DAR ES SALAAM, July 23 (Xinhua) -- The Tanzanian government has signed an agreement worth 4.5 billion shillings (about 1.7 million U.S. dollars) to construct a new clean energy factory in the Geita Region.
The deal, inked Tuesday between the Rural Energy Agency (REA) and the State Mining Corporation (STAMICO), will establish a plant producing briquettes, a charcoal substitute made from renewable biomass, to boost access to alternative cooking fuels and reduce environmental degradation.
Under the agreement, the REA will contribute 3 billion shillings toward machinery procurement, while STAMICO will allocate 1.5 billion shillings for land, factory construction, and equipment installation.
The signing ceremony took place at REA's Dar es Salaam office, attended by REA Director General Hassan Saidy and STAMICO Managing Director Venance Mwasse.
Saidy affirmed the agency's goal to achieve 80 percent nationwide access to clean cooking energy by 2034, emphasizing the plant's role in reducing reliance on unsafe and polluting fuels.
"This project reflects President Samia Suluhu Hassan's directive to scale up clean energy partnerships and support rural communities," he added. ■
