State to continue assessing electricity charges

DODOMA: THE government has said that it will continue to make regular assessment of electricity charges per unit based on production, transmission and distribution costs and make adjustment as necessary.

Deputy Minister for Energy Judith Kapinga told the National Assembly on Friday in response to a question from Special Seats MP Suma Fyandomo (CCM) who wanted to know when the government would reduce electricity charges per unit.

She explained that electricity costs include not only production costs but also transmission, distribution and investment costs. Ms Kapinga said the current charges per unit do not reflect the actual cost because the government has subsidised them.

“Currently, the average subsidised charge per unit of electricity is 100/- for customers using less than 75 units per month, while the unsubsidised unit price is 292/-.

For citizens using more than 75 units per month, they pay 292/- per unit, which includes a subsidy, instead of 320/- without the subsidy,” the Deputy Minister said. She said that Tanzania has the lowest electricity charges compared to other East African countries.

In his supplementary question, Chunya MP Msache Kasaka (CCM) expressed the view that, given the benefits the country is gaining from the Julius Nyerere Hydroelectric Power Plant (JNHPP), the government should review the charges with the aim of reducing them.

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He also wanted to know the government’s strategy to accelerate the connection of mining areas to power. Responding, the deputy minister said that the project to connect mining areas to electricity is being funded through Covid-19 relief funds, with the aim of providing support to mining areas and increase efficiency.

She directed the Director General of the Rural Energy Agency to ensure that the contractor speeds up the project and completes it according to the contract.

A third turbine at the Julius Nyerere Hydroelectric Power Plant (JNHPP) was switched on mid last month, bringing to 662 megawatts, the amount of electricity generated so far by the plant.

Deputy Prime Minister and Minister for Energy, Dr Doto Biteko commended the construction progress, emphasising its alignment with the government’s strategy to ensure ample power supply.

The JNHPP is slated to generate a total of 2,115 MW from nine turbines, each with a capacity of 235 MW. As of now, turbines 9, 8 and 7 have been activated, with overall construction progress reaching 98.33 per cent.

The Deputy PM highlighted that the maximum capacity for each turbine is to generate 235 MW, saying currently the machines are not generating electricity to their fullest capacity.

“In case of more demand, we have an opportunity to use the turbines to their maximum capacity” Dr Biteko said. Dr Biteko said that this month turbine Number Six will be switched on to make a total of four functioning turbines.

The Deputy Minister assured the public that the government is committed to implementing the project and that the remaining six turbines will be switched in the near future to make the whole project operational at full capacity of generating 2115 MW