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Home Lead Story

Gas strategy positions Tanzania in Africa’s evolving energy transition

Tanzania Monitor Reporter by Tanzania Monitor Reporter
April 19, 2026
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Gas strategy positions Tanzania in Africa’s evolving energy transition
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WASHINGTON: Tanzania is scaling up the use of natural gas to expand electricity generation as it targets 8,000 megawatts (MW) of installed capacity by 2030, positioning itself within a broader African shift toward gas as a transitional energy source.

Energy Minister Deogratus Ndejembi said gas would play a central role in ensuring reliable and affordable power as demand rises in one of East Africa’s fastest-growing economies.

Speaking on the sidelines of the World Bank–IMF Spring Meetings, Ndejembi said Tanzania is prioritising gas-to-power solutions to stabilise electricity supply and support industrialisation.

Tanzania currently generates more than 1,200 MW from gas-fired plants connected to the national grid — a shift authorities say has already improved reliability in a region where power shortages have historically constrained growth.

To boost supply, the government is advancing upstream investments, including drilling three new wells in the Mnazi Bay block in the southern Mtwara region, with additional output expected to support expanded generation capacity.

Across sub-Saharan Africa, countries are increasingly turning to natural gas to bridge the gap between energy shortages and long-term climate goals. Nations such as Mozambique, Nigeria and Egypt are expanding gas production, while others are investing in gas-fired power to stabilise grids and reduce reliance on hydropower vulnerable to climate variability.

Within East Africa, Tanzania’s strategy places it alongside emerging regional energy players seeking to leverage domestic gas reserves to drive industrial growth, reduce import dependence and expand electricity access.

Analysts say gas is increasingly viewed as a “transition fuel” for African economies — offering lower emissions than coal while providing the baseload power needed to support manufacturing and urbanisation.

Tanzania upbeat on $42 billion LNG deal

Balancing energy and climate

Globally, the role of natural gas remains contested. While institutions such as the World Bank have signalled support for gas in specific development contexts, particularly in Africa, climate advocates argue that long-term investments risk locking countries into fossil fuel dependency.

At the same time, energy security concerns, heightened by supply disruptions and rising demand, have led many countries to reassess the role of gas in their energy mix.

For Tanzania, officials say the focus is on using gas as a foundation for economic transformation while gradually expanding renewable energy sources.

Ndejembi said the country remains open to foreign and domestic investment in the energy sector, particularly in natural gas, which he described as critical to supporting industrialisation and broader economic development.

Alongside energy expansion, Tanzania is working to align infrastructure priorities with international financing frameworks.

Finance Ministry Permanent Secretary Natu El-maamry Mwamba chaired discussions in Washington on projects to be financed under the next cycle of the International Development Association (IDA-21), part of the World Bank’s concessional lending arm.

The meeting, which included officials such as Tausi Kida, focused on aligning national development priorities with available global financing.

The International Monetary Fund and World Bank Spring Meetings bring together policymakers and investors to assess global economic trends, including energy transition pathways and infrastructure financing.

If successfully implemented, Tanzania’s gas-to-power strategy could help close the country’s electricity gap, support industrial expansion and strengthen its role in East Africa’s energy landscape.

More broadly, it reflects a growing trend among African economies seeking pragmatic energy transitions — balancing climate commitments with the urgent need for reliable, affordable power to drive development.

Tags: Deogratus Ndejembielectricity generationindustrialisationnatural gaspower capacityTanzania energy

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