Strengthening Zambia's energy industry, expanding transmission capacity, and integrating the power networks of East and Southern Africa are the objectives of the project. Contributions to the finance package come from the European Union, the UK's Foreign Commonwealth and Development Office, and the World Bank's IDA.
A 620-kilometer, 400-kV double-circuit transmission line will be built as part of the Zambia–Tanzania Interconnector Project. It will run from Iringa in Tanzania's Southern Highlands to the Zambian border and then on to Sumbawanga. In addition to building a sub-station at Tunduma, near the Zambian border, this will connect the Tanzanian and Zambian grids.
The European Union is contributing $30 million, the United Kingdom's Foreign Commonwealth and Development Office is contributing $17 million, and the World Bank's International Development Association (IDA) is contributing $245 million of the overall award.
According to Yadviga Semikolenova, the World Bank's Energy Practice Manager for Eastern and Southern Africa, Zambia's resilience to climate shocks will be strengthened by the initiative and the project would strengthen the nation's transmission network to facilitate new renewable energy initiatives and increase access to electricity.
The Zambian power industry is dealing with serious financial challenges that have hindered the nation's economic development, according to Achim Fock, World Bank Country Manager for Zambia. He underlined that the ZTIP program supports national and regional initiatives to guarantee the energy sector's long-term viability while advancing universal access to power.