TANESCO invites bids to build Malagarasi hydropower project

Sealed bids are invited by 21 March for the 49.5 MW hydro project.

The Tanzania Electric Supply Company Limited (TANESCO) invites sealed bids from eligible bidders by 21 March for the design, supply, installation, testing and commissioning of the 49.5 MW Malagarasi hydropower project in the western region of Kigoma and a 132 kV evacuation transmission line, spanning around 54 km from the site of the plant to the Kidahwe 400/132/33 kV substation.

The contracted works have been split into two lots: Lot 1 for the design, supply, installation, testing and commissioning of the Malagarasi hydropower project and Lot 2 for the design, supply, installation, testing and commissioning of the 132 kV transmission line. Bidders may bid for more than one lot.

The project is one of the flagship physical infrastructure investments in the Government of Tanzania’s Development Vision 2025 and Tanzania’s Five-Year Development Plan 2016-21.  The run-of-river plant on the Malagarasi river is expected to generate average annual output of 181 GWh, which will meet the electricity needs of more than 130 000 local households, bringing the region’s electrification rate more closely in line with the rest of the country. The future plant is designed to serve the municipality of Kigoma-Ujiji and the surrounding towns of Kasulu and Uvinza with an affordable and reliable supply of electricity, cutting the region’s electricity generation costs to about US$ 0.04/kWh from the current US$ 0.33/kWh, whilst reducing the need for expensive diesel power generation in the region.

The project will essentially operate as a baseload plant but will have a small reservoir or intake pond that will enable peak production of up to 5 MW during the late dry season. The project will comprise a 17 m-high, 250 m-long overflow gravity weir below the Igamba Falls, which will divert the river flow into the intake structure, a powerhouse equipped with three Francis turbines that are rated at 16.5 MW, and a transmission line to connect to the national grid. The intake structure of a total length of about 1.5 km will comprise a 1.4 km-long headrace culvert.

The US$ 144 million project is being supported by the African Development Bank (AfDB), which approved a US$ 120 million loan in November 2020, as well as US$ 20 million from the Africa Growing Together Fund, a China-backed co-financing fund administered by the AfDB.

A complete set of bidding documents may be purchased on the submission of a written application to the below address and upon payment of a non-refundable fee or its equivalent in any freely convertible currency of TZS 575 000 for Lot 1 and TZS 230 000 for Lot 2, either directly in cash or for foreign bidders via electronic bank transfer. For interested foreign bidders, payment should be made through the following accounts: for EURO payments to the CRDB Bank, account no. 19J1043011100, Swift Code: CORUTZ; for payments in US$ to the CRDB Bank A/c no.: 02J1043011100; Swift Code: CORUTZ or via the CITI Bank, A/c no: 0100235021; Swift Code: CITITZTZ.

Bids must be delivered to the below office on or before 10.00 hrs East Africa Local Time on 21 March 2022 and must be accompanied by a bid security of US$ 3.6 million for Lot 1 and US$ 250 000 for Lot 2.

Interested eligible bidders may obtain further information from and inspect the bidding documents at: the office of the Secretary, Tender Board, TANESCO, Room No. G04, Ground Floor, Umeme Park Building, Morogoro Road, Ubungo, Dar Es Salaam, PO Box 9024, Tanzania; Tel: +255 (22) 245 1145/245 2172; Tel: +255 22 221 0231/2; +255 782 376147; Email: sec.tenderboard@tanesco.co.tz; pmuprojects@tanesco.co.tz. Website: www.tanesco.co.tz.

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