MWE Correspondent
Tanzania has signed a contract worth Sh198.67 billion for the construction of a new 220-kilovolt (kV) electricity transmission line linking Iganjo in Mbeya Region with Saza in Songwe Region, alongside the construction of a power receiving and substation facility at Saza.
The project, which is scheduled to be completed within 18 months, is expected to significantly strengthen electricity transmission capacity in the two regions and support growing economic activities, particularly mining, agriculture, trade and other productive sectors.
The agreement was signed on September 11, 2026, in Saza Village, Songwe District, between the Tanzanian Government through Tanzania Electric Supply Company (TANESCO) and Chinese engineering company TBEA, which will undertake construction of the transmission line and the Saza receiving and substation facility.
Deputy Minister for Energy Salome Makamba said the project represents an important step towards addressing electricity supply challenges affecting parts of Mbeya and Songwe, while creating a stronger electricity network capable of supporting future economic growth.
Makamba said improved power reliability would be particularly important for mining activities in Chunya and Songwe districts, where demand for electricity is expected to increase alongside investment and production.
She added that reliable electricity would also support modern agriculture, businesses and other economic activities, while improving the quality and reliability of power available to households and institutions.
“The Government sees the electricity supply challenges facing your areas and continues to take action,” Makamba said, stressing that the project would help ensure that social and economic activities operate more efficiently while creating a stronger transmission network.
According to TANESCO Deputy Executive Director for Planning, Research and Investment Amos Joas, the project is designed to address limitations in the existing electricity supply arrangement serving Chunya and Songwe.
At present, some areas, particularly around Mkwajuni, receive electricity from Mbeya Region through the Mwakibete substation using a 33kV transmission line stretching more than 116 kilometres.
The long distance, combined with rising electricity demand, has contributed to challenges in maintaining reliable electricity supply in the affected areas.
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The new 220kV transmission connection is expected to provide a substantially higher-voltage route for transporting electricity into Songwe, improving the stability and capacity of the network.
Joas said the Sh198.67 billion project is expected to be completed within 18 months, making timely implementation critical as demand for electricity continues to increase.
Mining is among the sectors expected to benefit directly from improved electricity infrastructure.
Chunya and Songwe are important mining areas, and reliable electricity is essential for activities ranging from mineral processing and pumping to workshops, commercial operations and supporting services.
Chairperson of the Parliamentary Standing Committee on Energy and Minerals Subira Mgalu welcomed the project, saying it would provide direct benefits to communities while opening employment opportunities and supporting mining activities.
Improved power availability could also encourage additional investment in processing and value-addition activities, potentially allowing more minerals to be processed locally rather than being transported elsewhere for further processing.TANESCO Focuses On Rising Electricity Demand
TANESCO Board Deputy Chairperson Ambassador Zuhura Bundala said the project forms part of the utility’s broader efforts to expand and modernise Tanzania’s electricity infrastructure in response to rising demand.
She said TANESCO is working to ensure that new infrastructure is constructed efficiently and provides value for the funds invested.
The expansion of transmission infrastructure has become increasingly important as Tanzania adds new electricity generation capacity and seeks to connect more productive activities to the national grid.
Transmission lines are particularly important because generating additional electricity alone does not guarantee reliable supply if sufficient infrastructure is unavailable to move power from generation centres to areas where demand is concentrated.
Makamba also used the occasion to highlight the importance of the Tanzania-Zambia Transmission Interconnector Project (TAZA), describing it as part of the Government’s wider strategy to strengthen electricity transmission infrastructure and expand regional power trade.
TAZA is intended to improve electricity interconnection between Tanzania and Zambia, strengthening links between the East African and Southern African power systems and creating opportunities for increased cross-border electricity trading.
The Iganjo-Saza project therefore forms part of a wider push to create a stronger and more interconnected transmission network capable of supporting both domestic demand and regional electricity cooperation.
For Tanzania, stronger transmission infrastructure is becoming increasingly important as industrialisation, mining, urbanisation and electrification drive demand for dependable power.
The Iganjo-Saza project is expected to provide more than an immediate response to existing electricity challenges. By increasing transmission capacity and improving the network around Mbeya and Songwe, the investment could provide the infrastructure required for future industrial and commercial expansion.
The combination of a 220kV transmission line and the new Saza substation is also expected to improve the ability of TANESCO to manage electricity flows and respond to increasing demand.
With construction scheduled for completion within 18 months, attention will now turn to mobilisation, construction progress and ensuring that the project is delivered according to the agreed specifications, timeline and budget.
The Government says the investment demonstrates its commitment to building an electricity system capable not only of meeting current demand but also of supporting Tanzania’s future mining, agricultural, industrial and regional trade ambitions.
