Symbion Power Kujenga Mtambo wa Umeme Mtwara

Symbion Power Kujenga Mtambo wa Umeme Mtwara

Ukweli ni kwamba Watanzania hatupendi fujo lakini vurugu za Mtwara zimewafanya Serikali kuogopa na kuwaheshimu watu wa Mtwara. Ndege ya ATC imeanza safari za Mtwara haraka sana baada ya fujo, miradi ya barabara iliyokuwa haiko tayari inaonekana kusimamiwa na mawaziri sasa. Lakini pamoja na hayo yote kuwatuliza wana Mtwara serikali imeamua kuweka uwekezaji wa umeme Mtwara kama wana Mtwara walivyokuwa wanataka.Serikali haitakiwi kusubiri fujo kufanya kazi kwa wananchi.

400MW plant for Mtwara
headline_bullet.jpg
Project includes 650-kilometre transmission link to national grid

Hanks%20symb(1).jpg

Paul Hinks, Symbion Power`s Chief Executive Office


Tanzania Electric Supply Company (TANESCO) and US-based energy firm Symbion Power are to embark on the construction a 400 MW gas-fired power generation plant for Tanzania's southern regions. Top officials of the two firms told reporters yesterday in Dar es Salaam that the joint venture project, is to be constructed in Mtwara,.

The two partners yesterday signed a Memorandum of Understanding (MoU) for implementation of the project under public-private partnership. The MoU was signed by Tanesco Acting Managing Director, Felchesmi Mramba and Symbion Chief Executive Officer, Paul Hinks. Although the project may look like an "alternative strategy" to calm down Mtwara residents who recently staged violent protests against a government-backed gas pipeline from Mtwara to Dar es Salaam, both Tanesco and Symbion officials made clear that "their project has no connection with the Chinese-financed gas pipeline."

"This project should not be seen as a replacement of the rejected government gas pipeline…these are completely separate and unrelated projects," Tanesco Board Chairman, retired army chief, Robert Mboma clarified, shortly after signing of the MoU at Tanesco's head office.

The two partners will set up a joint company to oversee the project, which include construction of a 650-kilometre transmission backbone from Mtwara to Songea where it will be connected to the national power grid through a line that will be built from Makambako to Songea. Implementation of the project will be phased, according to Mramba, noting: "It will take three years from financial closure to completion."

The first phase will involve increasing the existing capacity in Mtwara to meet the growing demand in the southern regions of Lindi and Mtwara itself. Engineering study is expected to start in March, after which construction works would commence this year, according to Hinks.

Speaking on the positive elements of the project, Hinks said: "The South of Tanzania has been starved of energy for decades and this has severely stunned its development. However, this project will succeed because it includes transmission lines that will feed the grid system…the transmission lines will be owned exclusively by Tanesco but they will be built as part of the project."

He explained that Symbion and Tanesco will be working with a number of international funding agencies, banks and private equity firms this year in order to put project's financial package together, noting: "Many partners have already expressed great interest in the project. We are hopeful that US government agencies such as the US Exim Bank and the US Overseas Private Investment Corporation will show keen interest in the investment too."

Symbion predicts bright future for Tanzania in terms of energy resources, saying the country has abundant gas and "could become self sufficient and even a regional exporter to countries that are not blessed with fuel resources." Mramba said southern regions have experienced poor power reliability for many years due to lack of connection to the national grid and expressed optimism that through the planned Tanesco and Symbion partnership project, Lindi, Mtwara and Ruvuma will be connected to the national grid.

"Connecting southern regions to the national grid will significantly improve reliability of the entire electricity network. This is one of the best ways Tanesco can benefit from the PPP arrangement whereby the public and private sector join hands to undertake projects that would otherwise be difficult to implement."

Besides power supply, according to Tanesco and Symbion officials, the project would create jobs and incomes for millions of residents in the southern regions. Discussions (between the two partners) on the project started in September, last year when Symbion presented the proposal to Tanesco and the Ministry of Energy and Minerals. Yesterday's signing of board-approved MoU allows the companies to form a public private partnership and develop the project. It will take around 12 months to put the necessary financing in place before the three-year clock begins to tick, according to Symbion chief executive officer.

