How gas saved Tanesco Sh37 trillion in 16 years

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The introduction of gas-fired generation has saved the Tanzania Electric Supply Company (Tanesco) $16 billion (about Sh36.8 trillion) between 2004 and 2020, a new Wentworth Resources report,

Tanesco managing director Maharage Chande was not in a position to confirm the figure but he admitted to The Citizen that by using gas as an alternative to emergency power production sources which are heavy fuel or diesel, Tanesco was saving a lot of money.

Wentworth is a domestic natural gas producer whose core producing asset is located at Mnazi Bay, in the onshore Ruvuma Basin in Southern Tanzania.

“Gas-fired generation has provided businesses and industries with reliable and reasonably priced power to develop the economy—a vital component for Tanzania’s emerging economic outlook,” reads a part of the 2021 Wentworth report.

Wentworth Resources chief executive Katherine Roe said the company continued and will continue to offer a fixed price for gas to all customers, supporting both the ongoing local development and the expansion of energy access across Tanzania.

Currently, according to the report, energy access stands at 33 percent in Tanzania, with 7.7 million households without access to power.

“This positions energy affordability as the most important factor in providing an effective and inclusive power supply to the nation’s customers,” reads a part of the report.

Going by the report, at present, demand for gas in Tanzania is driven primarily by electricity generation at 79 percent, followed by industrial demand at 21 percent.

Domestic households and compressed natural gas come next.

“Future demand would include all of these off-takers, but also include railways and export pipelines,” a report read in part. Enjoy the good news from


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