Clean Energy Gains Momentum in Tanzania with CNG

As Tanzania seeks to diversify its energy mix, Compressed Natural Gas (CNG) is emerging as a vital component. The country’s energy sector is poised for significant growth, driven by the need to meet increasing demand from both industrial and domestic consumers. Clean energy adoption is accelerating in Tanzania, with CNG playing a crucial role in the country’s ambition to expand access to sustainable energy.

The Strategic Importance of Natural Gas Resources.

Tanzania has discovered 57.54 trillion cubic feet (tcf) of natural gas reserves, which are being developed to meet both domestic and export demands. The strategic importance of these resources cannot be overstated, as they offer a cleaner alternative to other fossil fuels. The development of natural gas is crucial to Tanzania’s energy future—helping improve energy security, reduce the carbon footprint, and stimulate economic growth.

Growth Statistics and Adoption Rates.

Data shows a steady increase in CNG adoption, including a significant rise in the number of CNG-powered vehicles and refueling stations.

The government aims for the majority of vehicles to be CNG-fueled by 2050, indicating continued growth. Additionally, the number of CNG filling stations has increased from five in 2024 to nine in 2025. At least seven additional stations are expected to be completed across the country by 2026.

Expansion of Domestic Natural Gas Distribution Network

Tanzania is rapidly extending its natural gas distribution network—both through physical pipelines and “virtual pipelines,” with new CNG stations forming the backbone of this expansion.

Regional Expansion

A TPDC report (November 2024) indicates that only four regions are currently reached by the gas pipeline network. However, the Tanzania Natural Gas Utilisation Master Plan (2016–2045) outlines a phased pipeline expansion:

• Phase 1: Dar es Salaam to Mwanza, Dar es Salaam to Arusha, and Mtwara to Njombe
• Phase 2: Morogoro to Iringa and Mbeya
• Phase 3: Mbeya to Sumbawanga, Tabora to Kigoma, Mwanza to Kagera, and Mwanza to Mara

Industrial Connections

Currently, 56 industries are connected to the natural gas grid. The Master Plan earmarks 3.6 tcf of gas for industrial use by 2045. A notable development is the planned $1.2 billion fertilizer plant, expected to be commissioned by 2028, which will consume 70 million cubic feet of gas per day.

Household Connections

Tanzania aims to ensure that 80% of the population uses clean cooking methods by 2034—largely through gas canisters. To support this, TPDC has launched an initiative to connect 951 additional households to gas pipelines this fiscal year, up from approximately 1,500—a 60%+ increase in one year. This demonstrates the government’s commitment to infrastructure development supporting CNG adoption.

Recent Developments and Milestones

Tanzania has made significant strides in CNG adoption, with several landmark projects launched since 2020:

TAQA Dalbit’s Integrated CNG Filling Station and Conversion Center

TAQA Dalbit opened “Master Gas”—Tanzania’s first integrated CNG filling station and vehicle conversion center—in Dar es Salaam in late 2023. It can fill up to 800 vehicles per day and convert around 1,000 vehicles per year, including cars, buses, and trucks.

TPDC Launches East Africa’s Largest CNG Mother Station

In May 2025, TPDC inaugurated East Africa’s largest CNG mother station in Dar es Salaam. Located near the University of Dar es Salaam, it can fill up to 1,200 vehicles daily. The project cost TSh 18.9 billion and is part of TPDC’s broader CNG expansion strategy, which includes licensing over 60 companies to build new stations.

PanAfrican Energy Tanzania (PAET) Supports Infrastructure Growth

PAET has been a key player in Tanzania’s CNG sector for over 14 years, supplying gas to stations like TAQA Dalbit’s and others. Its Songo Songo gas field remains a vital source of clean energy for industries and vehicles in Dar es Salaam.

Dar es Salaam Bus Rapid Transit (DART) System.

The DART system stands out as a flagship CNG project, reshaping urban transport. With 210 CNG buses currently in service and a total of 775 planned, the initiative marks a major step toward reducing fossil fuel dependence and cutting emissions in urban mobility.

Challenges and Barriers to CNG Adoption.

Despite its benefits, the adoption of CNG in Tanzania faces several challenges:

Technical and Infrastructure Limitations.

The current CNG refueling infrastructure is still in its early stages, limiting access and slowing adoption.

Funding Constraints.

CNG expansion requires significant capital investment, yet local investors often lack the necessary funding and access to technology. These barriers could be overcome through strategic partnerships with international companies capable of investing in equipment and technology.

Conclusion: The Future of Tanzania’s Energy Transformation.

Tanzania stands at the threshold of a major energy transformation driven by Compressed Natural Gas. With vast natural gas reserves and ongoing investment in infrastructure, CNG is becoming a cornerstone of the country’s clean energy strategy.