Details on the total cost of the entire project were not disclosed yesterday, with Tanesco and Symbion top officials only saying: "The cost will be known and publicly announced after completion of the engineering study and other ground works."

SOURCE: THE GUARDIAN
 
Hawa ni ma-spy watupu wa Marekani. Kuna uzi humu unaojadili hawa watu.

Pamoja na hao 'majasusi' una hakika hakuna local shareholders? Hawa local ndio muhimu wafahamike kwa sababu yawezekana ndio wanaoinfluence maamuzi.
 
  • Thanks
Reactions: FJM
Imeripotiwa kuwa TANESCO na Symbion power company zimeingia makubaliano ya kuzalisha umeme wa MW 400 mjini Mtwara na kusambazwa mikoa ya Mtwara, Lindi hadi Ruvuma kupitia Tunduru. Then, gridi ya taifa itasogezwa kutoka makambako hadi Songea kuuchota umeme huo.

Najua mradi huu una nia njema ktk kutuletea maendeleo. Lakini najiuliza tu km mradi huu ni sehemu ya utekelezaji wa ahadi ya Mh. Pinda kwa madai ya watu wa kusini kuwa umeme ufuliwe huko. Najiuliza pia kuwa au ni kukidhi mahitaji makubwa ya umeme kwa ajili ya mgodi mkubwa unaotarajiwa kuanza kazi wa Uranium pale Tunduru ndani ya mbuga ya Selous (Game Reserve)? Tukizingatia kuwa Symbion ni ya wamarekani, UNESCO walishabariki haraka sana eneo la madini pamegwe na kuwa nje ya Selous na muhimu zaidi ni kuwa mmiliki wa mgodi huo ni Mmarekani pia (ambapo kaka wa Obama yaani former president "Pori" anatajwa).
==========================================================================
14th February 2013







headline_bullet.jpg
Project includes 650-kilometre transmission link to national grid
Tanzania Electric Supply Company (TANESCO) and US-based energy firm Symbion Power are to embark on the construction a 400 MW gas-fired power generation plant for Tanzania’s southern regions.
Top officials of the two firms told reporters yesterday in Dar es Salaam that the joint venture project, is to be constructed in Mtwara,.
The two partners yesterday signed a Memorandum of Understanding (MoU) for implementation of the project under public-private partnership. The MoU was signed by Tanesco Acting Managing Director, Felchesmi Mramba and Symbion Chief Executive Officer, Paul Hinks.
Although the project may look like an “alternative strategy” to calm down Mtwara residents who recently staged violent protests against a government-backed gas pipeline from Mtwara to Dar es Salaam, both Tanesco and Symbion officials made clear that “their project has no connection with the Chinese-financed gas pipeline.”
“This project should not be seen as a replacement of the rejected government gas pipeline…these are completely separate and unrelated projects,” Tanesco Board Chairman, retired army chief, Robert Mboma clarified, shortly after signing of the MoU at Tanesco’s head office.
The two partners will set up a joint company to oversee the project, which include construction of a 650-kilometre transmission backbone from Mtwara to Songea where it will be connected to the national power grid through a line that will be built from Makambako to Songea.
Implementation of the project will be phased, according to Mramba, noting: “It will take three years from financial closure to completion.”
The first phase will involve increasing the existing capacity in Mtwara to meet the growing demand in the southern regions of Lindi and Mtwara itself. Engineering study is expected to start in March, after which construction works would commence this year, according to Hinks.
Speaking on the positive elements of the project, Hinks said: “The South of Tanzania has been starved of energy for decades and this has severely stunned its development. However, this project will succeed because it includes transmission lines that will feed the grid system…the transmission lines will be owned exclusively by Tanesco but they will be built as part of the project.”
He explained that Symbion and Tanesco will be working with a number of international funding agencies, banks and private equity firms this year in order to put project’s financial package together, noting: “Many partners have already expressed great interest in the project. We are hopeful that US government agencies such as the US Exim Bank and the US Overseas Private Investment Corporation will show keen interest in the investment too.”
Symbion predicts bright future for Tanzania in terms of energy resources, saying the country has abundant gas and “could become self sufficient and even a regional exporter to countries that are not blessed with fuel resources.”
Mramba said southern regions have experienced poor power reliability for many years due to lack of connection to the national grid and expressed optimism that through the planned Tanesco and Symbion partnership project, Lindi, Mtwara and Ruvuma will be connected to the national grid.
“Connecting southern regions to the national grid will significantly improve reliability of the entire electricity network. This is one of the best ways Tanesco can benefit from the PPP arrangement whereby the public and private sector join hands to undertake projects that would otherwise be difficult to implement.”
Besides power supply, according to Tanesco and Symbion officials, the project would create jobs and incomes for millions of residents in the southern regions.
Discussions (between the two partners) on the project started in September, last year when Symbion presented the proposal to Tanesco and the Ministry of Energy and Minerals.
Yesterday’s signing of board-approved MoU allows the companies to form a public private partnership and develop the project. It will take around 12 months to put the necessary financing in place before the three-year clock begins to tick, according to Symbion chief executive officer.
Details on the total cost of the entire project were not disclosed yesterday, with Tanesco and Symbion top officials only saying: “The cost will be known and publicly announced after completion of the engineering study and other ground works.”
SOURCE: THE GUARDIAN
 
