USTDA Supports Minigrid Solar Power Project in Tanzania
July 29, 2015
(USTDA)
DAR ES SALAAM, Tanzania– Today, the U.S. Trade and Development Agency provided a
grant to Rex Energy, one of Tanzania’s largest renewable energy solutions
providers, for a minigrid project in the Lake Victoria Islands, where only one
percent of the population has access to electricity. The grant supports the
development of a full-scale business model and financing plan necessary to
implement a hybrid solar photovoltaic (PV) minigrid with a cumulative capacity
of 2 megawatts.
“In support of the goals of President Obama’s Power Africa initiative, which
seeks to increase energy access and promote private sector investment in
sub-Saharan Africa, USTDA is pleased to formalize our partnership with Rex
Energy,” said USTDA Director Leocadia I. Zak, who signed the grant agreement
along with Rex Energy Managing Director, Mr. Francis Kibhisa. “This project is a
great example of USTDA’s work to link U.S. industry expertise with the
advancement of clean energy in Tanzania.”
“With this grant and technical support from MRIGlobal, Rex Energy once again
assumes the leadership to complement government efforts to transform rural
Tanzania through solar powered electrification,” said Mr. Kibhisa. “The minigrid
system is certainly the future of rural electrification in Tanzania, and this
grant from USTDA has added the required impetus, at the right time, to achieve
that future: the pre-paid solar solution to the marginalized rural majority.”
Rex Energy has selected MRIGlobal (Kansas City, Mo.) to carry out the
feasibility study and pilot project. The project will also include participation
from additional U.S. companies, including Homer Energy (Boulder, Colo.), Enphase
Energy (Petaluma, Calif.) and SunEdison (Belmont, Calif.), a major U.S. solar PV
producer and official Power Africa private sector partner. The U.S. Department
of Energy’s National Renewable Energy Laboratory (NREL) will also provide
expertise on renewable energy resource assessments, as well as analysis and
optimization of the minigrid design.
“We are excited to join Rex Energy on this opportunity to provide electrical
access to rural populations in Africa,” said Thomas M. Sack, Ph.D., President
and Chief Executive Officer of MRIGlobal. “MRIGlobal has installed and operated
minigrids around the world for more than 10 years. This new program fills a
critical need for rural electrification in Tanzania and will ultimately improve
lives and help grow the local economy.”
“We are very happy to participate in this minigrid project. Solar hybrid
minigrids are the most cost-effective way to bring clean, reliable and
affordable electricity to rural communities in Africa,” Cathy Zoi, CEO of
SunEdison’s Rural Electric Utility Company commented. “Most importantly,
electricity will help them transform their lives and accelerate their
socio-economic development.”
This effort supports Power Africa by helping to increase access to energy in
sub-Saharan Africa. Implementation of the project would help to electrify an
estimated 5,900 households and businesses, delivering power to more than 37,000
Tanzanians in the Lake Victoria region.
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