Uganda and Tanzania recently signed a bilateral agreement to construct a natural gas pipeline that will boost both countries’ energy security and economic growth. Natural gas will be transported through this pipeline from Tanzania’s southern regions to Uganda where it will be used to power factories and generate electricity.
The agreement which is expected to create jobs and attract foreign investment was signed on behalf of Tanzania by Deputy Prime Minister Doto Biteko and Uganda by Minister of Energy and Mineral Development, Ruth Nankabirwa.
During the signing event, Biteko stated that the project will enhance gas output in Tanzania’s Lindi and Mtwara regions and raise demand for natural gas. He added that natural gas from Tanzania has piqued the interest of Kenya and Botswana.
Biteko invited investors to participate in the natural gas industry, pointing out that the amount of gas processed daily has reached 250 million cubic feet, of which 80% is used to generate electricity and the remaining 20% is used for transportation, industry, and residential purposes.
Biteko stated that the two nations will collaborate on a feasibility assessment to evaluate the project’s architecture, gas demand, pipeline size, and other crucial variables. The agreement is based on a Memorandum of Understanding (MoU) signed by the two nations in August 2018.
In addition, Biteko reported that Tanzania has found a significant amount of natural gas—roughly 57.54 trillion cubic feet—and that the government is still looking for further supplies in places including the deep sea, Lake Tanganyika, Songosongo West, Eyasi Wembere, and Mnazi Bay North.
According to Ugandan Minister Nankabirwa, her nation is dedicated to accelerating the project and acknowledges its significance. She asked the Joint Implementation Committee to move quickly to complete the feasibility study and hire a lead consultant.
Additionally, Nankabirwa mentioned that the two nations had already worked together on energy-related projects, including the East African Crude Oil Pipeline (EACOP) project, the Masaka Mutukula to Mwanza power transmission project, and the 14-megawatt Kikagati hydropower project.
In East Africa’s efforts to integrate its energy resources, the Tanzania-Uganda gas pipeline project represents a noteworthy turning point. It will draw in foreign investment, generate jobs, and support economic growth and energy security in both nations.