This study was conducted in Kisiju-Pwani village, Mkuranga District in Tanzania. It was conducted from the on-going project on sustainable energy system for the provision of rural electrification services under PITRO. This project is a min grid photovoltaic system, producing and distributing solar electricity to around 68 households and lighting the village streets with street lights. The study aimed at analysing the contribution and effectiveness of PV solar electricity on rural livelihood transformation, together with people s sense of project ownership, perceptions and attitude over the effectiveness of PV solar electricity on their livelihood transformation. It went further to establishing the grounds at which people s attitude over the project was based. From this study, it was found that Photovoltaic solar electricity project had impacted people s lives in Kisiju-Pwani in terms of creating opportunities for the entire population in the village, education and health improvement, women conditions improvement, security improvement and employment to mention but a few. The study was conducted and analysed in the light of Amartya Sen s Capability Approach focusing on people s capability and freedom expansion to live a good life. This approach explains better the impacts of the project on people s lives.