directors of the African Development Bank Group has approved $282.07 million to support the installation of high and medium voltage submarine power cables to Zanzibar (Unguja and Pemba) and Mafia Islands. The initiative aims to significantly enhance access to clean, reliable electricity and expand the adoption of clean cooking solutions in Tanzania.

The five-year project is expected to increase available power capacity on the three Islands from 143 MW to 440 MW. It will also support last-mile electricity connections for 465,000 people and facilitate the distribution of electric cooking appliances to benefit 335,300 Tanzanians.

This investment aligns with Tanzania's goal to achieve 75 percent electricity access and clean cooking adoption by 2030, in line with its commitments under Mission 300 - a joint initiative of the African Development Bank Group and the World Bank aimed at mobilizing resources to connect 300 million Africans to electricity by 2030.

Currently, Tanzania's average electricity access rate stands at 46 percent, while approximately 90 percent of the population still relies on traditional biomass fuels such as firewood and charcoal for cooking.

The project is expected to generate employment during the implementation and operational phases. It will particularly benefit women and youth, spurring entrepreneurship in sectors such as retail, hospitality, transportation, digital enterprises, and personal care services.

"Expanding electricity access in the country will boost youth-led MSMEs across various industries, generating a multiplier effect on job creation, while the adoption of clean cooking solutions will significantly improve the quality of life for women and girls at home by promoting alternative fuels and efficient clean cooking technologies," said Patricia Laverley, African Development Bank Country Manager for Tanzania.

The project is also vital to the development of Zanzibar's tourism sector, which contributes approximately 30 percent of the island's GDP.

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