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:

  • Manufacturer & Trader of coil winding machines, toroidal coil winding machines, wire bunching machines, complete winding solution
  •  Ugur Seluloz Kimya A.S. is a leading Sodium Carboxymethyl Cellulose & Polyanionic Cellulose manufacturer, located in Turkey.
  •  The Western Group has been in business for over two decades and was set up primarily to service the Oil & Gas Industry Sectors.
  • Speco Ltd. is the leading manufacturer & supplier of Asphalt Mixing Plant, Concrete Batching Plant, Crushing Plant & Optimized Integrated Flue Gas Treatment System.
  • Fuel Metering System
  • Bakery Equipment, Flour Mill, Bread Improver, Dried Fruit Processing machine
  • Automatic brick manufacturing machines
  • Sonmez Makina Ltd. is a manufacturer and exporter company for filling systems of domestic use LPG cylinders.
  • VALSER Oil & Gas Limited was created to service the oil & gas, petrochemical, refining and power industries in East Africa
  • Manufacturing and marketing "aira" brand Valve Automation Products
  • Manufacturers & Exporters of hand tools, garden tools & leatheer tool pouches.
  • Specialty and Custom Chemicals Exhibition
  • We manufacture; As Welded, Outer Diameter Conditioned, and Bead Hammered stainless steel tubing to ASTM standards We manufacture; As Welded, Outer Diameter Conditioned, and Bead Hammered stainless steel tubing to ASTM standards
  • REGO GmbH is the Rego Distribution Center located in Central Germany.
  • All type conveyor belts for internal & external location tapis roulant de tout genre pous deplacement a l
  • Industrial  machinery
  •  BMC China Exhibition Co., Ltd is the wholly-owned subsidiary of German Enerxy AG Group
  • Seco actively contributes to improving your productivity and competitiveness in metal cutting machining.
  •  Magazine for Africa
  • Pumping solutions, a technological potential.
  • Leading manufactures and expoters of the electronic products
  • ISISAN is a core member of a group who employs, approx 2000 people and active in pipe manufacturing, furniture, machine made carpets, flour mill and animal feed production.
  •  EuropCorr is a company specialized in design, manufacturing, sales and consultancy of corrosion monitoring systems mainly for petrochemical, oil and gas industry.
  • Global Air Freight Solutions for Oil & Gas Shipments.
  • Manufacturer of auxiliary equipments
Afrotrade International Marketing, Tel: +971-50-6285684
© 1998-2025 Afrotrade