Africa-Press – Tanzania. Tanzania’s economy has demonstrated consistent growth, driven by its abundant natural resources and strategic development initiatives. As the country seeks to expand its industrial base and modernise its infrastructure, the availability of stable and affordable energy will play a crucial role in sustaining this momentum.
While Tanzania has made significant progress in its energy sector, challenges remain, particularly in ensuring reliable electricity for industries, agriculture, and urban expansion. Nuclear energy presents an opportunity to overcome these obstacles, providing a secure and cost-effective power source that can drive industrialisation, attract investment, and reduce dependence on fossil fuel imports.
According to the Bank of Tanzania, final calculations are underway, but the country’s economic growth in 2024 is expected to be around 5.4%. Key drivers of this growth include agriculture, construction, manufacturing, and financial services. Inflation remained low and stable, averaging 3.1% in 2024, with headline inflation projected to stay at 3.1% and core inflation at 3.5% in the first quarter of 2025. The International Monetary Fund projects 6.0% economic growth in 2025, with energy sector development expected to play a key role in sustaining this momentum.
Despite these positive indicators, Tanzania’s energy sector continues to face structural challenges. According to the Energy and Water Utilities Regulatory Authority (EWURA), limited access to reliable electricity remains a bottleneck for industrial growth and foreign investment. Expanding energy infrastructure is essential to ensure businesses have a consistent power supply, particularly as energy demand is projected to grow by 12-15% annually. At present, a third of Tanzania’s electricity generation is derived from thermal power plants, primarily reliant on natural gas, coal, and imported fuels, while hydropower accounts for around 60% of the energy mix. Although Tanzania has made strides in developing renewable energy projects, a diversified energy strategy is required to guarantee long-term stability and economic resilience. Nuclear power offers a solution that is not only sustainable but also independent of global fuel price fluctuations, making it an attractive option for Tanzania’s industrial future.
Honourable Deo Mwanyika, Chairman of the Permanent Parliamentary Committee on Industry, Trade, Agriculture and Livestock and Member of Parliament for Njombe Constituency, highlights the importance of nuclear energy for Tanzania’s industrial ambitions:
“For Tanzania to sustain its economic growth, it must invest in stable, high-capacity power sources that can support industrialisation. While renewable energy plays an essential role, nuclear power provides a consistent, large-scale electricity supply that is not weather-dependent. Developing nuclear energy would not only strengthen the country’s energy security but also attract foreign investment and foster technological innovation.”
The benefits of nuclear energy extend beyond electricity production. In addition to providing a stable and low-carbon energy source, nuclear projects create thousands of high-skilled jobs, foster STEM education, and attract foreign direct investment. The Tanzanian government has already signalled its interest in exploring nuclear energy as part of its long-term energy strategy. In 2023, the Tanzania’s Deputy Prime Minister who was by then Minister of Minerals, Doto Biteko, outlined the country’s “nuclear plan” at the Second Russia–Africa Economic and Humanitarian Forum, highlighting the government’s willingness to diversify energy sources for economic growth and national development.
Tanzania is already taking concrete steps towards nuclear energy development through its uranium mining sector. The Mkuju River project, managed by Mantra Tanzania, a subsidiary of Rosatom, is based on one of the world’s largest uranium deposits, with an estimated resource of 152 million pounds of uranium oxide. The Tanzanian government has actively supported the project, initiating a strategic environmental assessment for Mkuju River in November 2024. The study, expected to be completed within six months, will pave the way for commercial uranium mining, positioning Tanzania as one of the top five uranium producers in Africa. With uranium playing a crucial role in the global nuclear fuel supply chain, the successful launch of the Mkuju River mine will not only generate substantial revenue but also strengthen Tanzania’s position as a key player in the international nuclear industry.
The role of nuclear energy in economic development is already evident in other African nations. South Africa’s Koeberg Nuclear Power Station has played a vital role in ensuring the country’s energy stability, supporting industrial growth, and maintaining investor confidence. Similarly, Egypt is making significant progress in nuclear power development with the construction of the El-Dabaa Nuclear Power Plant. This project is expected to provide the country with additional energy capacity while creating thousands of jobs in both the construction and operational phases.
As Tanzania advances its industrial and economic ambitions, nuclear energy could become a cornerstone of its long-term development strategy. By investing in nuclear power, the country can achieve greater energy security, reduce reliance on imported fossil fuels, and position itself as a leader in Africa’s clean energy transition. The integration of nuclear power into Tanzania’s energy mix would not only stabilise electricity supply but also attract high-tech industries and foreign investment, ensuring sustainable growth for future generations.
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