Sioni tatizo la mradi huo wa umeme na machimbo ya uranium cha muhimu ni kudhibiti ufisadi kwenye mradi sijui itwezekana vipi bila POAC na spika wa bunge mjinga.
 
Mimi binafsi katika kampuni kumi ninazoziogopa kama UKOMA symbion imo kwenye tatu hatari.
 
mtera.jpg


Mtera Hydro Electric Dam Mpakani mwa mikoa ya Iringa na Dodoma

Symbion/ Tanesco zatiliana saini umeme Mtwara
NEEMA imeshuka mkoani Mtwara baada ya Shirika la Umeme Tanzania (Tanesco), kuingia mkataba na Kampuni ya kuzalisha umeme ya Symbion kujenga kituo cha mitambo ya kuzalisha nishati hiyo megawati 400. Hatua hiyo inatafsiriwa kuwa ni neema baada ya hivi karibuni kuwapo kwa vurugu mkoani humo, ambapo miongoni mwa madai ya wananchi yalikuwa kutaka umeme wa kutosha ili kuwezesha uwekezaji kwa watu wanaotaka.

Akizungumza jana Jijini Dar es Salaam, katika hafla fupi ya kutiliana saini mkataba huo wa makubaliano,Ofisa Mtendaji Mkuu wa Symbion, Paul Hinks alisema kuwa umeme wa gesi utakaozalishwa katika mradi huo licha ya kuwanufaisha wananchi wa Mtwara, pia unatarajiwa kuunganishwa kwenye gridi ya taifa ya Tanesco. " Tathimini ya mradi huu inatarajiwa kuanza mapema Machi mwaka huu na utakamilika baada ya miaka mitatu, lakini unatarajiwa kuwaneemesha wakazi wa mkoa huo na Mikoa ya Kusini kwa ujumla, kwani ukikamilika unaweza kushusha gharama za nishati hii muhimu. Alisema mradi huo utatoa ajira kwa watu wengi na utatumika kwa kiwanda cha saruji na mbolea vinavyotarajiwa kujengwa huko.

Kwa upende wake Mwenyekiti wa Bodi ya Tanesco, Jenerali Mstaafu, Robert Mboma , aliitaka menejimenti ya shirika hilo kuhakikisha inaharakisha utekelezaji wa makubaliano hayo ili kukamilisha mradi huo. Mboma alisema mradi huo unaohusisha gesi ya Mnazi Bay unatakiwa ukamilike kwa wakati. "Kutokana na kuongezeka kwa shughuli za kiuchumi katika Mikoa ya Lindi na Mtwara kunakoenda sambamba na shughuli za utafiti na uchimbaji wa mafuta na gesi na mahitaji ya umeme katika mikoa hiyo yanatarajiwa kukua na kufikia megawati 200 katika miaka mitatu ijayo,"alisema Generali Mboma. Alisema mahitaji mengine kwenye gridi ya taifa na uwezekano wa kusambaza umeme katika nchi jirani hasa Msumbiji na Malawi ambazo zimeonyesha nia.

