Ruaha Energy Company, a Tanzanian developer of small power project mini-grids, has signed an agreement with Tanzania Electric Supply Company Limited (TANESCO) for delivery of 0.95 megawatt (MW) of power to the main grid from Ruaha’s facility in an industrial area in the heart of the new Kilosa Town.
The Standard Power Purchase Agreement (SPPA) is the first SPPA TANESCO has approved since 2016 and the first executed by any company under the 2017 Guidelines which were adopted in late October 2017.
Ruaha Energy has partnered with Cronimet Mining Power Solutions GmbH on the project which represents the Ruaha's first grid-connected Solar PV facility in a planned portfolio of six one-MW facilities being developed in the Kilosa District.
Site preparation and plant equipment acquisition activities are underway. First power will be delivered by year-end 2018.
The facility is being developed in Ruaha Energy's 400,000 square foot Kilosa Town complex which also includes Ruaha Energy's Regional Operations and Staging Center.
The plant also forms a part of CRONIMET's develoPPP.de programme, where CRONIMET partners with the German Investment & Development Organisation (DEG) in order to facilitate knowledge and skill transfer in the local renewable solar energy sector.
Undertheprogramthefacility will be used as a demonstration plant for training purposes to universities, programmes and individuals.
Ruaha Energy CEO John Tate said, "Executing the SPPA represents a significant milestone for the Company. This facility will serve as our anchor project in the Kilosa District and with the completion of our Regional Operations Center, will give us a platform for a quick launch of our Solar PV portfolio over the next couple years."
The facility is a solar photovoltaic power plant that will be connected to the main grid.
CRONIMET designed the facility which will be built, jointly owned, operated, and maintained by Ruaha Energy and CRONIMET.
Partial funding for the project was supplied through a grant awarded to the Project by EEP (the Energy and Environmental Partnership for Southern and Eastern Africa), a program funded by the Ministry for Foreign Affairs of Finland, the Austrian Development Agency, and the UK Department for International Development.
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