Tanzania: Uganda-Tanzania Interconnector Project (WB-P512145)

Regions
  • Africa
Geographic location where the impacts of the investment may be experienced.
Countries
  • Tanzania
Geographic location where the impacts of the investment may be experienced.
Specific Location
Kyaka, Nyakanazi, and Ibadakuli
Whenever identified, the area within countries where the impacts of the investment may be experienced. Exact locations of projects may not be identified fully or at all in project documents. Please review updated project documents and community-led assessments.
Financial Institutions
  • World Bank (WB)
International, regional and national development finance institutions. Many of these banks have a public interest mission, such as poverty reduction.
Project Status
Proposed
Stage of the project cycle. Stages vary by development bank and can include: pending, approval, implementation, and closed or completed.
Bank Risk Rating
A
Environmental and social categorization assessed by the development bank as a measure of the planned project’s environmental and social impacts. A higher risk rating may require more due diligence to limit or avoid harm to people and the environment. For example, "A" or "B" are risk categories where "A" represents the highest amount of risk. Results will include projects that specifically recorded a rating, all other projects are marked ‘U’ for "Undisclosed."
Voting Date
Nov 18, 2026
Date when project documentation and funding is reviewed by the Board for consideration and approval. Some development banks will state a "board date" or "decision date." When funding approval is obtained, the legal documents are accepted and signed, the implementation phase begins.
Borrower
Government of Tanzania - Tanzania Electric Supply Company Limited (TANESCO)
A public entity (government or state-owned) provided with funds or financial support to manage and/or implement a project.
Sectors
  • Energy
  • Hydropower
The service or industry focus of the investment. A project can have several sectors.
Investment Type(s)
Loan
The categories of the bank investment: loan, grant, guarantee, technical assistance, advisory services, equity and fund.
Investment Amount (USD)
$ 193.60 million
Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.
Project Cost (USD)
$ 400.02 million
Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.
Primary Source

Original disclosure @ WB website

Updated in EWS Sep 14, 2026

Disclosed by Bank Oct 3, 2025


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Project Description
If provided by the financial institution, the Early Warning System Team writes a short summary describing the purported development objective of the project and project components. Review the complete project documentation for a detailed description.

According to the Bank’s website, the objective of this project is to increase electricity connectivity and trade between Tanzania and Uganda.

The Project will mainly comprise construction of a 400 kV double-circuit transmission line (approximately 550 km within Tanzania) and associated substations, strengthening Tanzania's grid and supporting regional interconnections. The proposed project supports the implementation of a priority connection in the East Africa region and creates conditions for grid expansion in an access-deficit country. It forms an integral part of the East Africa Power Pool (EAPP) backbone transmission grid, while enhancing the reliability of power interchanges with the Southern African Power Pool (SAPP). The project further contributes to interconnections among Nile Equatorial Lakes (NEL) countries.

Overall, it supports the objectives of the regional power pools (SAPP and EAPP) to optimize energy flows, maximize economic trading, increase supply security, and reduce both carbon emissions and electricity costs. The proposed transmission line will help regional countries realize benefits from increased electricity access, shared natural resources, more affordable electricity prices, and improved system reliability through shared support across borders.The Project will comprise the following: (a) Construction of approximately 550 km of 400 kV double-circuit transmission line and associated substations at Kyaka, Nyakanazi, and Ibadakuli. (b) Environment and Social Mitigation, supporting implementation of environmental and social risk mitigation measures, including the Environmental Management Plan (EMP) with biodiversity offsets, the Resettlement Action Plan (RAP), and the Livelihood Restoration Action Plan (LRAP). (c) Project Implementation Support and Institutional Enhancement. This component will support project implementation including the detailed line design, contractor procurement, and implementation supervision. This component will also support project to enhance the institutional capacities of TANESCO, including readiness for operation of the integrated transmission systems and power trade. The capacity building will include activities on climate mitigation and adaptation as well as on the gender action plan to strategically create a system to attract, hire, promote, and retain female talent in the energy sector.

Early Warning System Project Analysis
For a project with severe or irreversible impacts to local community and natural resources, the Early Warning System Team may conduct a thorough analysis regarding its potential impacts to human and environmental rights.