Kwa upande wake Kaimu, Mhandisi Felchesmi Mramba alisema Tanesco itahakikisha mradi unakamilika kwa wakati na kwamba tayari taratibu zingine zikiwamo kuundwa kwa kampuni moja ya kusimamia mradi zimeanza kutekelezwa. Alisema Serikali kupitia Tanesco imedhamiria kuboresha maisha ya Watanzania hususan wakati wa Mtwara na kwamba mradi ukikamilika Mtwara na vijiji vyake itakuwa na umeme wa kutosha. Aliomba ushirikiano kwa wakazi wa Mtwara kufanikisha mradi.


 
Nitaendelea kuwa "Thomaso" hadi NIONE HUO UMEME unafuliwa MTWARA maana hawa jamaa maneno mengi sana vitendo sifuri!Kwetu Kyela mwaka 2006 mradi wa barabara ya Kyela-Matema ulisainiwa kwa mbwembwe mno na kila aina ya burudani lkn hadi leo hatujaona barabara!
 
Nitaendelea kuwa "Thomaso" hadi NIONE HUO UMEME unafuliwa MTWARA maana hawa jamaa maneno mengi sana vitendo sifuri!Kwetu Kyela mwaka 2006 mradi wa barabara ya Kyela-Matema ulisainiwa kwa mbwembwe mno na kila aina ya burudani lkn hadi leo hatujaona barabara!

Inawezekana ukawa sahihi kutokana na miezengwe ilivyozoeleka kutupaka kiwi machoni. Wananchi Mtwara wasikubali hadi waone mitambo inafungwa na umeme upo, vinginevyo kila walicho nacho kitang'olewa na kupelekwa Bagamoyo hadi crane za bandarini.
 
Hii bodi ya TANESCO chini ya Generali mimi inanipatia wasiwasi na utendaji wake. inaonekana wanafanya kazi kwa njia ya kuzima zima moto kama shirika lenyewe lilivyo. Ninakumbuka kuna uzi uliletwa na mtu aliyejitambulisha kama mbuge ambao moja ya malalamiko yalikuwa yanamuhusu generali.

Maisha yote Jeshini halafu uzeeni body management, wapi na wapi.
 
Hii bodi ya TANESCO chini ya Generali mimi inanipatia wasiwasi na utendaji wake. inaonekana wanafanya kazi kwa njia ya kuzima zima moto kama shirika lenyewe lilivyo. Ninakumbuka kuna uzi uliletwa na mtu aliyejitambulisha kama mbuge ambao moja ya malalamiko yalikuwa yanamuhusu generali.

Maisha yote Jeshini halafu uzeeni body management, wapi na wapi.

Hata marekani generals jeshini walistaafu wanapewa kazi za bodi kwenye makampuni yenye muhimbili wa usalama......ie reli,nishati,bandari etc......hii kampuni ya Symbion ni moja ya makampuni yanayoongozwa na retired commanders
 
Nitaendelea kuwa "Thomaso" hadi NIONE HUO UMEME unafuliwa MTWARA maana hawa jamaa maneno mengi sana vitendo sifuri!Kwetu Kyela mwaka 2006 mradi wa barabara ya Kyela-Matema ulisainiwa kwa mbwembwe mno na kila aina ya burudani lkn hadi leo hatujaona barabara!

hapo umesema kweli mkuu

mchakato wa kutafuta fedha, MWAKA MZIMA (maana yake hela kwa sasa hakuna)

ujenzi, MIAKA MITATU (ni sahihi kama hela ipo)

kwa kifupi mpaka ujengwe ndio tutaamini ..... bila sivyo huu ni usanii mwingine, wana mtwara wakishtuka bomba la gesi kwenda mkoa wa pwani limekamilika na symbion wanarudi na kusema wameshindwa kupata fedha za mradi huu umeme mtwara
 
Hata marekani generals jeshini walistaafu wanapewa kazi za bodi kwenye makampuni yenye muhimbili wa usalama......ie reli,nishati,bandari etc......hii kampuni ya Symbion ni moja ya makampuni yanayoongozwa na retired commanders

Mkuu,
Usilinganishe TANESCO na hiyo kampuni. Symbion power ni ya vinara wa siasa za USA, Hiyo management ni proxy ya hao vinara wa USA. Halafu wenzetu ukifikia kwenye cheo kama cha generali lazima upitia maswala management ambapo kwetu sina uhakika.
 
