M a r k e t N e w s

Tanzania: Natural Gas Comes Ashore

Posted on : Wednesday , 20th August 2014

Natural gas discovered off the coast of Tanzania is now reaching the consumer as the first homes in Dar es Salaam are connected up. The hope is that energy will now become cheaper.

Tanzania's Petroleum Development Corporation (TPDC) has begun implementing an ambitious gas project. The aim is to supply hundreds of residents in the commercial capital of Dar es Salaam with natural gas to their homes for domestic use.
The pilot project, which was launched July this year, is already operating at Mikocheni suburb in the city. 57 families have now been connected to a gas pipeline.
According to Michael Mwanda, chariman of the TPDC board of directors, the aim of the project is to supply cheap gas to domestic customers in various parts of the city so they can keep their energy bills down.
"This is the first natural gas distribution infrastructure project under TPDC, with this system people will be able to buy gas in a pre-paid arrangement using special cards as they do with electricity," he said.
 
Gas instead of charcoal
Tanzania has abundant natural gas reserves, over 50.5 trillion cubic feet has been discovered so far. Experts say the gas deposits are large enough to make the country independent of foreign energy sources. They are a potentially significant source of revenue.
Local residents have expressed joy that this natural gas project would hopefully signal the end of charcoal use in the city.
Tanzanians are counting on the discovery of natural gas to lift them out of poverty
Charcoal is responsible for massive environmental destruction as its production exerts huge pressure on the country's forests.
Tanzania consumes over 1 million tons of charcoal annually, half of which is burnt by households in Dar es Salaam. The technology used to make charcoal is so inefficient that ten tons of wood are needed to produce one ton of charcoal.
"I think this is a very good project, we spend a lot of money buying charcoal, since gas is cheap we will use this money for other activities," said John Mwakitwange, a resident of Dar es Salaam.
 
Growth through gas
As one of the fastest growing cities in Africa with more than 4 million inhabitants, Dar es Salaam requires a substantial amount of energy to fuel its growth. According to local analysts, cheaper sources of energy could improve the well-being of most residents, particularly those who still live in poverty.
TPDC chairman Michael Mwanda said gas supplied through a pipeline is not only cheaper than other energy sources but is also more environmentally friendly.
"We hope more people will switch to using natural gas instead of charcoal and other energy sources that have proved to be bad for the environment," Mwanda added.
According to TPDC's acting General Manager James Andilile, the corporation has sought funding from Exim Bank of India so the project can be completed. A majority of residents will then have access to cheap natural gas.
He said about $8 million (6 million euros) is needed to finalize the project. Upon completion, residents of six suburbs including the up market Mbezi beach area will be connected to the pipeline.
 
Targeting industries
"The ultimate goal is to enable all Tanzanians use this natural resource, the few areas we have identified are just a start," Andilile added that several industries in Dar es Salaam would also be connected to the gas pipeline.
Three gas distribution centers have been constructed in Dar es Salaam
This would enable manufacturers cut production costs and reduce the prices of goods and services.
Observers say the availability of cheap gas could bring substantial economic benefits to Tanzania. These include boosting power generation and addressing the yawning energy deficit.
"Natural gas has the potential to offset the cost of electricity production from other sources. The country could generate up to 3500MW of electricity which would suffice for both domestic and commercial use," Haji Semboja, an economist from the University of Dar es Salaam noted.
Tanzania's power grid currently delivers about 773 megawatts of electricity. Most of it comes from hydropower which accounts for 71 percent of the country's total power generation.

Source : allafrica.com
Featured Companies
  • GULF WELL SOLUTIONS
  • SKYTRADE GLOBAL ENTERPRISES LTD
  • /
  • MAVI DENIZ CEVRE HIZ A.S
  • Your Banner HERE!

Complete List  

Advertisers in previous issue:

  • GLOBE GAS specialises in Multi Cylinder installation, Pipeline Installation, LPG Tank (Bulk) Installation, Designing Kitchen Layout etc.
  •  Ugur Seluloz Kimya A.S. is a leading Sodium Carboxymethyl Cellulose & Polyanionic Cellulose manufacturer, located in Turkey.
  • Suppliers of generators for every application
  • Pumping solutions, a technological potential.
  • Catering for the most varied industrial storage requirements.
  • Kenya Engineer is a Journal of the Institution of the Engineers of Kenya
  • Manufacturer & Trader of coil winding machines, toroidal coil winding machines, wire bunching machines, complete winding solution
  •  K & S Financial Group is the link between the end buyer and a reputable Russian refinery.
  • REGO GmbH is the Rego Distribution Center located in Central Germany.
  • Prisma s.r.l. is an industrial reality, qualified in the study and the production of automatic doors for lift.
  •  Portwest is a global vertical company with over 100 years of experience in the design, manufacture and supply of protective clothing, safety footwear, specialist gloves and PPE to resellers and distributors at the most competitive prices.
  • BITZER ranks among the leading manufacturers of refrigerant compressors.
  • Leading manufactures and expoters of the electronic products
  • Manufacturing and marketing "aira" brand Valve Automation Products
  • Sonmez Makina Ltd. is a manufacturer and exporter company for filling systems of domestic use LPG cylinders.
  • Dedicated to the Engineering Manufacturing Sector in India
  •  TITAN Containers is one of the largest privately owned companies supplying containers for a multitude of applications.
  • From a modest beginning in 1955, the IGP Group today provides over 50 products and services to the core sector.
  • We offers high quality, Competitive price and satisfied service always
  • Manufacturer of extrusion lines,extruders and down stream equipment.
  • Hevt Duty Machinery
  • LINTEC doub- le screen technology and the worlds first asphalt mixing plant in 100% ISO sea containers.
  • Manufacturer of auxiliary equipments
  • Ducorr is engaged in the engineering, manufacture & deployment of cathodic protection systems and products.
  • Seco actively contributes to improving your productivity and competitiveness in metal cutting machining.
Afrotrade International Marketing, Tel: +971-50-6285684
© 1998-2025 Afrotrade