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East Africa dam to face delays; vulnerability to drought raises questions over project’s viability

The World Bank is considering financing a hydroelectric dam between Burundi and Tanzania that would boost mining production in East Africa. But in an area prone to drought, particularly with the onset of climate change, questions remain about the project's sustainability and whether it will be worth the projected $190 million cost.

The Rwandan newspaper New Times reports that the proposed hydroelectric dam at Rusumo Falls on the Kagera River between Burundi and Tanzania is facing potential delays. The project manager, Isah Nadibe, was quoted as acknowledging that “the site where the dam is to be built has not yet been identified,” and added that a series of feasibility studies and consultations was still being carried out.

The governments of Burundi, Rwanda and Tanzania are stakeholders in the regional initiative, which is expected to produce 60 MW of electricity. Both the World Bank and African Development Bank (AfDB) are currently considering financing the project. The World Bank says it would provide power for “the western mining provinces of Tanzania” and, according to Reuters, could also spur development of Burundi’s nickel mining industry.

Apart from questions about what development benefits mining is likely to bring, it remains unclear whether the project will live up to its expected capacity and prove cost-effective. New Times notes that “when drought hit the Great Lakes Region in 2004, the water levels in lakes and rivers dropped. Power production reduced leaving most cities in the region in darkness.” In an area prone to drought, particularly with the onset of climate change, questions remain about the sustainability of such a project and whether, in the long run, it will be worth the projected $190 million cost.

Meanwhile, World Bank documents suggest that it anticipates major environmental and social impacts. In its initial safeguard document, the World Bank predicts “potentially significant biophysical and socioeconomic impacts both downstream and upstream,” and estimates that roughly 7000 people may have to be resettled by the project in an already densely populated area, raising questions about livelihood sustainability and access to land.

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Africa World Bank (IBRD & IDA) Energy & Extractive Industries Infrastructure

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Africa Asia Europe/Central Asia Latin America Middle East and North Africa

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Last updated 20 November 2008
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