Ngoja watuletee maendeleo bana

Watakuletea maendeleo ikiwa kama hao Wamarekani ni wajomba au shangazi zako. Hizi fikra mgando sijui zitaisha lili, ukimwoma Bush au Clinton Mtwara si akana kwamba amekuja kukuletea maendeleo, bali amekuja kuthibitisha na kusafisha macho juu ya yale aliyoambiwa na wapelelezi wao wa kiuchumi. Endeleeni kusubiri maendeleo............
 
Symbion Power Agrees to Build 400MW Power Plant in Tanzania

2013-02-13 | By David Malingha Doy

Feb. 13 (Bloomberg) -- U.S.-based co. reached agreement with Tanzania Electric Supply Co. to construct facility in
southern Mtwara connected by 650-km transmission line to the national grid in Songea, Symbion says in e-mailed statement.

* Financing may come from U.S. govt agencies including the U.S. Export-Import Bank and Overseas Private Investment
Corp., Symbion CEO Paul Hinks says, according to statement

Hilo ni changa la macho kwa wadanganyika. Hakuna kitu hapo kinacho husiana na Gesi. Mkataba wa bomba la Gesi ni Wachina, na mlishaambiwa lazima Gesi iende Kinyerezi-Bagamoyo-Mombasa-China. Hayo ya Symbion na TANESCO haviendani na mkataba wa waChina bandugu. Yote hiyo ni kuwazuga wana Ntwara. WAMAKONDE MMELIWA!!!!!!!!!!!!!
 
Kujenga wenyewe hatuwezi, Wachina hatuwataki, Symbion hatuwataki, tunataka ajenge nani? Kama JF Great Thinkers lazima tuwe reasonable, siyo kugomea kila kitu bila hata sababu ya msingi, tukiendelea hivyo tutapuuzwa maana itaonekana sisi kazi yetu ni kugomea kila kitu.

Mimi ninavyojua Symbion ndiyo wenye capacity charge ya chini kabisa kuliko makampuni yote, kwa maelezo yako inaonekana hawa labda ndiyo wenye capacity charge ya juu, una data zozote za kuthibitisha hilo? Jambo muhimu kuliko yote ni aina ya mkataba kati ya Symbion na TANESCO/Serikali. Jambo jema ingekuwa kuilazimisha kampuni hii kujiandikisha kwenye Dar Stock Exchange ili na Watanzania wanunue hisa, nao waweze kufaidi faida inayotokana na miradi mikubwa kama hii.

hawa symbion ndio bomu ... hatari... si tunaona inavyoikamua tanesco na capacity charge sasa naona wanahamia huko kwenye gesi..muda utaongea ...
 
Kujenga wenyewe hatuwezi, Wachina hatuwataki, Symbion hatuwataki, tunataka ajenge nani? Kama JF Great Thinkers lazima tuwe reasonable, siyo kugomea kila kitu bila hata sababu ya msingi, tukiendelea hivyo tutapuuzwa maana itaonekana sisi kazi yetu ni kugomea kila kitu.

Mimi ninavyojua Symbion ndiyo wenye capacity charge ya chini kabisa kuliko makampuni yote, kwa maelezo yako inaonekana hawa labda ndiyo wenye capacity charge ya juu, una data zozote za kuthibitisha hilo? Jambo muhimu kuliko yote ni aina ya mkataba kati ya Symbion na TANESCO/Serikali. Jambo jema ingekuwa kuilazimisha kampuni hii kujiandikisha kwenye Dar Stock Exchange ili na Watanzania wanunue hisa, nao waweze kufaidi faida inayotokana na miradi mikubwa kama hii.
soma hii habari na hii upate majibu yako ya capacity charges
[h=2]Govt faces tough moment as power woes loom large[/h]


By Florian Kaijage




15th December 2012






Tanesco-Hq%281%29.jpg


TANESCO



The Government faces difficult choices of approving the 81.27 percent increase in electricity tariffs or continue spending tax-payers monies estimated at Sh160 billion in monthly subsidies to the financially troubled Tanzania Electrical Supply Company (TANESCO).

Tanesco's total monthly revenue collection stands at Sh90 billion but it spends Sh250 billion to sustain its power generation – a deficit of Sh160 billion.

