PLN teams up with TANESCO on geothermal business expansion in Tanzania

Published on 01/02/2024 at 15:52 GMT+7 Reading time

State electricity company PT PLN is expanding synergies in the development of geothermal power plants (PLTP) in East Africa with Tanzania Electric Supply Co Ltd (TANESCO).

During their visit to PLN Headquarters on Friday, January 26, 2024, TANESCO showed its interest in following up with its cooperation with PLN in the clean energy sector, particularly in geothermal power plants. This initiative is a follow-up to the cooperation agreement between the two countries in August 2023.

"PLN has experiences and success stories that can be shared and implemented in Tanzania, especially in human resource management, transformation, and digitization in the electricity sector," PLN President Director Darmawan Prasodjo said in a media statement on Tuesday, January 30, 2024.

Darmawan outlined four scopes of cooperation that have been agreed upon between PLN and TANESCO.

First, digitization support according to TANESCO's needs, such as generation digitization, distribution digitization, and the use of a super app adopting PLN Mobile application. Second, the development of TANESCO's core business utilities, including maintenance, repair, and operation (MRO), and co-investment collaboration. Third, the development of non-core business utilities in TANESCO, such as power quality solutions and live work. Fourth, providing capacity building and comprehensive exchanges through TANESCO employee internships at PLN in digital transformation and core business electricity sectors.

"For 78 years, PLN has served millions of lives in Indonesia. We have a track record of growth in infrastructure development and electricity sales with excellent financial performance," Darmawan said.

He revealed that in the meeting, both parties discussed the previous MoU, including TANESCO's desire to adapt PLN's digital transformation to accelerate TANESCO's achievement of 10,000 MW production by 2025 and the development of PLTP as a base load.

"In this 5th meeting, TANESCO wants to discuss various matters including business-to-business investments aimed at exploring cooperation potentials, with an interest in renewable energy, especially geothermal power plants," said Darmawan.

TANESCO's Managing Director, Boniface Gissima Nyamo-Hanga, said that strengthening cooperation between TANESCO and PLN is a strategic collaboration between the two countries in pursuing NZE targets as Tanzania currently targets an additional generating capacity of 10,000 MW and requires collaboration space.

"We see PLN as an excellent partner to develop technology, especially in digital transformation and the development of new renewable energy," said Boniface.

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