Geita District Rural Electrification Project The proposed project covers the extension of the existing 220kV line at Bulyankulu Gold Mines through construction of additional 55 kilometres new line, installation of a 220/33kV substation at Geita, construction of 33 kV distribution lines and connection of customers. During the initial year of electrification, it is envisaged that about 7,140 new customers would be connected within the 15 rural villages, Geita town, the ginneries and the gold mine. The project is expected to significantly enhance economic activities in the project area including agro-industry, fisheries and mining, thereby resulting in increasing employment and increased household incomes. The objectives of the project would be achieved through the execution of the following components, namely: 4 Electricity is largely (generated and connected to the national grid) through hydro and thermal. The hydro plants include Kihansi, Kidatu (Morogoro) Mtera and New Pangani. The thermal plants are in Mwanza, Mbeya and Tabora. 19 
1. Construction Works to cover
a). Bulyankhulu-Geita 220 kV power transmission line: This component consists of construction of 55 km, 220 kV single circuit transmission line from Bulyankhulu substation to Geita.
b). Geita 220/33 kV substation: This component consists of construction of a new 220/33 kV substation at Geita town and 220 kV line bay extension at the existing Bulyankhulu substation.
c). Construction of MV and LV distribution system: This component comprises supply and construction of 115 km, 33 kV MV lines and a total capacity of 7000 kVA distribution transformers and 380V LV lines. This component will also include supply and installation of connection cables and meters to connect about 7,140 customers and replacement of the conventional meters for about 2000 customers in Geita town by �prepaid� metres. A crane mounted vehicle and equipment to be used for operation and maintenance of the distribution network in Geita district will be procured under this component.
2. Project Implementation Unit to cover:
The project implementation arrangement involves the establishment of a Project Implementation Unit (PIU), headed by a qualified engineer who will be a project coordinator and assisted by a site engineer. The Coordinator will report to TANESCO Management. The PIU will also be assisted with specialized procurement, financial, legal, environmental experts and other support staff and,
Consultancy Services: It includes procurement of the services of a consulting firm for undertaking the review of the detailed design of the project, preparation of the tender documents, assisting TANESCO in tender evaluation and carrying out supervision of the project works. On the overall the supervising consultancy firm will be a team of multi-discipline professionals, who would serve as co-ordinators between the agencies and the project sponsors.
The Consultancy firm and the PIU are also charged with the responsibility of preparing progress reports, certification of the Contractor�s invoices, issuance of completion certificates, preparation of the project�s final progress report as well as the Project Completion Report (PCR), to be submitted to the co-financiers, at the end of the project. An auditor would be hired to conduct the annual audits. 20 Project Costs and Financing Project Costs
The total cost of the project is estimated at US $23 million. An amount of US $18.265 million is in foreign currency (representing about 79.4% of the total) and US $4.735 million is in local currency (representing about 20.6% of the total). The base cost is estimated at US $20.909 million. Allowances have been made for physical contingencies and for average price escalation during the period of project implementation. The bulk of this investment is for the Construction Works component, accounting for 93.5% of the total base cost.