By Mutayoba Arbogast
BUKOBA, Tanzania — Tanzania has enough natural gas reserves to meet domestic requirements for more than 50 years, while the development of the country’s vast deep offshore discoveries could open a new chapter in its energy and export ambitions, according to the Tanzania Petroleum Development Corporation (TPDC).
Marie Msellemu, Head of Public Communications at TPDC, said Tanzania has discovered an estimated 57.54 trillion cubic feet (TCF) of natural gas, giving the country a substantial resource base as the government seeks to expand electricity generation, industrialisation, cleaner cooking and gas-powered transportation.
Speaking during a one-day workshop for journalists from the Kagera Region in Bukoba earlier this week, Msellemu said 10.41 TCF of the discovered gas is located onshore, where production is already underway, while another 47.13 TCF lies in deep offshore fields.
The scale of the offshore discoveries could significantly transform Tanzania’s position in the regional and international energy market. Msellemu said preparations for the development of the deep offshore resources are progressing, with production expected around 2034.
The proposed liquefied natural gas (LNG) development is expected to give Tanzania access to international markets, particularly in Asia, while creating another source of foreign exchange earnings for the economy. Unlike gas supplied domestically through pipelines, LNG can be processed for transportation by specialised vessels to overseas markets.
Tanzania is simultaneously pursuing exploration for crude oil. Msellemu said efforts are underway in the Eyasi-Wembere Basin, covering areas of Simiyu and Manyara regions, as well as around Lake Natron, with expectations that continued exploration could eventually produce commercially viable discoveries.
Onshore natural gas production is currently concentrated mainly in the southern regions of Lindi and Mtwara. According to figures presented by TPDC, Tanzania produced about 301.33 billion cubic feet of natural gas between March 2021 and March 2025, underlining the increasingly important role gas plays in the national economy.
Power Generation Dominates Gas Consumption
Electricity generation remains by far the largest consumer of Tanzania’s natural gas. Msellemu said the power sector accounted for approximately 80 percent of national gas consumption in 2024, while industries consumed around 20 percent, with a smaller amount going to transportation.
Natural gas has become increasingly important to Tanzania’s plans to expand reliable electricity supply and support industrial growth. The country aims to raise electricity generation capacity to 8,000 megawatts by 2030, with gas expected to remain an important part of the energy mix.
The transport sector is also emerging as another market for natural gas. According to Msellemu, about 15,500 vehicles are using compressed natural gas (CNG), supported by 17 filling stations. The numbers remain modest compared with Tanzania’s overall vehicle population, but they demonstrate the potential for CNG to become a larger alternative to conventional transport fuels.
Household adoption, however, has been slower, including in Lindi and Mtwara where much of Tanzania’s natural gas is produced. Msellemu said cultural preferences, public perceptions, infrastructure limitations and awareness remain among the obstacles preventing faster uptake.
“Some people believe that food cooked with natural gas does not taste as good as food cooked with charcoal,” she said, pointing to longstanding cooking habits and preferences that can make households reluctant to switch fuels.
Journalists at the workshop questioned whether affordability could also be contributing to the slow transition, particularly for households accustomed to purchasing charcoal and other cooking fuels in small quantities.
Msellemu argued that natural gas can be competitive because consumers connected to piped networks can purchase according to their needs rather than making large upfront fuel purchases. She said households can buy gas for as little as 500 Tanzanian shillings, depending on consumption.
Public education and awareness campaigns are therefore continuing as authorities seek to encourage more Tanzanians to embrace gas for cooking.
“Greater use of natural gas in homes can reduce the amount of money households spend searching for alternative cooking fuels while also helping to protect the environment,” Msellemu said.
Natural Gas Versus Other Fuel Gases
Msellemu also sought to clarify the difference between natural gas and other commonly used fuels such as liquefied petroleum gas (LPG), explaining that they differ in chemical composition, physical characteristics and distribution systems. TPDC’s mandate specifically covers the development and utilisation of Tanzania’s natural gas resources.
She said a kilogramme of natural gas costs approximately 1,500 to 1,900 Tanzanian shillings, adding that one kilogramme provides roughly the same amount of energy as 1.5 litres of petrol.
Natural gas also has different physical characteristics from several other fuel gases. Because it is lighter than air, leaked natural gas generally rises and disperses rather than remaining concentrated close to the ground, although safe handling, proper installations and compliance with safety standards remain essential.
The bigger challenge to widespread adoption is infrastructure. Unlike some fuels that can be transported relatively easily in cylinders or tankers, expanding piped natural gas requires significant investment in distribution networks.
“Building and expanding pipelines is not an easy task,” Msellemu said. “However, as technology advances and the economy grows, we expect to make significant progress in expanding access to natural gas.”
EACOP Corridor Raises Infrastructure Possibilities
The discussion also touched on whether major energy infrastructure currently under construction could create opportunities for future gas development.
Participants suggested that infrastructure associated with the East African Crude Oil Pipeline (EACOP), which will transport crude oil from Hoima in Uganda to Chongoleani in Tanzania’s Tanga Region, could potentially support thinking around future gas infrastructure along or close to the same corridor.
Jumane Mohammed Said, Coordinator with the EACOP implementation team, told the workshop that the pipeline project had reached 87.80 percent completion, with operations targeted to begin on January 15, 2027.
While EACOP is designed specifically for crude oil transportation, the broader development of energy corridors, logistics systems and supporting infrastructure could strengthen Tanzania’s position as an increasingly important energy hub in East Africa.
CNG Expansion Faces Cost and Infrastructure Hurdles
Despite growing interest in using natural gas for transportation, Msellemu said several challenges continue to constrain the expansion of CNG-powered vehicles.
The current conversion system is primarily suitable for petrol-powered vehicles rather than diesel vehicles. While some imported vehicles arrive already equipped to run on natural gas, converting conventional vehicles requires specialised equipment, including cylinders, which can represent a significant upfront cost for motorists.
The relatively small number of filling stations is another constraint. With only 17 CNG stations serving a growing market, access remains limited in many parts of the country. Businesses involved in supplying conversion equipment have also encountered challenges that have slowed expansion.
Msellemu said efforts are underway to address the obstacles, with the government committing resources to increase the contribution of natural gas to economic development.
Tanzania’s Natural Gas Utilisation Master Plan 2016–2045 provides an indication of the scale of the country’s domestic ambitions. Under the plan, approximately 8.8 TCF of natural gas has been allocated for electricity generation, 3.6 TCF for industrial use, 600 billion cubic feet for transportation and 500 billion cubic feet for household consumption.
With more than 57 TCF already discovered and the bulk of those resources still sitting offshore, Tanzania’s gas story is therefore only partly developed. The immediate challenge is no longer simply proving that the resource exists, but building the infrastructure, investment framework and domestic market required to turn those reserves into affordable energy, industrial growth and export revenues.
If the planned deep offshore developments move into production around 2034, Tanzania could enter a substantially different phase of its energy development, combining domestic gas utilisation with LNG exports to international markets. For TPDC, the size of the resource base provides confidence that the country can pursue both ambitions while maintaining natural gas supplies for decades to come.