From these figures, it is clear that even if the government were to approve a hike in power tariffs by 81.27 percent as requested, that increase would bring only Sh72 billion – and there would still be a deficit of Sh88 billion.

Earlier this week, the Minister of Energy and Minerals, Professor Sospeter Muhongo assured the public that there would be no hike in power tariffs, but that statement is likely to prove a mere temporary reprieve.

And if Muhongo's public statement could stand – partially sanctioned by the Energy and Water Utilities Authority (EWURA) -- there would still be a huge financial burden on government business as Tanesco continues to operate on unimaginable losses.

Tanesco business figures reveal that the national utility firm is nowhere near breaking even in its routine operations, leave alone making a profit.

The main question here is; who will bear the cost emanating from Tanesco's losses to the tune of Sh160 billion a month? This staggering amount of money comes from the fact that the state-owned utility firm spends Sh249.6 billion a month to generate electricity.

Based on that figure, it implies that Tanesco needs Sh3.036 trillion ($1.89 billion) per annum, which exceeds 20 percent of the current country's annual budget of Sh15.1trillion (for the 2012/13 fiscal year).

The exorbitant costs of generating electricity is rooted in the privately owned diesel and Heavy Fuel Oil (HFO) powered plants located in Dar es Salaam, Dodoma and Arusha, consuming Sh42 billion monthly in capacity charges -- which is nearly 50 percent of Tanesco's total monthly revenue

Capacity charge is money paid to the owner of the power generating plant regardless of the operation of that plant, which means the money accumulates every month and has to be paid even if the plants were to switch off.

These costs do not include the price tag for buying power from the same independent power producers – while the so-called capacity charges still have to be paid whether Tanesco consumes electricity or not.

The financially troubled Tanesco is now asking for the 81.27 percents increase in power tariffs -- or risk bankruptcy.

Tanesco acting Managing Director, Felchesmi Mramba told this paper on Thursday that his office sought the tariff hike as agreed with Ewura through a formulae prepared by a Spanish consultant, AF-MECADOS.

"There were a number of factors which the consultant did not take into account … we argued that considering those factors … including increased dependency on fuel-powered generating plants, an 81.27 percent increase was deemed appropriate," noted Mramba.

On Muhongo's statement that there will no tariff hike Mramba said Tanesco was aware of the ministry's position before they engaged in the discussion with Ewura for the proposed increase on electricity charges.

He expressed: "We do not see any problem in the statement by the minister … so long as the central government is ready to provide the much-needed funds so that Tanesco can carry on with its smooth operations.

"There are two different ideas; the first one is that every person who consumes electricity should pay appropriate tariff, and the second idea is for the government to subsidize the tariff from taxpayers' money.

"This is because most of the people prefer paying low tariffs and that forms the basis for the government's continued subsidy … though this is unfair to taxpayers who are not connected to the power grid," Mramba observed.

Official figures at the ministry of Energy and Minerals show that only 18 percent of Tanzanians are connected to electricity, most of them urban areas – and just 6.5 percent of rural residents have access to power, even though they form 75 percent of the country's population. The national five-year development plan inaugurated in June 2011 projects the increase of connectivity to electricity at 30 percent by year 2015.

Mramba is optimistic that the current overspending on power generation would end in the next two years upon completion of the Mnazi Bay/Songosongo – Dar es Salaam gas pipeline which is under construction. Power generation by gas is billed to be 50 percent cheaper.

The 532-Kilometer pipeline is expected to haul an estimated 420 million standard cubic feet a day, enough to generate more that 2000MW of electricity.

The Ghost of capacity charges

Last July this paper reported exclusively that, according to Tanesco's financial analysis and forecast for the period between July and December 2012, capacity charges alone would cost the state power utility a whopping Sh256 billion. At the same time, Tanesco would spend another Sh331 billion during the same period an average of Sh55 billion per month to buy electricity from private producers.

This means that, when all the sums are done, Tanesco would be left with a monthly deficit amounting to Sh3 billion shillings.

However, the problems have since worsened with the drastic drop of water levels at the six hydropower generating dams, namely Kidatu, Mtera, Kihansi, New Pangani, Hale and Nymba ya Mungu.

The biggest winners in Tanesco's spending spree are Songas, Independent Power Tanzania Limited (IPTL), Symbion and Aggreko.

