Tanzania urges voluntary Tax compliance after showcasing flagship dam project

The Respondents Reporter

Tanzania’s revenue authority has commended what it described as the prudent use of taxpayers’ money in the construction of the Julius Nyerere Hydropower Project, calling the flagship energy scheme clear evidence of how public revenues can drive national development.

Officials from the Tanzania Revenue Authority (TRA) made the remarks following a working visit to the dam site on February 14, 2026. The delegation included education and communications officers from TRA offices across the country, who toured the facility to assess how tax revenues have been deployed in the strategic project.

Speaking after the visit, TRA Director of Education and Communication Richard Kayombo said the tour was important for the institution responsible for tax collection, allowing officials to witness firsthand how public funds are transformed into large-scale infrastructure with tangible economic benefits.

“The project demonstrates that when citizens’ taxes are used effectively, they generate visible results that directly impact communities,” Kayombo said.

The Julius Nyerere Hydropower Project, one of Tanzania’s largest infrastructure investments, is designed to generate approximately 2,115 megawatts of electricity for the national grid. Authorities say the additional capacity is helping to reduce power rationing, improve the reliability of supply, and stimulate growth in business, investment, and industrial production.


TRA officials noted that increased and stable electricity supply expands economic activity, ultimately broadening the government’s revenue base. They used the occasion to encourage voluntary and timely tax compliance, arguing that sustained revenue collection is critical for the implementation of ongoing and future development projects.

Education and communications officers who took part in the visit pledged to intensify public awareness campaigns, emphasizing that taxes paid by citizens play a central role in financing major national projects such as the hydropower dam.

Speaking on behalf of the plant’s management, Acting Operations and Systems Control Manager Elinainyi Kalalu said the visit underscored the link between public revenue and service delivery.

“This visit has been highly beneficial. We remain committed to generating electricity efficiently and reliably to ensure a stable supply to citizens. Continued tax compliance is essential in enabling the government to execute major development projects,” Kalalu said.

The hydropower scheme is named after Tanzania’s founding president Julius Nyerere and is considered central to the government’s strategy of strengthening energy security and supporting long-term economic growth

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