Oil & Gas

Tanzania’s energy strategy focuses on expanding its energy infrastructure to achieve energy independence and support industrial growth, consumers, and regional partnerships. One key component of this strategy is the development of compressed natural gas (CNG) stations, which will play a vital role in meeting the country’s growing energy needs. The Tanzania Petroleum Development Corporation (TPDC) has reported that the national CNG mother station is now 67% complete and is expected to open in January.

Although the project faced a delay due to shipment issues, the necessary equipment has arrived, and the compressed natural gas station, which began construction in August, is on track for completion within the next month and a half. Once finished, the Sam Nujoma station is expected to serve between 1,000 and 1,500 vehicles daily. The project is valued at approximately $5.8 million and also includes smaller satellite stations to expand the network.

To address the increasing demand for CNG, which currently fuels 4,500 vehicles, Tanzania plans to issue licenses to private operators for 13 new CNG stations by June. This expansion is expected to significantly boost the availability of CNG throughout the country and help meet the needs of both private and commercial vehicles.

Currently, there are only four functioning CNG stations in Tanzania, located at Tazara (Nric Gas Technology), Airport (TAQA Delbit), Ubungo (Pan African Energy Tanzania), and Mandela Road (Tembo Energies). With the addition of the new stations and increased natural gas production, Tanzania is positioning itself to meet future energy demands while promoting sustainable energy solutions across the region.