Symbion alone would pocket a staggering Sh85.755 billion in six months in capacity charges from its plant located in Dodoma, but would still sell power to Tanesco worth Sh19.602 billion -- which surpasses its ability to sell by more than 400 percent. According to technical documents made available to The Guardian, the same company (Symbion) would receive a monthly Sh74.327 billion over the next six months (Sh12 billion) in capacity charges, but would still sell power worth Sh20 billion at its heavy fuel powered plant in Arusha.

Songas was meanwhile projected to make Sh28.248 billion in capacity charges over the same period, but would sell power worth Sh56.103 billion (Sh9 billion) every month. IPTL is the only independent producer making lowest returns on capacity charges, projected at Sh4.964 billion during a period it expects to produce energy worth Sh168.9 billion.

Symbion Dar es Salaam will charge comparatively lower expenses on capacity charges against money spent on power purchases, now currently estimated at monthly incomes of Sh22 billion in capacity charges and Sh35.3 for sale of energy from its Jet A1 fuel-powered plant, while Aggereko would receive is Sh12 billion in capacity charges compared to Sh24.691 for energy produced.

This paper had also established that Tanesco had projected to spend Sh69.83 billion in six months on fuel and lubricants to run the independent power plants and some owned by Tanesco – all amounting to Sh11.6 billion.




SOURCE: THE GUARDIAN
na hii

[h=2]Dar`s power blues: How Tanesco loses billions[/h]


By Florian Kaijage




28th July 2012



Professor Sospeter Muhongo









When politicians, notably Members of Parliament, wanted electricity at any cost – and threatened to block the budget estimates of the ministry of energy and minerals last year -- little did they know they were also courting financial dire straits for the state-owned power utility firm.

Though they won the battle, the war still holds because the Tanzania Electric Supply Company (TANESCO) is now spending half its revenue on exorbitant capacity charges to independent power producers.

These costs do not include the price tag for buying power from the same independent power producers – while the so-called capacity charges still have to be paid whether Tanesco consumes electricity or not.

Capacity charge is money paid to the owner of the power generating plant regardless of the operation of that plant, which means the money accumulates every month and has to be paid even if the plants were to switch off.

As things now stand, Tanesco's monthly collections between July and December, this year, stand at an average Sh94 billion per month, but the firm will have to spend half of that money on capacity charges, with the biggest chunk of it goes to Symbion Power -- the company that inherited the controversial operations of Dowans Tanzania.

The revelations come amid claims that the cash-strapped power utility is making a huge profit from its monthly revenue collections, but the firm cannot sustain its operational cost.

According to Tanesco's financial analysis and forecast for the period under question (July-December), capacity charges alone would cost the state power utility a whopping Sh256 billion. At the same time, Tanesco will spend another Sh331 billion during the same period an average of Sh55 billion per month to buy electricity from private producers, The Guardian has established.

This means monthly that, when all the sums are done, Tanesco will be left with a monthly deficit anounting to Sh3 billion shillings.

The Minister for Energy and Minerals, Professor Sospeter Muhongo was quoted this week as saying that Tanesco's income stood at Sh94 billion a month and put the firm's monthly recurrent expenditure at a mere Sh11 billion – rubbishing Tanesco's apparent financial crisis – and argued that Tanesco doesn't need any fiscal assistance from the central government. He also queried the expenditure of the remaining money after deductions of recurrent expenditures, such as salaries.

According to the financial analysis and forecast, the biggest winners in Tanesco's spending spree are Songas, Independent Power Tanzania Limited (IPTL), Symbion and Aggreko.

Symbion alone will pocket a staggering Sh85.755 billion in the next six months in capacity charges from its plant located in Dodoma, but would still sell power to Tanesco worth Sh19.602 billion -- which surpasses its ability to sell by more than 400 percent. According to technical documents made available to The Guardian, the same company (Symbion) would receive a monthly Sh74.327 billion over the next six months (Sh12 billion) in capacity charges, but would still sell power worth Sh20 billion at its heavy fuel powered plant in Arusha.

Songas is meanwhile projected to make Sh28.248 billion in capacity charges over the same period, but would sell power worth Sh56.103 billion (Sh9 billion) every month. IPTL is the only independent producer making lowest returns on capacity charges, projected at Sh4.964 billion during a period it expects to produce energy worth Sh168.9 billion.

