A TZS161.9 billion power substation project in Rukwa is expected to ease electricity shortages, unlock investment in agro-processing and mining, and strengthen Tanzania’s capacity to export power to neighbouring countries, including Zambia.
The Malangali power substation, whose construction has reached 85.17 per cent, is expected to address a supply gap that has constrained production in the region, where electricity demand stands at about 30 megawatts (MW), against the current supply of 16MW.
Vice President Deogratius Ndejembi said the project would improve the reliability of electricity supplies, attract investors and open new opportunities for Tanzania in the regional energy market.
“Today, Tanesco buys electricity from Zambia, but through this line, we will begin selling Zambia large and reliable volumes of electricity,” he said during an inspection of the project.
The remarks point to a potential shift in Tanzania’s electricity trade, with improved transmission infrastructure expected to strengthen the country’s ability to supply neighbouring markets while meeting growing domestic demand.
Mr Ndejembi said the government, under President Samia Suluhu Hassan, had invested in the project to connect Rukwa to the national electricity grid and position the region as a hub for electricity trade across East and Southern Africa.
For Rukwa’s economy, the immediate priority is improving power availability for businesses whose operations depend on reliable electricity, particularly agricultural processors and mineral producers.
Limited electricity supply can constrain the establishment of processing facilities, increase operational challenges for existing businesses and restrict opportunities to add value to locally produced crops and minerals.
The Vice President urged investors to explore the region’s economic potential and called on residents to protect electricity infrastructure.
Deputy Energy Minister Salome Makamba said the project reflected the government’s commitment to connecting all regions to the national electricity grid.
She said Tanzanians accounted for 90 per cent of the workforce implementing the project, making it a source of employment during construction.
Testing of the substation’s equipment is expected to begin in mid-November 2026, she said.
Presenting the project’s implementation report, Tanzania Electric Supply Company (Tanesco) managing director Lazaro Twange said construction had reached 85.17 per cent, with energisation works scheduled for completion in November 2026.
The facility is being built by China’s TBEA at a cost of TZS161.9 billion. It will receive electricity at 400 kilovolts (kV) and step it down to 220kV, 66kV and 33kV for distribution.
The substation will have four transformers and eight outgoing power lines serving different parts of Rukwa Region.
Once operational, the infrastructure is expected to improve the reliability of electricity supplies, support industrial development, create employment opportunities and encourage investment in value-addition activities.
For farmers, better power supplies could improve prospects for establishing facilities to process and preserve agricultural produce, potentially reducing reliance on selling unprocessed commodities. Mineral businesses could also benefit from more reliable electricity to support processing and other value-adding activities.
The project’s regional significance will depend on the completion and successful commissioning of the infrastructure, as well as the availability of sufficient electricity and transmission capacity to support both domestic consumption and exports.
The government expects the investment to contribute to industrialisation in Rukwa while strengthening Tanzania’s role in the regional electricity market.