Speech by EU Ambassador to Tanzania at the inauguration of the Ifakara Substation

In her speech, EU Ambassador Christine Grau  emphasized the sub-station's role in reducing power outages and improving local amenities, and highlighted the EU's ongoing commitment to Tanzania’s energy sector with 14 projects totaling TZS 601.6 billion. Ambassador Grau reiterated the EU’s support for Tanzania’s goal of universal electricity access by 2030, stressing the importance of renewable energy and strategic investments through the Global Gateway strategy.

Habari za Asubuhi!

It is my great pleasure to be back in Morogoro in just a month's time.  This is my second visit, and last time I was here with fellow EU Ambassadors. We enjoyed visiting and attending various initiatives supported by Team Europe in this beautiful region.

Today, I am delighted to attend the Inaugural Ceremony of the Ifakara Power Sub-station. We have been looking forward to launch officially the power sub-station.

Please allow me, on behalf of the European Union, to extend our warmest congratulations to REA and TANESCO as well as AEE Power (Spanish Contractor), Norplan (T) and Multiconsult AS (Consultant). Thank you to all engineers and workers, who worked hard the last five years to achieve the results we see today.

I would also like to express my appreciation to the Ministry of Energy and Regional and District Authorities for their kind support and cooperation to make the project smooth and sound. Hongera sana!

Tanzania and the European Union have a long-standing partnership on energy. We consider energy as one of the fundamental building blocks for inclusive socioeconomic growth and sustainable development.

The Ifakara sub-station is a critical part of this vision and is just one of 14 energy projects under on-going cooperation with Tanzania valued at TZS 601.6 Billion.

This significant financial support has been instrumental in promoting rural electrification, clean cooking solutions, renewable energy sources, power generation and transmission upgrades, energy efficiency measures, and crucial sector reforms.

I am aware that the substation is already making a positive impact on communities. Power outages have reduced, and important social amenities like schools, health centers, many households, and businesses have been connected, contributing to improved livelihoods.

The completion of the power distribution network in the villages and the inauguration of this sub-station today is an important step towards stable and reliable power supply to Ifakara and nearby districts.

These areas that have been facing an increase in population and in industrial and other economic activities with a corresponding growth in demand for power.

As the substation will be officially handed over to TANESCO for operation, it will contribute to achieving TANESCO’s objectives such as the reduction of losses and grid stabilization, ensuring a more efficient and reliable electricity system.

I understand that this area has high agriculture-based growth potential. It is fantastic that the completion of this project comes at this time as it will stimulate investments in agro-processing, thereby opening markets for processed agricultural products from paddy, maize, banana, sunflower, just to mention few.

The Government’s commitment to ensure universal access to electricity in Tanzania by 2030 is commendable, as is Tanzania’s strong investment in electricity generation and transmission with several projects in the pipeline and / or ongoing.

This is an ambitious endeavour, as it requires the mobilisation of massive financial resources. The European Union will support the country in this endeavour but it will need additional resources from the financial institutions to leverage the needs.

However, European Union grants could be used to reduce investment risks and therefore unlock the necessary investments that would not take place otherwise (blending) as it is already happening with the Kakono Hydropower Project (with AFD and AfDB), Tanzania-Zambia Interconnector (with AFD) and the Electrification of North-west part of Tanzania (KfW and AFD).

Let me reassure you, the European Union will persistently support the Government of Tanzania and contribute to making the aspiration of access to electricity a reality, for all households in Tanzania.

Let me also mention in this context the Blue Economy programme with an envelope of TZS 302 Billion in which sustainable energy to support productive sectors of fisheries, agriculture, tourism and industry will be a priority.

Let me conclude by underlining that for the European Union, Green Sustainable development through the Global Gateway approach and projects is a priority. We actively promote renewable energies and are keen to invest in key strategic infrastructures in partner countries.

The Ifakara sub-station embodies the spirit of our Global Gateway strategy which is crucial step in achieving Tanzanian universal energy access target.

Let me congratulate you again for the successful completion of this project which is another step for making sure that rural communities are reached by electricity.

Asanteni sana!