Symbion Dar es Salaam will also comparatively lower expenses on capacity charges against money spent on power purchases, now currently estimated at monthly incomes of Sh22 billion in capacity charges and Sh35.3 for sale of energy from its Jet A1 fuel-powered plant, while Aggereko would receive is Sh12 billion in capacity charges compared to Sh24.691 for energy produced.

This paper has also established that Tanesco has projected to spend Sh69.83 billion in the next six months on fuel and lubricants to run the independent power plants and some owned by Tanesco – all amounting Sh11.6 billion.

In its last edition of July 22, our sister paper, The Guardian on Sunday carried a story on an apparent dark cloud of power shedding should the government back down on its own pledges to bail out its money-starved Tanesco.

That came in the wake of apparent government attempts at shifting goal posts, analysts said, citing suspension of Tanesco's top management as a case in point.

The Permanent Secretary of the Ministry of Energy and Minerals, Eliakim Maswi, had earlier accused the state-owned utility firm's top managers of ‘intentionally' planning and initiating power rationing to damage the credibility of the government in the Parliament.

.Analysts said there was a close link between the financial crisis facing the cash-strapped power firm and its failure to secure a Sh408 billion loan from the consortium of local banks, as well the government's delayed guarantee required by the lenders. They are instead processing for $65 million (Sh103) billion as a bridge financing to Tanesco, according to Finance Minister, Dr William Mgimwa.

Fears of a repeat period of black-outs stem from the fact that while the government has not honoured its financial commitments to Tanesco – made public inside Parliament last August -- the level of waters in the main hydropower generation dams is dropping drastically, with the likelihood that it could worsen by the end the year.

However, the ministry of Energy and Minerals through it minister, Professor Muhongo and Permanent Secreatry, Elikim have dismissed any possibility of power crisis noting that there were enough initiatives to avoid power rationing and ensure reliable power generation and supply.

The duo concurred in their statement early this week that there was enough money to purchase fuel for independent power generating plants and that the situation was manageable.



SOURCE: THE GUARDIAN
 
[h=3]Bloomberg News
Symbion Power Seeks to Expand Capacity in Tanzania, CEO Says[/h] By David Malingha Doya on June 13, 2011


June 13 (Bloomberg) -- Symbion Power LLC, owner of a 120- megawatt power plant in Tanzania, is interested in expanding capacity in the East African nation and may make further acquisitions there, Chief Executive Officer Paul Hinks said.The company, based in Washington D.C., is in talks with the Tanzania Electric Supply Co. about boosting output and any increase “will depend on Tanesco wanting us to produce more,” Hicks told reporters yesterday in Dar es Salaam, the commercial capital. “We also hope to make some more acquisitions, but there is nothing in the pipeline.”
Symbion purchased the gas-fired Dowans Power plant in Tanzania last month. The acquisition is one of the measures that the Tanzanian government expects to help close a 260-megawatt power deficit in East Africa’s second-biggest economy, Energy and Mineral Minister William Ngeleja told reporters in Dar es Salaam yesterday.


Last week, the Planning Commission in the Tanzanian presidency published a five-year development plan that proposes spending 4.7 trillion shillings ($2.96 billion) to increase electricity output to 2,780 megawatts by 2015 from 1,000 megawatts currently.

The Tanzanian government also has $206 million available from a U.S. grant program to improve electricity distribution in the country, according to the U.S. Embassy in Tanzania. Symbion Power and Pike Electric Corp., based in Mount Airy, North Carolina, won contracts of $110 million and $18 million respectively from the Millennium Challenge Account to build substations and extend electricity distribution in Tanzania, the embassy said on its website.

Symbion Power said last week it signed an interim agreement with Tanesco to sell power to the state-owned utility. The company charges a rate of $4.99 per kilowatt hour, it said.

--Editors: Paul Richardson, Ana Monteiro.

To contact the reporter on this story: David Malingha Doya in Dar es Salaam via Nairobi at pmrichardson@bloomberg.net.

To contact the editor responsible for this story: Paul Richardson at pmrichardson@bloomberg.net.
 
Back
Top Bottom