Uganda and Tanzania have signed a memorandum of understanding (MoU) to jointly develop the 16MW Kikagati-Murongo hydroelectric project.
The power project comprises two generating units of 8MW each on the Kagera River on the Uganda-Tanzania boundary.
The power house will be located on the Ugandan side and the reservoir will cover both partner states.
The project, which will be implemented by an independent power producer, will include an electrification program in Murongo (Tanzania) which is currently not electrified, as well as Kikagati in Uganda.
It will be connected to the grid at Kikagati which is linked by a 33kV power line from Mbarara.