The Government of Tanzania has entered into a formal partnership agreement valued at approximately 4.5 billion Tanzanian shillings—equivalent to around USD 1.7 million—with the objective of bolstering its clean cooking energy infrastructure. The agreement marks a commitment to expanding sustainable energy solutions in the Geita Region through the development of a new production facility for biomass-based briquettes.
The accord was concluded on Tuesday between the Rural Energy Agency (REA) and the State Mining Corporation (STAMICO), two state-run entities jointly undertaking the initiative. The forthcoming factory is set to produce environmentally friendly briquettes, designed as an alternative to traditional charcoal and firewood, whose widespread use has contributed to deforestation and indoor air pollution.
Under the terms of the agreement, REA will allocate 3 billion shillings for the acquisition of machinery essential to the production process. STAMICO, meanwhile, will provide 1.5 billion shillings, covering land procurement, construction of the facility, and installation of requisite equipment.
The official signing ceremony was held at the REA offices in Dar es Salaam and was attended by REA Director General Hassan Saidy and STAMICO Managing Director Venance Mwasse. During the event, Saidy reaffirmed REA’s commitment to achieving 80 percent national access to clean cooking energy by the year 2034, describing the initiative as a pragmatic step toward reducing household dependence on hazardous and unsustainable energy sources.
“This project is a direct response to President Samia Suluhu Hassan’s directive to intensify clean energy partnerships and provide tangible support to rural communities,” Saidy stated.
The focus on briquette technology aligns with broader national energy policies that advocate for renewable energy integration, energy efficiency, and reduced reliance on biomass derived from natural forests. Briquettes, which are typically manufactured from agricultural waste and other organic residues, offer a low-emission, locally sourced alternative to charcoal, and are increasingly regarded as a scalable solution within East Africa’s energy transition framework.
The collaboration between REA and STAMICO is expected to contribute not only to environmental conservation goals but also to economic development within the Geita Region, by creating employment opportunities and fostering local energy entrepreneurship.
The Tanzanian government has in recent years intensified efforts to bridge the energy access gap, particularly in rural areas where reliance on traditional biomass remains prevalent. According to the World Bank, over 90 percent of Tanzanian households still use firewood or charcoal for cooking, posing significant health and ecological challenges. The current investment forms part of a wider strategy to shift this balance through local production of clean fuels and supportive infrastructure.
The initiative underscores the government’s intent to balance developmental objectives with environmental stewardship, positioning Tanzania as a regional actor in the adoption of clean and inclusive energy technologies.
