The Tanzanian government has signed a 4.5 billion shilling (approximately 1.7 million USD) agreement to build a clean energy factory in the mineral-rich Geita Region, marking a key step toward nationwide adoption of safer, sustainable cooking solutions.
The contract, finalized Tuesday between the Rural Energy Agency (REA) and the State Mining Corporation (STAMICO), will fund a briquette manufacturing facility—designed to produce eco-friendly charcoal alternatives using renewable biomass.
REA will contribute 3 billion shillings toward machinery acquisition, while STAMICO will provide 1.5 billion shillings for land, construction, and equipment installation.
Speaking during the signing ceremony at REA’s headquarters in Dar es Salaam, REA Director General Hassan Saidy emphasized the initiative’s alignment with national clean energy targets. “This project reflects President Samia Suluhu Hassan’s directive to scale up clean energy partnerships and support rural communities,” Saidy said, adding that the factory would play a critical role in reducing reliance on unsafe and polluting fuels.
STAMICO Managing Director Venance Mwasse joined Saidy in reaffirming the joint commitment to expanding energy access. REA’s goal is to ensure 80 percent of Tanzanian households have clean cooking energy by 2034—a benchmark this project is expected to advance significantly.
The plant’s development is set to contribute to environmental conservation, rural industrialization, and improved public health by curbing deforestation and smoke-related illnesses linked to traditional charcoal use.
