Tanzania is experiencing rapid demographic and economic expansion. The population is estimated to be around 70 million in 2025 and continues to grow at a rate of 2.8 to 2.9% per year, increasing pressure on the energy supply. The economy remains resilient, posting 5.6% real GDP growth in the 2024/25 fiscal year, with national output projected to reach $83.51 billion in 2025.

Electrification is improving but still incomplete, with around 48% of people having access to electricity. Total grid-connected generation capacity stood at 3 091.71 megawatts as of December 2024, while per-capita consumption remains low at roughly 130 to 150 kilowatt-hours per year, reflecting both rising demand and the structural limitations of the current system.

Tanzania’s energy mix reflects the strengths and constraints of its resource base. More than half of the country’s electricity is generated by thermal power plants fuelled by natural gas, diesel, and coal, while around 40% comes from hydropower. Smaller contributions are made by solar, wind and biomass. To strengthen its supply, Tanzania is expanding its gas infrastructure and negotiating a $42 billion liquefied natural gas project, which is expected to conclude in 2025.

The country is also part of the continent-wide Mission 300 initiative, under which African nations aim to connect 300 million people to electricity by 2030 through a combination of renewable energy and grid reforms. For Tanzania, participation in Mission 300 complements its own national objective of expanding electricity access and supporting industrial development. Large-scale domestic investments are continuing as well. In March 2025 TANESCO commissioned all nine turbines of the 2 115-megawatt Julius Nyerere Hydropower Plant, making it the largest hydroelectric station in East Africa.

These developments strengthen the electricity system but also underline the need for capacity that can operate predictably throughout the year. Hydropower is an important component of Tanzania’s mix, yet its output fluctuates with seasonal water flows, which limits its ability to provide uninterrupted supply. Solar and wind are expected to expand, but their variable output makes them unsuitable on their own for supporting industrial loads or isolated grids. 

As demand grows, the combination of hydrological variability and intermittent generation creates a need for sources that can operate continuously and stabilise the system. This is where nuclear energy becomes relevant to the discussion. Nuclear power provides predictable, low-carbon electricity and is not exposed to fuel price volatility. Moreover, investment in nuclear technologies contributes to STEM education, scientific capacity and high-skilled employment, which are important for long-term development.

Small modular reactors represent one of the most recent advances in nuclear technology. These reactors have capacities of up to 300 megawatts and are designed to be manufactured in factory settings before being transported to site as ready-to-assemble modules. Their compact size and flexible configuration allow them to be placed near industrial centres, ports or remote regions with limited transmission infrastructure. When combined with renewables, small modular reactors can provide the firm capacity needed to maintain grid stability, balance intermittent output and supply consistent power for industrial processes.

The global market for small modular reactors is already taking shape. Companies from Canada, France, South Korea and Russia are developing designs tailored to different climatic and infrastructural conditions, including those of developing countries. Among these are small-capacity reactors developed by Rosatom, which are suitable for tropical environments such as those found in East Africa. While adoption decisions rest entirely with individual countries, these technologies illustrate the range of next-generation options becoming available on the international market.

Tanzania has been taking steps to explore the peaceful use of nuclear technologies more broadly. It participates in dozens of regional and national projects under the IAEA Technical Cooperation Programme, focusing on areas such as agriculture, medicine, water management and radiation safety. In 2023 the Tanzania Atomic Energy Commission continued work on a feasibility study for the construction of a research reactor, which would support training, scientific research and medical applications. These initiatives contribute to the institutional and educational base that any future nuclear-related development would require.

Tanzania’s path to a resilient energy system will depend on strengthening generation capacity, integrating renewables, upgrading infrastructure and diversifying supply. Small modular reactors are not a replacement for existing resources, but they represent one of the options that could complement renewables and provide firm capacity where needed. For a country working to expand energy access, support industrialisation and build a sustainable future, next-generation nuclear technologies offer a potential component of a balanced long-term strategy.