The Rural Electrification Project in Tanzania, headed by ABB and Kilombero Sugar Company along with UNDP, aims to set up a local entity owned by rural community to administer and manage rural electrification in two potential villages (Myage and Msolwa) around Kilombero estate. They hope that this will reduce poverty through access to energy, allowing for opportunities to develop the private sector and create jobs.
The project is to set up a local entity owned by the rural community to administer and manage rural electrification in two potential villages (Myage and Msolwa) around Kilombero estate. KSC sells power to a rural electricity entity and maintains the power supply, while ABB provides the initial installation of connections and upgrade of connections. Kilombero Community Trust will provide capacity building/training.
6% of the population in Tanzania has access to electricity. 80% of the population lives in rural areas and depend on collection of wood fuel etc. for energy supply. Socio-economic studies among rural households and especially rural enterprises show a willingness to pay for access to electricity, if only reasonably reliable and 24h services were available. Recent estimates indicate that poor households, once electrified, would initially consume about 30-200 W during 5 hours per day, corresponding to 55–360 kWh per year.
ABB, Kilombero Sugar Company, Kilombero Community Trust are working with Growing Sustainable Business, a part of UNDP, in order to help the rural population and its business owners acquire improved access to electricity and basic services around Kilombero estate.