Symbion contract row adds to Tanzanian investor concerns

In depth
Issue 325 - 10 Jun 2016 - By Dan Marks | 9 minute read

Tanzania Electricity Supply Company (Tanesco) has sparked a storm of protest after the leaking of a letter to Symbion Power saying it was “ceasing negotiations” over a power purchase agreement (PPA) for the 120MW Ubungo plant, despite having signed the document last December. Symbion said in a 30 May statement that Ubongo, where US President Barack Obama outlined his Power Africa initiative in July 2013, was operating under a PPA signed on 10 December by Tanesco managing director Felchesmi Mramba. “There is no question whatsoever that the PPA is a valid and binding document,” the company said.

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