A bilateral agreement for the construction of a natural gas pipeline was signed on behalf of Tanzania by the country's Deputy Prime Minister, Doto Biteko and on behalf of Uganda by the country's Minister of Energy and Mineral Development, Ruth Nankabirwa, Biteko declared.
The pipeline will transport natural gas from the southern regions of Tanzania to Uganda.
Speaking at the signing ceremony, Mr. Biteko emphasized that the project will increase the demand for natural gas in Tanzania as well as gas production in the Lindi and Mtwara regions of the country. The Deputy Prime Minister also highlighted that Kenya, Zambia, Malawi, Rwanda, Burundi and Botswana are among the countries interested in Tanzania's natural gas.
He also called for investment in the country's energy sector, adding that Tanzania's gas processing amounts to over 7 million cubic meters per day, of which 20% is used to meet industrial, domestic and transportation needs, while 80% is used to generate electricity.
"Tanzania produces and utilizes about 250 millions standard cubic feet [over 7 million cubic meters] of natural gas per day, which 80% of it is used for gas to power, and the remaining 20% is used for industries, household and transportation sector. [...] Our main challenge now remains the infrastructure development [...]. This challenge is what motivates us to invest further and call upon investors to come and join hands around the world to develop the oil and gas sector here in Tanzania," the deputy prime minister noted.
Biteko further stressed that about 1.63 trillion cubic meters of natural gas have been discovered in the country and other sites in the country including Eyasi Wembere, Mnazi Bay North, Songosongo West, Lake Tanganyika, and the deep sea are being explored for new sources.
He also urged the Joint Implementation Committee to "work tirelessly" to implement the project on time.
"I argue the Joint Committee [...] to work tirelessly, make the talk be practical. We want you to work tirelessly to get the procurement entity, the consultant, get them in time so that we can conduct the feasibility study on time," Biteko said.
Commenting on the agreement, Nankabirwa said on her social networks that the deal demonstrates Uganda's commitment to boosting the country's energy sector and promoting regional cooperation in the field.
"Government continues to work towards implementing and advancing the project, aiming for a sustainable and prosperous future for Uganda and Tanzania," the minister's post on X, formerly known as Twitter, reads.
In August 2018, a memorandum of understanding on the project was signed by the two East African states.
Another significant Ugandan-Tanzanian energy initiative is a 1,440-kilometer oil pipeline called the East African Crude Oil Pipeline Project (EACOP), which will transport oil from Uganda's Lake Albert oil fields to Tanzania's Indian Ocean port of Tanga, where it will be sold to global markets.