Agro EcoEnergy (T) Ltd is a private Agro Industrial Development Company registered in 2007 under Tanzanian company law. It is a subsidiary of the Swedish based EcoEnergy Africa AB. Agro EcoEnergy has formed a special purpose project company called Bagamoyo EcoEnergy Ltd (BEE) with the expressed purpose of developing a modern sugar cane plantation and factory producing sugar, ethanol and power for the Tanzanian market. There is a great need for these products since the current imports in Tanzania are approximately 50% of all sugar consumed. Tanzania also spent about 80% of its total export revenues during 2013 to pay for imported oil. In order to strengthen the long-term economic and social stability of the project, it is purposely designed to generate significant inclusive growth in the surrounding communities. 

Within three years of operations the project is estimated to annually provide the domestic market with 130,000 tons of sugar, 100,000 MWh to the national grid (enough for 100,000 rural households consuming 1000KWh/year) and 10 million liters of ethanol.

The government has said the sugar procurement...


Tanzania’s sugar industry is in a crisis over the...


Land for Equity

Agro EcoEnergy has entered into a unique agreement with the government of Tanzania. In exchange for land “free of encumbrance”, the government and local communities will receive 10% non dilutable equity ownership on the 550 MUSD project company at financial closure, and a further 15% after 18 years of operations.

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Resettlement

Resettlement is a critical element of any green field land oriented project. Agro EcoEnergy is therefore fully complying with both the African Development Bank requirements and IFC (World Bank) Performance Standards (2012) on Involuntary Resettlement. The Project is being undertaken in phases reflecting the development of the overall Project. The Initial resettlement covers the first phase... 

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Project Early works

The project early works are being initiated in advance of financial closure in order to build more “float” into the construction period after the financial closure, when the main works will be initiated. The early works involve preparation of nursery cane land, expansion of the outgrower programs and preparations for initiating resettlement, de-silting...

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