Environmental risk is High because (i) the project will support construction of approximately 550 km of high voltage OHTL creating new environmental footprint in the modified as well as natural landscapes; (ii) part of OHTL will be undertaken in or close to sensitive areas (for example, Forest Reserves and national parks including critical habitats) and natural habitats including vegetation (e.g. miombo woodlands and forests) and wildlife (e.g. large mammals and birds); (iii) part of works will be in hilly areas with limited/no access roads. Vegetation clearance for creating wayleave, earth works, erection of towers and stringing of OHTL will be challenging in the difficult terrain and will likely carry risks of excessive damage of vegetations, disturbance of wildlife, triggering erosion, and polluting environment with waste dumped down the slopes as well as risks to the health and safety of workers and local communities; and (iv) institutional capacity of the clients to undertake environmental management in accordance with the World Bank ESSs.

The Social Risk is currently rated as High. Based on estimates, from the Backbone Transmission Investment Project in Tanzania that involve similar activities the planned works could affect approximately 7000 PAPs, 120 hectares, and 700 households. The project will affect the livelihoods of PAPs along the route both as a result of permanent acquisition but also due to temporary disruption including as a result of loss of access to resources. It is worth noting that TANESCO have had recent challenges in completing these processes in a timely and satisfactory manner. Specifically, funds to compensate PAPs might not be available to TANESCO during RAP implementation because of the cyclical nature of their release by the relevant ministries. Moreover, District compensation rates for crops might not be adequate, as they do not always reflect market rates. Moreover, a significant influx of labor is also to be expected in the project areas (Urban, Semi-Urban, and Rural) that hosts a wide array of PAPs that would include vulnerable persons (children/women, persons with disabilities etc.) who may be disproportionately affected by project impacts.

Investment Description
Here you can find a list of individual development financial institutions that finance the project.

Total Project Cost: US$ 400.02 million
IDA Credit: US$ 193.60 million
Non-World Bank Group Financing (Other Sources ): US$ 206.43 million

Private Actors Description
A Private Actor is a non-governmental body or entity that is the borrower or client of a development project, which can include corporations, private equity and banks. This describes the private actors and their roles in relation to the project, when private actor information is disclosed or has been further researched.

The Tanzania Electric Supply Company Limited (TANESCO) is a Tanzanian parastatal organisation established in 1964. It is wholly owned by the government of Tanzania. The Ministry of Energy and Minerals regulates the operations of TANESCO. Its business include: electricity generation, electricity transmission, electricity distribution and sale of electricity to the Tanzanian mainland and bulk power supply to the island of Zanzibar.

Private Actor 1 Private Actor 1 Role Private Actor 1 Sector Relation Private Actor 2 Private Actor 2 Role Private Actor 2 Sector
- - - - Tanzania Electric Supply Company Ltd. (TANESCO) Client -

Contact Information
This section aims to support the local communities and local CSO to get to know which stakeholders are involved in a project with their roles and responsibilities. If available, there may be a complaint office for the respective bank which operates independently to receive and determine violations in policy and practice. Independent Accountability Mechanisms receive and respond to complaints. Most Independent Accountability Mechanisms offer two functions for addressing complaints: dispute resolution and compliance review.

CONTACT POINT - World Bank

Task Team Leader: Paul Baringanire
Title: Senior Power Engineer
Email: pbaringanire@worldbank.org

TTL Contact: Rhonda Lenai Jordan Antoine
Job Title: Senior Energy Specialist
Email: rjordan@worldbank.org

ACCESS TO INFORMATION

To submit an information request for project information, you will have to create an account to access the Access to Information request form. You can learn more about this process at: https://www.worldbank.org/en/access-to-information/request-submission

ACCOUNTABILITY MECHANISM OF THE WORLD BANK

The World Bank Inspection Panel is the independent complaint mechanism and fact-finding body for people who believe they are likely to be, or have been, adversely affected by a World Bank-financed project. If you submit a complaint to the Inspection Panel, they may investigate to assess whether the World Bank is following its own policies and procedures for preventing harm to people or the environment. You can contact the Inspection Panel or submit a complaint by emailing ipanel@worldbank.org. Information on how to file a complaint and a complaint request form are available at: https://www.inspectionpanel.org/how-to-file-complaint

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