Solar Power Generation: A Worthy Investment In Tanzania

Solar Power Generation: A Worthy Investment In Tanzania
Tanzania has high levels of solar energy, ranging between 2,800-3,500 hours of the sunshine per year, and a global horizontal radiation of 4–7 Kilo watt per hour (kWh) per m2 per day.  Solar resources are especially good in the central region of the country, and it is being developed both for off--grid and grid-connected solutions.

Off-grid solar photovoltaics:
To date, about 6 MWp (megawatt peak) of solar Photovoltaic ( PV) electricity has been installed countrywide for various applications in schools, hospitals, health centers, police posts, small telecommunications enterprises and households, as well as for street lighting. More than half of this capacity is utilized by households in peri-urban and rural areas. The government, through the Rural Energy Agency (REA) and various donors, has supported a number of solar PV programs that target off-grid areas where the cost of lighting from solar is less than from a diesel generator or kerosene. As an example, the Sustainable Solar Market Package (SSMP) is a contracting mechanism that bundles the supply, installation, and maintenance of PV systems for public facilities (e.g. schools and clinics) with requirements and incentives for commercial sale to households, businesses and other non-governmental customers in a defined geographical area. Another example is REA’s Lighting Rural Tanzania competitive grant program (financed under AFREA and TEDAP), which supports private enterprises in developing new business models to supply affordable energy in rural areas.

Grid-connected solar photovoltaics

In central  Tanzania,  one  MWp of solar  PV  generates about  1,800  MWh per year  (net of losses)  and requires about 1 hectare of land. Theoretically, solar PV could generate large shares of electricity.  On the basis of a 20% constraint on total national production in 2025, the potential for grid-tied solar PV could be about 800 MW

. Given that large-scale, grid-tied solar PV installations are being undertaken in some countries for under US$1,750 per kWp, its prospects in Tanzania should be excellent.

In the short-term, the PSMP envisages 120 MWp of solar in the power expansion plan by 2018. Several private firms have expressed interest in investing in 50–100 MWp of solar PV. NextGen Solawazi has signed an SPPA with TANESCO to supply 2 MWp of electricity from PV to an isolated grid. TANESCO has also signed a letter of intent for a 1 MWp isolated grid-tied PV project.

Solar thermal

Solar thermal energy has been used for generations in Tanzania for drying crops, wood, and salt. Currently, solar dryers are used in the agricultural sector to dry cereals and other farm products, including coffee, pyrethrum, and mangos. Households and other institutions (e.g. hotels, hospitals, health centers, and dispensaries) are the main users of solar water heating systems in Tanzania. Despite the potential of solar thermal and the demand for low-temperature water for both domestic and commercial applications,  uptake is low.  Lack of awareness, inability to mobilize financing, relatively lower priority given to such investments (i.e. water heating may not be a major cost relative to others) are some of the reasons attributed to the low usage of solar hot water heating. Other more advanced solar technologies, such as concentrated solar power, are not present in the country.