The Parliamentary Standing Committee on Energy and Minerals has commended the Ministry of Energy for progress made in implementing the 2025/2026 budget, while urging the government to strengthen efficiency, innovation, and strict supervision in the execution of energy projects to ensure citizens fully benefit from investments in the sector.
Presenting the Committee’s report in Parliament in Dodoma on the budget implementation for the 2025/2026 financial year and the estimates for 2026/2027, Committee Chairperson Subira Mgalu said the energy sector remains a key driver of national development and requires effective management to achieve intended results.
She said the Committee’s review focused on budget performance, key achievements, existing challenges, and recommendations aimed at improving service delivery and project implementation in the sector.
According to the report, the Ministry of Energy was allocated 1.96 trillion Tanzanian shillings for the 2025/2026 financial year.
By February 2026, the Ministry had received 1.16 trillion shillings, representing 59.28 percent of the total approved budget.
Out of the funds received, more than 1.15 trillion shillings were directed to development projects, while recurrent expenditure accounted for 18.9 percent of the planned budget, indicating a strong focus on development-oriented spending.
On revenue performance, the Committee noted that the Ministry collected 6.14 million shillings against a target of 4 million shillings, representing 153.5 percent achievement.
This performance was attributed to improved financial management and recovery of public funds.
For the 2026/2027 financial year, the Ministry has requested a budget of 2.52 trillion shillings, an increase of about 44 percent compared to the previous year.
The Committee noted that most of the proposed budget will be directed towards strategic development projects aimed at expanding access to reliable and affordable energy.
The Committee also commended ongoing rural electrification efforts implemented through the Rural Energy Agency (REA), noting that more rural communities are now being connected to electricity, improving livelihoods and supporting local economic activities.
It further praised progress on the Kishapu solar power project, which is expected to generate 150 megawatts once completed, describing it as an important step towards diversifying Tanzania’s energy mix and increasing renewable energy capacity.
However, the Committee called on the government to speed up the development of natural gas infrastructure and strengthen overall energy supply systems to ensure stable and reliable access across the country.
Overall, Subira Mgalu emphasized that the energy sector requires continued efficiency, innovation, and strong oversight to ensure that public investments translate into tangible benefits for citizens and contribute to sustainable national development.
