THE government has obtained French concessional credit facilities for the second phase of the Shinyanga-based solar project to generate 100 megawatts, bringing the total project capacity to 150MW.

Dr Mwigulu Nchemba, the Finance minister, and Celine Robert, the French Development Agency (AFD) country director, signed three agreements at the Treasury yesterday for euro 118.8m (323.4bn/-) for the series of projects in the programme.

The credit will finance solar development in Shinyanga, forest plantation initiatives and the management of mangrove forests, while also supporting a gender action plan within the Tanzania Electricity Supply Co. (TANESCO), the minister noted.

The credit components include a €75.9m concessional credit facility for the solar development programme second phase in Kishapu District, Shinyanga Region, and a €39.9m segment for forest plantations and mangrove forest reserve management, he said.

There is also a €2m grant for mangrove forest reserve financing and a €1m grant for the power company’s affirmative gender drive within the solar project, he said, noting that the project enhances the power generation mix, leveraging renewable energy opportunities.

Integrating 150MW into the national grid will reduce reliance on hydropower, the traditional source increasingly affected by climate change, he said, elaborating that the solar power project heightens access to reliable energy in the region.

It will boost reliable power supply for small miners and large-scale mining operations, thus boosting economic and social development, he stated.

The forest plantations development and mangrove forest reserve management component will expand tree planting, improve tree seeds and enhance seed management, he further stated.

“This will strengthen tree seed collection centers and establish modern seed nurseries. The project will boost mangrove forest conservation, improve biodiversity, promote eco-tourism and enhance community livelihoods,” he elaborated.

The minister acknowledged the support from the French government in various projects in energy, water, transport and agriculture sectors, several of the project nearing completion.

The French diplomat on the other hand said that France has supported Tanzania for over 15 years, primarily focusing on infrastructure sectors such as water, sanitation, energy, and transport. 

Over time, their support has expanded to sectors like agriculture, forestry and environmental protection, she added.