The latest project would be in a private public partnership involving state-owned utility Tanesco and US-based Symbion, reports esi-africa.com.

The American company will contribute in the construction of the transmission backbone from the regions of Mtwara to Songea.

The latest project comes amid increased electricity demand in Mtwara, following commercial gas exploration. The project’s financing may take a year to achieve closure.

As per estimates, the cost of the total project including transmission and distribution infrastructure is expected to be about $900m.

Currently, Symbion operates three power plants in Tanzania with a total generating capacity of 212MW – a 112MW gas fired station and two 50MW diesel plants.