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Home » EU Commits Over TZS 3 Trn to Tanzania’s Energy Sector as Strategic Partnership Marks 50 Years

EU Commits Over TZS 3 Trn to Tanzania’s Energy Sector as Strategic Partnership Marks 50 Years

Major investments under the Global Gateway strategy to boost renewable energy, cross-border infrastructure, and clean cooking solutions.

Abdulraheem Fatimah by Abdulraheem Fatimah
May 24, 2025
in News
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EU investment in Tanzania

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The European Union pledges over TZS 3 trillion to support Tanzania’s energy transition, marking 50 years of partnership with investments in hydropower.

As the European Union (EU) and Tanzania celebrate 50 years of diplomatic relations, the EU has announced a significant commitment of over TZS 3 trillion (approximately EUR 990 million) to Tanzania’s energy sector.

This investment is part of the EU’s Global Gateway strategy, aiming to support Tanzania’s transition to renewable energy and enhance regional energy integration

EU Ambassador to Tanzania, H.E. Christine Grau, emphasized the evolving nature of the EU-Tanzania partnership, stating, “Our partnership is evolving into a mature and strategic collaboration based on mutual interests and shared prosperity. We are not just donors, we are partners, and we are here to stay”

Key Investments Include:

  • Kakono Hydropower Plant: A project valued at EUR 299 million (TZS 880 billion), with the EU contributing EUR 36 million (TZS 106 billion) .
  • Cross-Border Energy Integration: Co-financing for interconnector projects with Zambia and Uganda, collectively valued at EUR 604.4 million (TZS 1.8 trillion) .
  • Clean Cooking Solutions: An existing investment of EUR 30 million (TZS 88 billion) and a new regional program worth EUR 20 million (TZS 59 billion) to scale up clean cooking and green energy solutions .

Additionally, the EU is supporting educational initiatives to promote gender equality in the energy sector.

In November 2024, 25 scholarships in sustainable energy engineering were awarded to young Tanzanian women, bringing the total to 35.

This initiative is part of Tanzania’s first Energy Efficiency Action Plan and aims to foster a more inclusive green transition.

These investments align with Tanzania’s Vision 2050, focusing on renewable energy, digitalization, value addition, and sustainable infrastructure.

The EU’s commitment underscores its role as a strategic partner in Tanzania’s development journey

Tags: EU
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Abdulraheem Fatimah

Abdulraheem Fatimah

Fatimah Abdulraheem is an emerging digital journalist passionate about crafting compelling narratives for today's media landscape. She combines fresh perspectives with journalistic standards to create engaging content that resonates with diverse audiences.

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