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Mkuranga receives gas project boost

What you need to know:

The Tanzania Petroleum Development Corporation (TPDC) is executing a Sh1 billion Natural Gas-Tapping Project, with a view to exploiting natural gas from the Madimba natural gas pipeline, which passes through Mkurunga area to Dar es Salaam.

Dar es Salaam. The ever increasing concern of power and heating energy at Mkuranga industrial area will soon become history as installation of natural gas in the area comes closer to competition.

The Tanzania Petroleum Development Corporation (TPDC) is executing a Sh1 billion Natural Gas-Tapping Project, with a view to exploiting natural gas from the Madimba natural gas pipeline, which passes through Mkurunga area to Dar es Salaam.

The week-long tapping project targets to connect all nearby factories and households at the industrial area whereby at least four of them have already shown interest, according to the TPDC acting managing director, Mr Kapuulya Musomba.

“When we were constructing this natural gas pipeline from Madimba to Dar es Salaam. Mkuranga was not yet been identified as an industrial area, but the area was announced recently and we therefore decided to establish this infrastructure so as to make sure that electricity no longer impedes economic activities,” he said.

TPDC’s subsidiary, Gas Supply Company (Gasco), is undertaking the project.

The Gasco acting general manager, Mr Baltazar Mrosso said the new 12-inch pipeline, will be able to transfer at least 100-120 million standard cubic feet of natural gas per day.

So far, he said at least two factories among the four including Knauf Gypsum Tanzania and Lodhia Steel Industries Ltd have agreed to be connected soon after the installation of electricity is completed.

“We have already two in hand, but we need more factories and households because the capacity of the pipeline is huge,” he noted.

He said, the two factories are estimated to consume 0.6 million standard cubic feet of natural gas per day only.

The managing director of Knauf Gypsum Tanzania Limited, Mr Georgious Zachopoulos, revealed that his factory expects to save at least $3 million (equivalent to Sh6.85 billion) after switching to natural gas from coal energy.

“After starting using natural gas, we will no longer need to transport coal from Iringa. This will reduce costs and save as well as lowering operational costs,” he said.

According to him, his factory needs natural gas mainly for heating during operational processes and not power from electricity.

“Natural gas is pure and smokeless compares to coal, so I am positive that even the lifetime of our machines will prolonged besides environment clean,” he noted.

He is confident that, before the end of 2019, he will be start using natural gas at his factory.