TANGA: THE push to turn Tanga into a regional energy hub has moved into the technical phase, after Tanzania and Uganda handed over the proposed Chongoleani site to Worley Consulting Group Limited for preliminary studies.
The handover of the proposed site for the Tanga Regional Energy Hub clears the way for the consultant to begin technical work on infrastructure that includes a refinery, petroleum storage facilities and other components of the planned energy hub.
The development comes a day after Ugandan President Yoweri Museveni said the proposed Tanga refinery could operate alongside refineries planned in Uganda and Kenya, signalling continued Ugandan interest in developing refining capacity in the region.
Speaking on Wednesday at the groundbreaking ceremony for the Dangote East Africa Refinery in Lamu, Kenya, President Museveni said Uganda would proceed with plans to establish a small refinery, while also referring to earlier discussions on a refinery in Tanga.
“We had also discussed a refinery in Tanga. I don’t know what happened. This one (refinery in Kenya), I support, but I will not invest yet. I want to discuss with Ruto and Samia what happened,” President Museveni said.
He said the different refineries could operate within the regional market.
“The refinery here in Lamu can be there. The one in Tanga can be there. The one in Uganda will be there. The one in Nigeria can also be there,” he said.
Against that backdrop, the Tanzania-
ganda Joint Technical Committee met in Tanga yesterday to advance implementation of the strategic projects aimed at establishing the Tanga Regional Energy Hub.
The consultant will undertake preliminary studies at the proposed site, including geotechnical investigations to assess ground conditions, environmental assessments and preliminary design work.
Assistant Commissioner for Midstream and Downstream Petroleum in the Ministry of Energy Tanzania, Ms Grace Mwakasege, said the project was strategic in strengthening Tanga’s role in regional petroleum activities.
She said the development was expected to contribute to positioning Tanga as an important energy centre in East Africa.
Uganda’s Ministry of Energy and Mineral Development Assistant Commissioner, Engineer Geoffrey Ogwang, said the handover reflected the longstanding cooperation between Tanzania and Uganda.
“We have come to hand over the site to the consultant, so that it can immediately begin the preliminary studies to assess the feasibility of implementing this major and important project for our two countries,” Eng Ogwang said.
Joint Technical Team member, Engineer Aristides Katto, said the studies would include geotechnical investigations to assess ground conditions and determine the size of the area required for the proposed development.
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“Following these studies, the consultant will submit a comprehensive report to the Joint Technical Team for detailed consultations and decision-making before construction can begin,” Eng Katto said.
The Tanga Regional Energy Hub is expected to comprise several strategic petroleum projects, including a proposed refinery, a pipeline for transporting refined petroleum products from Tanga to Kampala, oil storage tanks and a marine storage terminal and jetty at the Port of Tanga.
The Ministry of Energy said the projects are intended to strengthen energy trade between Tanzania and Uganda while creating employment and local content opportunities.
The proposed developments build on the East African Crude Oil Pipeline (EACOP), which will transport Ugandan crude oil to Chongoleani in Tanga for export.
The planned refinery and associated infrastructure could broaden Tanga’s role in the regional petroleum value chain from crude oil transportation and export to refining, storage and distribution of petroleum products.
However, key details of the proposed refinery, including its final capacity, financing arrangements and construction timetable, remain subject to feasibility studies and subsequent project development decisions.
The Joint Technical Committee comprises officials from Tanzania’s Ministry of Energy, Uganda’s Ministry of Energy and Mineral Development, the Tanzania Petroleum Development Corporation (TPDC), the Uganda National Oil Company (UNOC), legal experts and other stakeholders.
