TAZA Power Project to open a new chapter in Africa’s electricity trade

* Project reaches 83 percent completion, set to link Tanzania with the Southern Africa Power Pool by 2026

By Business Insider Correspondent, Mbeya

Tanzania’s flagship power transmission project – the 400-kilovolt Iringa–Tunduma–Zambia (TAZA) line – has reached 83.45 percent completion and is on course to be finalised by May 2026. Once operational, the project is expected to open a new market for cross-border electricity trade across Africa, connecting Tanzania to the Southern Africa Power Pool (SAPP) for the first time.

Speaking during an inspection tour of the project in Iganjo, Mbeya, on 23 October 2025, the Deputy Permanent Secretary in the Ministry of Energy, Dr. James Mataragio, hailed the TAZA project as a strategic milestone in Tanzania’s regional energy integration.

“I would like to commend Her Excellency President Dr. Samia Suluhu Hassan for allocating significant resources to implement major energy projects. Through TAZA, Tanzania will strengthen its position in regional power trade between the Eastern and Southern Africa Power Pools,” said Dr. Mataragio.

Strengthening regional power trade

Dr. Mataragio highlighted that Tanzania is already interconnected with Kenya, Rwanda, Burundi, and Ethiopia through the East Africa Power Pool (EAPP). The TAZA line will extend this connectivity further south, linking Tanzania’s grid to Zambia and other Southern African countries.

He noted that these efforts form part of Africa’s broader energy vision to interconnect the continent’s power systems and extend access to nearly 600 million people who still lack electricity.

“We will also expand interconnections to northern and western Africa to make power trading across the entire continent a reality,” Dr. Mataragio added.

A $584 million partnership for growth

The TAZA project is being implemented by the Government of the United Republic of Tanzania in collaboration with development partners – including the World Bank, the European Union, and the French Development Agency (AFD) – at a cost of US$ 584 million.

Beyond linking Tanzania to regional grids, the project will also connect the Rukwa Region to the national grid for the first time, while improving the reliability and distribution of power in Iringa, Njombe, Mbeya, and Songwe regions.

Orders for timely completion

After inspecting the site, Dr. Mataragio instructed the Tanzania Electric Supply Company (TANESCO) to closely supervise contractors during the rainy season to ensure that foundational works are completed on schedule. He also directed the contractor to ensure all required materials are delivered to the project sites without delay.

In a related directive, he ordered TANESCO to expedite the supply of electricity to the Ngozi geothermal project site, where verification equipment is currently running on diesel fuel.

Dr. Mataragio was accompanied by Engineer Innocent Luoga, Commissioner for Electricity and Renewable Energy, and senior officials from the Ministry of Energy and TANESCO.

The strategic importance of TAZA

The Iringa–Tunduma–Zambia (TAZA) power transmission project forms part of Tanzania’s long-term plan to transform into a regional power hub. With the completion of the TAZA line, the country will be able to export surplus electricity generated from its hydropower and gas plants to southern African nations, enhancing energy security and boosting foreign exchange earnings. Once integrated with the Southern Africa Power Pool, Tanzania will gain access to a wider electricity trading platform that includes 12 countries, ranging from South Africa and Zambia to Zimbabwe and Mozambique – marking a historic step in the continent’s journey toward a unified African energy market.