The cause of losses of the leading power supply company Tanzania is named

Technological changes were cited among the key reasons why equipment purchased by Tanzania Electricity Company (TANESCO) was not commissioned, causing serious losses. This is reported by the newspaper Mwananchi. In an interview with journalists after visiting the Kurasini warehouse in Dar es Salaam, Chairman of the Board of Directors of TANESCO Alexander Kyaruzi said that a number of purchased instruments had reached their useful life. He added that a lot of equipment is also technologically obsolete. Following an inspection of the warehouses, Kyaruzi stated that much of the failed equipment had been purchased in too many batches, noting that if purchased within the prescribed time frame, it would not have been obsolete. He stated that only equipment planned for up to three years should be purchased from now on. We remind that TANESCO is the leading energy generating company in Tanzania. The company is owned by the country's government and its operations are regulated by Tanzania's Ministry of Energy and Mineral Resources. The company owns 98% of the energy sector in the country. Kyaruzi stressed that, compared to 2016, when he was only appointed to his post, the company suffered increasing losses every year, and almost completely abandoned the use of government subsidies. He added that TANESCO's losses in 2016 amounted to 300 billion Tanzania shillings (US $130.2 million).