With the growing Tanga region and the close proximity to Mombasa, the government decided to construct a new Hydro electric power plant in Hale.

[1] The plant began construction in 1961 and cost around £5,000,000, which was the single largest investment into the country since the failed groundnut scheme.

[2] The Hale hydro electric Power Plant utilizes a natural fall of 70 meters.

It is sited at Hale Township on the Segera–Tanga highway, 6 km from the Tanga – Moshi junction at Segera.

This has also led to the establishment of big urban settlements called Nyumba ya Mungu, with an estimated population of about 20,000 people in 2002.