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Kenya and Tanzania to partner on development in Tanzania

Kenya and Tanzania to partner on development in Tanzania Great Wall Drilling rig on site in Kenya (source: cofek.co.ke)
Alexander Richter 13 Aug 2013

Kenya and Tanzania announce partnership in development of geothermal resources in Tanzania, applying a similar model as with Kenya's Geothermal Development Company (GDC).

Following a week long tour by 32 members of the Tanzania Parliamentary Committee on Energy and Mining to Kenya, both countries have now entered a partnership to develop geothermal resources in Tanzania.

As other countries in the region, Tanzania is looking at alternative sources to fuel the growing energy demand and to shift away from its over-reliance on hydro power.

Under the agreement, Kenya will help Tanzania to set up the right regulatory framework for geothermal exploration and development, and will include training for Ministry of Energy staff in Tanzania.

Four top officials will be trained by Kenya’s Geothermal Development Company. Kenya will come up with appropriate legal framework for geothermal exploration, create incentives for investors, licence and fund raise for geothermal projects.

While noting his country’s commitment to diversifying its energy sources, Mbise said a deal has been reached between GDC and the Tanzanian government to see the company offer consultancy services.

He said Tanzania will mirror GDC’s plan in geothermal energy to enable them meet the energy demand that is growing at 15 per cent annually. “With the new deal, Tanzania will meet the goal of doubling the stored energy capacity by 2015,” Mbise said.

The African Development Bank, which has been funding geothermal projects in Kenya, has offered to partner with Tanzania in its quest for geothermal energy. The country has a geothermal production potential of 650 megawatts compared to Kenya’s more than 10,000 megawatts potential. Mbise said Tanzania is committed to developing renewable energy sources in more than 50 geothermal sites.

Source: The Star