Improved Power Supply Set to Boost Investment Across Simiyu and Mara
Tanzania’s TZS 27 billion Imalilo power project has reached 82 percent completion and is expected to improve electricity reliability, support business growth and unlock new investment opportunities across Simiyu, Mara and neighbouring regions.
IMALILO, Simiyu, September 14, 2026 — Tanzania is moving closer to completing a major electricity infrastructure project in Simiyu Region, with the Government saying the investment will strengthen power reliability, unlock new business opportunities and support wider economic growth across northern Tanzania.
Prime Minister Dr. Mwigulu Lameck Nchemba inspected the Imalilo power receiving and substation project, where the Tanzania Electric Supply Company Limited (TANESCO) reported that construction has reached 82 percent completion.
The project, valued at approximately TZS 27 billion, is expected to improve electricity supply in Simiyu, Mara and surrounding areas, where demand is rising from households, businesses, agriculture and other productive sectors.
Speaking during the inspection, Dr. Mwigulu said the project’s completion would create a stronger foundation for investment by improving the availability and reliability of electricity.
He also commended the Ministry of Energy and TANESCO for implementing the project using Tanzanian technical expertise, saying local professionals are playing an important role in the country’s infrastructure development.
“I highly commend the Ministry of Energy and TANESCO for implementing this project using local experts,” Dr. Mwigulu said.
TANESCO Managing Director Lazaro Twange said the Government has so far spent about TZS 15 billion on the project, with major foundation works already completed and construction continuing on the remaining components.
Twange said the project remains on track for completion within the planned implementation period.
The Prime Minister also addressed the related transmission line from Ibadakuli in Shinyanga to Imalilo in Simiyu, saying the Government would continue to provide the necessary funding to ensure the wider electricity network is completed and delivers the intended economic benefits.
The Imalilo project forms part of Tanzania’s broader strategy to expand electricity infrastructure and strengthen the national grid in regions where improved power supply can support industrialisation, agriculture, value addition and private-sector investment.
For Simiyu, stronger electricity infrastructure could have a direct impact on agro-processing, small and medium-sized enterprises, cold-chain development, manufacturing and service-sector growth.
Reliable electricity is also expected to improve the operating environment for investors and reduce constraints faced by businesses that depend on stable energy supply.
Once completed, the Imalilo substation is expected to strengthen the regional power network and support more reliable electricity distribution across Simiyu and neighbouring regions.
The project also highlights Tanzania’s wider effort to connect infrastructure development with investment promotion and local economic transformation.