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By Charles Mkoka
The construction of the Compressed
Natural Gas (CNG) Mother Station project has reached 33.5 percent of completion,
the National Petroleum Corporation updated.
Speaking during a site visit
on Wednesday (August 21), the Board Chairperson of the Tanzania Petroleum
Development Corporation (TPDC) Amb Ombeni Sefue said the TZS14.55 billion project
will be completed before the end of this year.
Project Manager, Eng.
Aristides Katto said the procurement of equipment from China will be completed by
the end of September and be shipped to Tanzania by mid-November 2024.
“The equipment for the
station is being built in China and it is at 76 percent of completion. A TPDC
team will visit China next month to inspect the equipment before shipping,” he
noted.
Ambassador Ombeni said industries,
vehicles, institutions, and households are now flocking to natural gas uses,
underscoring its role as a crucial energy source.
“This Mother CNG station contains
four gas dispensers with eight nozzles, allowing eight CNG vehicles to refuel
at the same time. The facility will also supply gas to sister CNG filling
stations across the country, especially in areas without pipeline
distribution,” he said
Once completed, the station
will refuel over 1,000 vehicles a day and fill three large trailers at once, reducing
the current congestion at filling stations, especially in Dar es Salaam, where
over 40 private companies have applied for permits.
The annual report for Natural Gas Subsector (2022/2023 shows that the use of compressed natural gas (CNG) for vehicles is on the rise, with three CNG filling stations reporting a 146 percent increase in refueling activities, totaling 178,773 in 2022/23 compared to 73,659 the previous year.
Ewura has issued approvals for three new CNG filling stations, with two already operational in Tazara and near the airport.
The report also shows the trend of natural gas consumption in various
sectors, with significant usage in power plants, industries, vehicles, and
households. For instance, natural gas sold to the Tanzania Electric Supply
Company (Tanesco) averaged $5.36 per MMBtu at the Mtwara power plant, while the
average price for the Tanzania Petroleum Development Corporation (TPDC) was
$4.08 per MMBtu. The energy source now accounts for over 70 percent of the
power supplied to the national grid, with 51,609.78 MMscf used in power
generation last year alone.
Industrial usage also remains
robust, with 54 industries consuming 11,540.83 MMscf of natural gas, paying
$8.24 per MMBtu.
Household and institutional consumption of natural gas has also seen an uptick, with 1,514 households and eight institutions using the resource.
The ongoing Mwenge-Mbezi trunkline
project and gas supply connections to the Saphire Floating Glass Industries in
Mkuranga are expected to further boost demand.
