In 2023, Tanzania’s electricity consumption was about 11 TWh, with almost three-quarters supplied by fossil fuels and roughly a quarter by low-carbon sources. Gas accounted for almost all fossil electricity, at about 8.1 TWh, while hydropower supplied 2.7 TWh of the 2.8 TWh of clean electricity. Annual electricity consumption averaged just 167 kWh per person, compared with the global average of 3,794 kWh—only about 4% of that benchmark. Such limited electricity availability can constrain healthcare, education, industry and digital services, while slowing electrification. Expanding clean electricity would support development while reducing dependence on fossil fuels, which contribute to climate change and air pollution.

Is Electricity Growing in Tanzania?

Electricity consumption per person is growing in Tanzania: the 2023 figure of 167 kWh surpassed the previous record of 151 kWh in 2022 by 16 kWh, an increase of about 11%. That is encouraging progress, although consumption remains very low by global standards. Low-carbon electricity generation per person tells a less encouraging story: at 42 kWh in 2023, it was 33 kWh below the historic peak of 75 kWh reached in 2002—roughly 44% lower. Tanzania therefore needs not just continued electricity growth, but a much stronger expansion of clean generation.

Suggestions

Tanzania can build on hydropower by accelerating solar deployment, developing wind where local conditions are suitable, and considering nuclear power as a long-term source of dependable low-carbon electricity. South Africa offers a relevant regional example, generating about 20 TWh from solar and 12 TWh each from wind and nuclear. India also provides useful lessons for expanding electricity supply in a developing economy, with about 205 TWh of solar, 125 TWh of wind and 54 TWh of nuclear generation. These examples demonstrate the potential of a diversified clean electricity mix, rather than prescribing Tanzania’s exact mix. Competitive procurement, investment in transmission and local skills, and a strong regulatory framework could help Tanzania translate that potential into growth, with solar supporting both grid expansion and electricity access.

History

Tanzania’s recorded low-carbon electricity history is dominated by fluctuating hydropower output. Gains of about 0.2 TWh in both 1989 and 1991 were followed by alternating increases and declines during the 1990s, ending with a substantial 0.6 TWh rise in 1998. An increase of 0.5 TWh in 2001 preceded consecutive declines in 2003–2006, totaling 1.2 TWh, before a strong 1.1 TWh rebound in 2007. The 2010s remained uneven: losses in 2011–2012 were followed by a 0.9 TWh increase in 2014, another decline in 2015, and gains in 2016 and 2019. Output rose by 0.7 TWh in 2020 but fell by 0.3 TWh in 2022. This stop-start progress underlines the importance of expanding and diversifying clean electricity generation to achieve sustained growth.

Electricity Imports and Exports

Balance of Trade