TPDC to expand gas production to meet growing demand

Dar es Salaam. Tanzania Petroleum Development Corporation (TPDC) said yesterday it plans to expand natural gas production at Mnazi Bay block by 65 percent to meet increasing market demands.

TPDC’s decision is prompted by the possible increase in demand by the Tanzania Electric Supply Company Limited (Tanesco) which focuses to increase power generation.

Natural gas is also used in firing factory plants that have been significantly increased in numbers due to the achievements in attracting investment in the country.

TPDC said it will increase natural gas production by seven million cubic feet from the present 11 million cubic feet to 18 million cubic feet per day.

Currently, 70 percent of electricity is generated from natural gas, with a total of 53 factories and institutions already connected with natural gas.

About 1,514 houses have also been connected in Dar es Salaam and Mtwara regions, enabling its inhabitants utilise natural gas for domestic purposes.

TPDC acting development and production manager, Mr Felix Nanguka told a press conference that the corporation is expecting to immediately start execution of the new plan.

“Climate change has reduced water levels in the power generation dams, therefore increasing demand for electricity manufactured through natural gas this time than any other time in the country’s history.

“Demands will increase in the future due to increasing number of investors attracted in the country’s manufacturing sector,” he said.

Mr Nanguka said Tanesco has set strategies to import more plants that use natural gas for power generation.

“Natural gas demands for power generation, fueling vehicles and domestic uses will keep growing. Thus, we have organised ourselves to ensure there is enough energy in the country all the time,” he said.

May this year, natural gas demand for factories was estimated to be 52.9 million cubic feet per day.

Therefore, expansion in natural gas production in different blocks including the Songosongo block would ensure sufficient availability of natural gas to meet the country’s demand.

Currently, the country’s annual natural gas production stands at 68.02 billion cubic feet as compared to 59.96 billion cubic feet recorded in the same period of 2021/22, which is equivalent 13 percent increase.