Rural electrification sparks mining boom in Tanzania
GEITA, Tanzania (MNTV) — The rural parts of the East African state of Tanzania are witnessing a dramatic transformation as electrification projects, spearheaded by the Rural Energy Agency (REA) and supported by the World Bank, revitalize small-scale mining operations.
The arrival of reliable electricity is slashing operating costs, boosting production, and improving the lives of local communities, reports The Associated Press.
For Charles Buzalwa, a quarry owner in Shikonoka, the shift has been revolutionary. “The grid connection has opened up opportunities for us,” Buzalwa said. “Of course, we still need capital, but this now makes us much more attractive to investors. I am optimistic that, with the right investments, we can double our production capacity and even fulfill those bulk orders that we had to turn down before. The future looks good.”
Before electricity arrived, his daily fuel costs consumed 85% of his revenue. Now, those costs have plummeted by nearly 90%.
Similar stories are unfolding across the Geita region. Geita Resources Limited, a gold mining operation, has seen a surge in profitability and production. “Having electricity has boosted our profitability,” said Yusufu Kulodeswa, the manager at Geita Resources. “This has allowed us to hire more miners. Previously, our operations were limited to daylight hours. But now, with reliable lighting, we can run night shifts, effectively doubling our production capacity and creating more jobs in the community.”
The impact extends beyond economic gains. Irene Kataraia, a mineral processing engineer at Waja, described the challenges of working in a remote, off-grid environment. “I found the environment so unwelcoming without the electricity, especially as I was coming from the bustling city life. It was a big adjustment, but I adapted with time.”
Before electrification, her company struggled with exorbitant fuel expenses and inconsistent production. Now, operations are stable, and the quality of life has improved significantly for mine workers.
The success of the Tanzania Rural Electrification Expansion Program (TREEP), funded by the International Development Association (IDA), has led to the launch of ASCENT TZ, a new project aimed at further expanding access to sustainable energy solutions. While capital shortages remain a hurdle for some businesses, the arrival of electricity has laid the foundation for a brighter future in Tanzania’s rural mining communities.
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