Name and Location
Stiegler’s Gorge hydropower project, Tanzania.

Project Description
The project plans to construct a hydropower station at Stiegler’s Gorge, on the Rufiji river, 200 km south-west of Dar es Salaam. The plant is expected to generate about 2 100 MW of energy, using three under-ground turbines, each with the capacity to produce 700 MW of electricity.

The proposed site of the plant is located inside The Selous, which is the largest game reserve in Africa. An environmental-impact assessment study has indicated that the project will not affect the wildlife in the area.

The station is expected to help control flooding in the Rufiji area by creating a reservoir with a total capacity of 34-billion cubic metres to supply the commercial capital, Dar es Salaam, and other regions. In addition, it will generate cheap, abundant energy at a cost of around $2c/kWh.

Value
An estimated $2-billion. Government is considering various funding options for the project, including concessional loans, private investments and/or State financing.

Duration
The project was initially proposed in the 1980s. A detailed feasibility study was undertaken with the financial support of the government of Norway; however, the project has since been on hold, owing to lack of funds and government bureaucracy.

Should the project be implemented immediately, the feasibility study could be updated in 2011, and the installation of the first turbine could be expected in 2012.

The project is planned to be fully completed by 2015.

Client
State-controlled Rufiji Basin Development Authority (Rubada).

Key Contracts and Suppliers
None stated.

Latest Developments
In September 2010, the government of Tanzania, represented by its Ministry of Foreign Affairs and International Cooperation, held official talks with their Brazilian counterparts in São Paulo on the proposed construction of the Stiegler’s Gorge hydropower station. The Brazilian government agreed to send a team of experts to Tanzania to assess the economic viability of the project before engaging the private sector in developing the project.

It is proposed that the station will be built using Brazilian hydropower technology and will generate excess power to potentially export to the East African and Southern African power pools.

Meanwhile, a government delegation from Brazil was expected to visit Dar es Salaam on January 11, 2011, for further discussions.

On Budget and on Time?
Too early to state.

Contact Details for Project Information
Rubada, tel +255 246 0962/1492, fax +255 246 0958 or email info@rubada.com.