Dark
Light

Audit Unveils Over $1 Billion Loss in Power Sector

In response to these findings, stakeholders have emphasized the need for a comprehensive approach to address the root causes of revenue leakages.
October 25, 2025

A recent audit has uncovered a staggering revenue loss exceeding $1 billion in Tanzania’s power sector, attributed to widespread electricity theft and infrastructure vandalism.

The audit, conducted by the National Audit Office of Tanzania, highlights significant financial mismanagement and regulatory failures within the sector.

According to the NAOT report, the primary contributors to these losses include unauthorized connections, meter tampering, and the theft of essential components such as conductors and transformer oils. These illicit activities have not only led to substantial financial deficits but have also compromised the safety and reliability of the national electricity grid.

The audit further reveals that despite the establishment of various oversight mechanisms, enforcement remains inconsistent. Instances of duplicate permit verifications and delayed project implementations have exacerbated the situation, resulting in an estimated revenue loss of approximately TZS 41.18 million.

Also Read; Kenya President Defends Controversial Cyber Law

The Controller and Auditor General (CAG) has called for immediate reforms, including system upgrades and enhanced real-time monitoring, to curb these abuses and improve accountability within the sector.

In response to these findings, stakeholders have emphasized the need for a comprehensive approach to address the root causes of revenue leakages. Experts suggest that strengthening legal frameworks, increasing public awareness, and investing in modern infrastructure are crucial steps toward mitigating these challenges.

The government has acknowledged the severity of the issue and is exploring various strategies to enhance the efficiency and sustainability of the power sector. While specific measures are yet to be detailed, the commitment to reform signals a proactive stance in safeguarding public resources and ensuring equitable access to electricity for all Tanzanians.

Author

Leave a Reply

Your email address will not be published.

Don't Miss

Tanzanian Experts Urge Reliable Internet Access for Growth

Technology and policy experts in Tanzania have called on authorities

Tanzania, Mozambique Deepen Trade and Investment Ties

Tanzania and Mozambique have pledged to enhance their cooperation in