Deputy Prime Minister and Minister of Energy, Dr.Doto Biteko said the government’s intention is to implement a major project for recycling and processing natural gas (LNG) due to its economic benefits but there are currently areas where the Government is working in detail through negotiations with investors so that the project can be productive for the country and the public.
He said this, on April 29, 2025 in Parliament in Dodoma in response to various arguments made by MPs on the Ministry of Energy’s budget speech of 2.2 trillion by 2025/2026 before the 100 % parliamentary approval.
“The LNG project has started to be said for a long time and everyone would wish this project was completed yesterday but we must discuss in detail with investors to get the best and productivity, what I want to assure is that the Government negotiations team and investors continue the negotiations and we hope that within this year 2025 if we have completed the remaining three issues.
He said the President, Dr.Sami Suluhu Hassan is thirsty to see the project begin and he has issued a directive to the ministry to ensure that the project is implemented.
Responding to a statement about the growing and rebuilding gas stations, Dr Biteko said that the Ministry of Energy had begun negotiations with the Ministry of Land to increase the distance between one and the other from the current 200 meters with the aim of bringing the safety of the people, the environment and social activities.
Regarding various tax exemptions in the value chain of gas used on fireworks such as vehicles (CNG), Drs. Biteko said that the government had issued a Value Added Tax (VAT) exemption for various equipment and machines used in the value chain for CNG projects such as CNG cylinders and equipment to enable the system to enable vehicles to use the gas.
He said in 2024/2025 the Ministry of Energy has submitted the Ministry of Finance proposals for tax improvements on natural gas used in vehicles to increase the use of CNG and investors investing in the projects to benefit and restore the costs they invest in quickly.
Responding to parliamentarians’ arguments on the cost of connecting rural and urban electricity, Dr Biteko said that the team was formed to look at how the costs would be reduced as the goal was to bring relief to the public.
Regarding the supply of rural electricity, Dr Biteko said that, President Dr. Samami Suluhu Hassan should be commended for delivering electricity to all 12,318 villages as set out in the 2020 Revolutionary Party’s manifesto as the operation of the power supply is going on rapidly.
Referring to the construction of power stations in all districts in the country through a solid grid project, Drs. Biteko said the government has already bought plots for the construction of the facilities and in the first phase there will be 14 stations while implementation is ongoing and in the long -term power lines the government will install switching stations.
The issue of power outages in the country, Dr. Biteko said it had decreased by 48 percent with minutes of power outages decreased by 64 percent and now the electricity was stopped simply because of the maintenance of infrastructure.
He said the government is continuing to strengthen the TANESCO customer service center so that information can reach the public at a time when electricity is disconnected including each district to have a stroke.
Deputy Minister of Energy, Mrs. Judith Kapinga congratulated the President, Dr. Sami Suluhu Hassan for the great work he is doing in the nation, especially in the energy sector, stating that one of the principles of economic growth and development in any nation is investment in the energy sector.
Speaking of regions that are not yet integrated into the electric grid, grandmother. Kapinga said there are various projects going on where in Rukwa region there is a major project to transport Iringa-Tunduma to Rukwa to another piece of project that will connect the Tanzania and Zambia grid.
“Mr. Speaker in Mtwara and Lindi region already the contractor is in the workplace, the project has begun by building a power outage from Songea-Tunduru-Masasi to Mains and we have started compensation in the Tunduru area to Masasi approximately 4.6 billion and the remaining Songea area to Namtumbo and Tunduru will continue to compensate about 2.7 billion shillings”, She said Mrs. Kapinga
About sending a grid to the Kagera region he said the work is underway through the construction of the Benaco-Kyaka electricity and in the Katavi region the project to transmit the grid electricity to the region is in the final stages.
Referring to the work of transmitting electricity to various islands in the country, Mrs. Kapinga said that the government has donated shillings 9.89 billion to deploy solar systems to the 118 islands located in more than five regions, especially in the Ukerewe district.
About improvements to electricity infrastructure in the Dar es Salaam region, Mrs. Kapinga said there were works going on to enable citizens to access reliable electricity including the upgrading of the Mbagala station which had a 50 MVA capacity but is now installed a new 120 MVA transformer to increase the capacity of the center so that the people of Mbagala, Temeke, Yombo, Mkuranga and some Kigamboni areas continue to access the electricity.
She said the work, has come to an end and at any time the transformer will start operating.
The Kigamboni area, said improvements are underway and that citizens have already begun to see changes in access to electricity through such improvements.