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The Project

The Millennium Challenge Corporation (MCC) is an independent US foreign aid agency that provides eligible countries with large-scale grants, typically of a five-year duration, to fund country-led solutions for reducing poverty through sustainable economic growth.  Once a country is selected, the grant is implemented and managed by an in-country entity, in line with MCC’s aim of country-led solutions and country-led implementation. In Tanzania, the in-country entity was the Millennium Challenge Account-Tanzania (MCA-T).

The aims of the $206 million project, funded by the Millennium Challenge Corporation through MCA-T, were to increase economic activity, reduce poverty and ensure the long-term development of power transmission and distribution networks in Tanzania for future generations.  

ESB International was appointed as Consulting Engineer, for construction supervision, capacity development and technical assistance. 

Image of two chimneys on a power station with a river and trees in the foreground

Our Approach

  • The Challenge

    The project consisted of a 132 kV subsea Interconnector, Distribution Networks Rehabilitation and Extension in six regions of Tanzania and Substations Rehabilitation and Expansion works (220 kV to 11 kV) in seven areas together with feasibility studies and technical documentation preparation for a 44 MW hydro powerplant on the Malagarasi River.

  • The Solution

    We carried out activities during all stages of the works; pre-construction, procurement, design, construction and defects liability. Integral to the Contract was technical assistance and a capacity-building programme for the two local utilities TANESCO and ZECO.

What we delivered

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The project was managed using internationally recognised methodologies to ensure effective, safe and best practice development of utility assets into the future.  

ESB International carried out all contracts following FIDIC Conditions of Contract Plant and Design-Build under which ESB International acted as the Engineer.


The Results

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  • Over 2,700 kilometres of Transmission and Distribution (T&D) rehabilitated and expanded infrastructure. 
  • Building capacity within the local utilities. 
  • Best practice construction, contract administration, technical and project management. 
  • 100 MW, 132 kV submarine interconnector between Tanzania and Zanzibar. 
  • Enabling increased transmission and distribution capacity and energy access. 


ESB International has been an outstanding partner of the Millennium Challenge Account-Tanzania ( MCA-T) through MCC’s five-year funding, $698.1 million Compact. The MCC Compact with the Government of Tanzania is the largest awarded to date, and the $206 million Energy Project is highly visible, and a critically important component of it. The rehabilitation and upgrading of distribution infrastructure and approximately 1600 kilometres of transmission lines in seven regions throughout the country, plus the new 100 MW submarine power cable to Zanzibar, are vitally important to economic growth future prosperity of this nation of more than 40 million people. As MCA-T’s Consulting Engineer for the entire energy portfolio, ESB International has brought to the table a truly remarkable combination of both technical and project management experience and expertise in the energy field. As a direct result of ESB International’s assistance and expertise, the activities are all on track and producing great value for money. Through our MCA-T funding, MCC looks forward to continuing this successful partnership with ESB International throughout the remaining Compact period in Tanzania.
Karl Fickenscher, Resident Country Director - Tanzania, Millennium Challenge Corporation

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Contact Us

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