Songo Songo, Mnazi Bay gas ups govt revenue by USD277.4m in three months

The Tanzania Petroleum Development Corporation (TPDC) has said that revenue accruing from the uses of natural gas from Songosongo and Mnazi Bay between July and September this year was more than USD277.360m.

According to TPDC, this has saved the country’s economy more than USD6.651bn in expenses, TPDC acting Director for Downstream Operations Joyce Kisamo has said, adding that out of that amount USD6.106bn was in power generation, USD544.751m in industrial operations and USD0.239m in institutions and households.

She said this on wednesday at a two-day workshop in Bagamoyo that brought together government officials from various sectors and media to educate them on how the gas and oil sector operates.

Eng Kisamo said also the levy to respective district councils was 0.3 percent of natural gas sales, adding that in Songo Songo Project – Kilwa District Council gets about 100m/- every three months which among other things are benefits that occur form the discoveries of natural gas.

“We peg much expectation on this new project of Mtwara-Dar es Salaam pipeline whereby local people will get direct and part-time employment as well as revenue increase, besides foreign currency. The important thing is for the public to join efforts and support the project instead of sabotaging it,” she said.  

In another development, she said, TPDC is in the final stage of procuring a strategic investor to implement the fertiliser project by using natural gas.

She said that local and export purposes needs are going to be at about 835,000 MT per annum for agriculture, adding the discovery will help people change their lifestyles.

Also the corporation has engaged a consultant to conduct a feasibility study on natural gas utilisation in Lindi and Mtwara regions to other regions, she said, adding that after this, a contractor would be engaged to implementation of the project.

She said that the feasibility study and detailed engineering design once completed would enable gas supply to to 30,000 households, construction of 15 CNG filling stations to supply up to 8,000 vehicles and gas sale to industries.

Meanwhile, speaking on the Mtwara-Dar es Salaam project, Acting General Manager of Gas Supply Company (GASCO) Kapuulya Musomba said last month report show that the overall status of construction of transmission pipeline from Mtwara to Dar es Salaam was 94 percent to completion despite the challenges faced.

He said there have been some challenges in line with project implementation, however through coordination these challenges are being tackled by involvement of different stakeholders under the pioneership of Ministry of Energy and Minerals.

Musomba added that safety and security of the project during construction and operation was among the challenges faced, adding that sensitisation and education to the villages along the pipeline in general need to be emphasised.

“The general public should understand the importance of this project in developing the gas sector which on the other hand will increase sustainability of electricity generation and hence improve the national economy,” he added.

SOURCE: IPPMEDIA

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