US dishes out $9.78m for energy support

 

 A statement availed to this paper yesterday by the US Ambassador to Tanzania M ark Childress said the grant agreement builds on a strong partnership between the United States and Tanzania.  

 

Between 2008 and 2013, MCC implemented a compact of investment projects in water, roads and electric power throughout Tanzania totaling $698 million.  

 

Childress who presided over the signing of the grant agreement at the Ministry of Finance in Dar es Salaam noted further that given its successful implementation of the first compact programme – the largest in MCC’s history – MCC designated Tanzania eligible to develop a second compact programme with a focus on the power sector, including investments in infrastructure as well as policy, regulatory and institutional reforms. 

 

According to the statement, the agreement was signed by MCC’s Vice President of Compact Operations, Kamran Khan and Minister of Finance, Saada Mkuya Salum.

 

That compact programme led to the construction of over 3,000 km of power lines, 450 km of trunk roads, two water treatment plants and an airport runway. 

 

It said through the grant agreement signed yesterday, Tanzania will mobilize consultants to undertake detailed feasibility studies and other preparatory work on project ideas that are most likely to stimulate long-term economic growth.  

 

The statement said the studies will allow Tanzania to fully develop projects to reform the power sector; improve the technical, financial and operational performance of the Tanzania Electricity Supply Company Ltd. (TANESCO) and the Zanzibar Electricity Corporation (ZECO) and expand access to electric power in rural areas.  

 

It stated that the proposed projects are expected to form the basis of a second MCC compact of investments between the United States and Tanzania.

 

“This project development grant marks an important milestone in the development of the second compact program.  The grant also marks a significant commitment toward the goals of Power Africa, the US Government initiative to double the number of people with access to power in Africa through collaboration with African governments, the private sector, and other development partners,” it said.