Rural power target pushed to 2013

RODNEY THADEUS
Daily News; Saturday,September 22, 2007 @00:03

THE government has extended to year 2013 the target to provide electricity to 25 per cent of the country, the Minister for Energy and Minerals, Mr Nazir Karamagi, said in Dar es Salaam yesterday.

Mr Karamagi said the target cannot be reached by 2010 as planned earlier because the modality and process of selecting members to form the board that will oversee the project had taken longer than previously expected.

The minister revealed this when launching the Rural Energy Agency (REA) and the Rural Energy Fund as part of the implementation of the project.

He said that in order to meet the target the government has set aside 10bn/- this year for REA rural energy projects. The objective is to ensure the vast majority of rural people have access to electricity, he said.

According to the minister, it was only eight per cent urban and two per cent of rural people who currently have access to electricity. Of the 34 million plus population, the power utility firm –TANESCO’s customer base is estimated at only one million people.

He said that Tanzania’s rural economy would be transformed when agriculture, agro-business, small and medium scale industries and enterprises and commercial establishments have access to and use affordable electricity.

He said that REA would also work with other key service sector institutions, ministries responsible for rural services such as health, education and local government.

The minister also introduced the REA Board of Directors that will be chaired by Mr Singi Madata from the Ministry of Finance. Members include Said S. Said from Tanzania Federation of Cooperatives and Esther Mkwizu from Tanzania Private Sector Foundation.

Others were Onali Salem from Foundation for Civil Society, Martin Kitilla from Regional and Local Government, Rita Akena from Tanzania Bankers Association and Anne-Lie Engvall, an observer from SIDA.