ETDCO signs TZS 95.2 bilion REA projects to connect 620 villages


By Alfred Zacharia

The Electricity Transmission and Distribution Construction and Operation (ETDCO) has signed contracts worth more than TZS 95.2 billion to implement Rural Energy Agency (REA) projects that will connect electricity to 620 villages in Katavi and Ruvuma regions, strengthening the government’s push to expand reliable power access in rural Tanzania.

The projects, signed in Dodoma on January 17, 2026, form part of the national rural electrification drive that links energy access to productivity, jobs and inclusive growth. 

Energy remains a binding constraint for rural economies, where limited power supply slows value addition, agro-processing and service delivery.

Speaking at the signing ceremony, Energy Minister Deogratius Ndejembi said strict oversight and integrity would determine the success of the projects. 

“These are public resources. They must deliver real value,” he said, adding that “We want projects that are completed on time, meet quality standards and bring reliable electricity to wananchi.”

He said extending electricity to rural areas is not only about lighting homes but also about unlocking economic activity. 

“Power is a foundation for development. When electricity reaches villages, businesses grow, services improve and incomes rise,” Mr Ndejembi said.

REA Director General Hassan Said underscored the need for quality execution, warning that substandard work undermines long-term reliability and increases maintenance costs. 


“Quality is not negotiable. Our goal is simple: provide reliable and sustainable electricity to all Tanzanians,” he said.

ETDCO Acting General Manager, Eng. Richard Mwanja said the company is ready to deliver. 

“We appreciate the trust placed in ETDCO by the Ministry of Energy and REA. We are committed to implementing these projects within the agreed timelines and in full compliance with the contracts,” he said. 

He said the projects are expected to be completed within three years and will initially benefit about 19,950 residents across Katavi and Ruvuma. 

Beyond household connections, he noted, the projects are designed to support productive uses of electricity. 

“This power will support small industries, trading centres and social services. That is where the real impact will be felt,” Eng. Mwanja said.

The construction phase is expected to create more than 500 jobs, including direct employment, offering local communities income opportunities during implementation. 

“We encourage local residents to seize these opportunities. “Community participation is key to successful delivery,” Eng. Mwanja added.


It goes without saying that rural electrification has multiplier effects when paired with access to finance, skills and markets. In regions such as Katavi and Ruvuma, where agriculture dominates, reliable electricity can reduce post-harvest losses, enable processing and attract private investment.

Once completed, the projects are expected to open up social and economic opportunities, strengthen local development and contribute to sustainable national growth. 

As Mr Ndejembi put it, “When electricity reaches the village, development follows.”

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