Describe the challenges of electric energy in Tanzania (be sure incorporate, social, political and economic aspects that inform the circumstances there) To get full marks, you must draw on the material and include examples.
Tanzania’s energy supply depends on hydropower, coal, natural gas, petroleum, biomass, wind, and solar resources. Biomass, i.e., firewood and charcoal are responsible for almost 85% of Tanzania’s total energy supply. Petroleum is responsible for 9% of the supply, electricity for 4.5% and other energy sources provide 1.2% of the total energy supply.
Total power installed capacity in Tanzania as reported in the year 2016 was 1357.69 MW in which the installed capacity of hydropower was around 42%, i.e., 566.79 MW, liquid fuel was 13%, i.e., 173.40 MW, and natural gas were 45% that makes it around 607 MW. Power is also imported into Tanzania from Zambia (5 MW), Uganda (10 MW) and Kenya (1 MW).
Tanzania depends on hydropower for most of its energy supply that leads to an energy supply shortage in the times of drought. Tanzania experienced this severe shortage of electricity in 2010 – 2011 when the people faced unlimited load shedding in the country. The Tanzania Electric Supply Company Limited (TAANESCO) that comes fully under government has been made responsible for the generation, distribution, and transmission of electricity in the country. TANESCO has contracted Energy Power Producers (EPPs) to overcome this power supply shortage. 108kWh of energy is reported to be consumed in an average capita in Tanzania per year. It is less than the average consumption of Sub-Saharan Africa that is measured to be 550kWh per year. But the increasing demand for electricity in the country is estimated to grow around 15% every year. The irony is that the government of Tanzania is currently only able to provide access to electricity to 24% of the total population. The government needs to plan a high increase in generation capacity (almost by 500%) to meet the needs of the people (Ahlborg and Hammar).
Almost 70% of the people of Tanzania live in rural areas where only 7% have access to the electricity supply. Thus, the rural connections levels need to be increased to a great extent. The government will require a large number of funds for the transmission, generation, and distribution system expansions so that this goal can be achieved. The Rural Energy Board (REB), The Rural energy funds (REF) and the rural energy agency (REA), have been set up in Tanzania by the government to facilitate, promote and stimulate this goal of electrifying the villages. The problem is that the people of the rural areas do not have enough social facilities and production opportunities. They have to spend 35% of their income on electricity while the rich people spend only around 14%. It creates a vicious cycle of poverty (Sackeyfio).
Sound electrification policies need to be defined to deal with these power supply shortages. One of the reasons for this increasingly growing demand for electricity is also population growth. Programs to control the population must also be introduced.
Ineffective governance plays a major role in any market failure. People do not have proper market information, judicial systems are inefficient, and the regulators put their political goals above the economy of the country. Institutions need to be set up to deal with these disastrous causes of market failures.
The countries like Tanzania which are unable to provide the infrastructure for the generation, transmission and the distribution of electric supply can take help from the private sector, development banks or non-profit organizations. Foreign direct investment (FDI) has been playing a great role for the past few decades in the growth of the developing countries. The institutions and the governments have the greatest impact on the country’s electric infrastructure system (D’Amelio, Garrone and Piscitello).
Work Cited
Ahlborg, Helene and Linus Hammar. “Drivers and barriers to rural electrification in Tanzania and Mozambique–Grid-extension, off-grid, and renewable energy technologies.” Renewable Energy 61.2014 (2014): 117-124.
D’Amelio, Matilde, Paola Garrone and Lucia Piscitello. “Can Multinational Enterprises Light up Developing Countries? Evidences from the Access to Electricity in sub-Saharan Africa.” World Development 88.1 (2016): 12-32.
Sackeyfio, Naaborle. “The Unfolding Nature of the Rural Poor, Rural Development and Public Service Delivery of Electricity in Ghana’s Fourth Republic.” Energy Politics and Rural Development in Sub-Saharan Africa. Cham: Palgrave Macmillan, 2018. 87-111.
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