DAR ES SALAAM, TANZANIA – July 6, 2025 – The recent Memorandum of Understanding (MOU) signed between the Tanzania Petroleum Development Corporation (TPDC) and Energetech-Tantel has ignited significant discussion among key stakeholders, promising to accelerate natural gas development and distribution across Tanzania. This pivotal agreement aims to firmly establish Tanzania as a regional energy hub and realize its gas economy potential.
Accelerating Industrialization and Local Content
Goodluck Shirima, Commissioner for Petroleum and Gas, Tanzania Ministry of Energy, witnessed the signing, representing the nation’s highest energy authority, the Deputy Prime Minister and Minister for Energy, Hon. Dr. Doto Biteko. He emphasized the critical role of private sector investment. “Private sector investment in infrastructure development is key for governments in delivering scalable solutions for any country,” Shirima stated. “The partnership between Energetech-Tantel and the Ministry of Energy in Tanzania will enable us to deliver on our industrialization promise for Tanzania.”
Shirima underscored the government’s commitment to local empowerment. “As the government, local content development remains a key priority in empowering not only Tanzania people, but Tanzanian businesses,” he added. “Public-private partnerships will help us achieve our development ambitions and deliver sustainable infrastructure projects in a timely manner. Once this project is fully operational, we will have Tanzanian households across the country utilizing clean gas energy, including our manufacturers. For the latter, this will lead to a reduction in the cost of production, and in effect transferring that value to Tanzanians.”
Championing Public-Private Partnerships for Clean Energy
Mussa Makame, Managing Director, TPDC, highlighted the corporation’s strategic approach to leveraging natural resources. “At the Tanzania Petroleum Development Corporation (TPDC), we champion public-private partnerships that deliver solutions for Tanzanians,” Makame affirmed. “By creating an enabling policy environment, we want to take advantage of our extensive natural resources to become a regional leader in clean energy solutions. We are proud to partner with Energetech-Tantel as TPDC to ensure that we deliver clean, efficient energy to off-grid and rural communities, powering homes, businesses and local industries.” He further clarified TPDC’s role: “The Petroleum Act allows us to partner with the private sector to develop the energy infrastructure in Tanzania. As TPDC, through this partnership with Energetech-Tantel, we believe that we will be able to support upstream gas provision, including permitting.”
A Shared Commitment to Transform Tanzania’s Energy Industry
Alistair Naiken, CEO of Energetech-Tantel, articulated the profound commitment behind the partnership. “This is not just a partnership between Energetech, Tantel Holdings and The Ministry of Energy in Tanzania, but a shared commitment to change the energy industry in Tanzania,” Naiken stated. “We are building real-energy solutions that change society. At Energetech, we deliver energy to where it’s needed, when it’s needed the most, and in the form that also makes sense to communities.”
Naiken praised Tanzania’s natural endowments and policy environment. “Tanzania is blessed with not only good energy resources, but good policies, championed by the Tanzania Petroleum Development Corporation (TPDC),” he noted. “The leadership of TPDC has been instrumental in this partnership, driving policies that champion local solutions to local problems, and are solved by Tanzanians. We are confident that we are aligned in not only values but a shared vision that energy solutions should always take into consideration the environment. At Energetech, taking care of the environment is at the core of everything that we do. One of the key differences in this project is to ensure that the energy is consumed by Tanzanians first before we export it. The customers we envisage for this project are industrial customers. As a transition energy, we envision gas replacing the fossil fuels currently powering many manufacturers in Tanzania.”
Investing in Potential and People for African Growth
Daniel Gabai, President and COO, Tantel Holdings, expressed deep optimism for Tanzania’s future. “Tanzania is the most promising country in the East African region,” Gabai remarked. “At Tantel Holdings, we not only invest in potential, but in the people. That has been our guiding principle in Tanzania. At Tantel Holdings, we don’t shy away from large infrastructure projects, we welcome the challenge. We work together with Tanzanians to not only pursue their energy ambitions but also build sustainably scalable solutions.”
Gabai envisions Tanzania as a burgeoning economic force. “Tanzania in our eyes is an emerging force in Africa. Over the next 10 years, Tanzania will become a leading force for growth, driven by an enabling policy environment,” he projected. “This project will be the most efficient clean energy project in Africa. Tanzania will not only be able to create energy solutions to serve the local market, but also export those solutions to the greater East African region.”
Delivering Scalable, Sustainable Energy for Tanzania’s Future
Moshe Schlisser, Chairman, Tantel Holdings, reiterated the fundamental importance of energy in national development. “The fundamentals for any country to develop is to ensure that there’s an availability of energy solutions,” Schlisser concluded. “Through the partnership between Energetech, Tantel Holdings and the Tanzania Ministry of Energy, we expect to deliver scalable, sustainable energy to make Tanzania a leader in renewable energy in East Africa. Through this project, we intend to employ thousands of Tanzanians, which is a direct impact in the economy. Indirectly, with an abundance of gas, this will drive the growth of industries, positioning Tanzania as an innovation hub for Africa.”
The signed MOU outlines an ambitious two-year roadmap encompassing feasibility studies, essential permitting, detailed engineering, securing financing, and ultimately, LNG production, with a targeted first output of LNG expected within 12 months. This initiative marks a significant departure from traditional large-scale LNG developments, leveraging modularity for faster deployment and phased investment, promising to deliver clean, efficient energy to off-grid and rural communities, powering homes, businesses, and local industries across Tanzania.