Home East Africa Tanzania saves US$#15.6 billion switching to natural gas

Tanzania saves US$#15.6 billion switching to natural gas

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·        Tanzania recorded an energy saving   to the extent of US$15.6 billion by switching over to natural gas as a source of energy from July 2004 to September 2020

·        During this period, the natural gas has replaced expensive fuels such as heavy furnace oil (HFO) and other imported petroleum products

·        Tanzania has 57.8 trillion cubic feet (tcf) of natural gas deposits offshore and onshore

Tanzania recorded an energy saving   to the extent of US$15.6 billion by switching over to natural gas as a source of energy  from July 2004 to September 2020, according to the Tanzania Petroleum Development Corporation (TPDC). During this period, natural gas has replaced expensive fuels such as heavy furnace oil (HFO) and other imported petroleum products.

TPDC also has calculated the sector-wise savings. The country saved US$13.21 billion in power generation, and $2.38 billion in industries by switching over to natural gas as a source of energy, which is more cost-effective compared to petroleum products such as diesel, petrol and jet fuel.

At least 48 industries have been connected to, and are fully using,natural gas to power their operations.  More than 1,000 households are currently using natural gas in Dar es Salaam and Mtwara regions. Switching to natural gas  for vehicles is difficult due to inadequate number of gas filling stations. It is reported that the   government was planning to construct five more CNG filling stations at Ubungo, Kibaha, the Ferry Fish Market Area, Muhimbili National Hospital and the University of Dar es Salaam. “

Tanzania has 57.8 trillion cubic feet (tcf) of natural gas deposits offshore and onshore. The  exploration  for finding more gas reserves was still going on. The government is negotiating with investors on the planned construction of a liquefied natural gas (LNG) plant in Lindi Region.

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