The Deputy Prime Minister and Minister for Energy, Dr. Dotto Biteko has revealed plans to widening and modernize the Tanzania-Zambia Crude Oil Pipeline (TAZAMA).

Dr. Biteko made the announcement during the opening of the Fourth Session of the Second Workers' Council of the Energy and Water Utilities Regulatory Authority (EWURA) in Tanga earlier this week.

The proposed expansion includes the construction of oil storage tanks in the Morogoro and Makambako regions, designed to alleviate congestion at Dar es Salaam Port by reducing the volume of tanker trucks.

"Energy is a global necessity today. The TAZAMA pipeline, built in the 1970s, has long supplied oil to Zambia. As demand grows in both Tanzania and Zambia, we are expanding the pipeline," Dr. Biteko explained.

"The pipeline, which spans over 1,700 kilometers, will also be equipped with intermediate storage tanks in Morogoro and Makambako. This will allow trucks from Mbeya to collect oil in Njombe and Morogoro, significantly easing traffic congestion at Dar es Salaam Port," he added.

Dr. Biteko also commended EWURA for simplifying the permit and licensing processes, which has attracted significant investment in Tanzania's gas and energy sectors.

He highlighted that these reforms had led to a notable increase in investment, with 50 new Compressed Natural Gas (CNG) stations established by the end of the 2024/25 fiscal year.

"I commend EWURA for eliminating bureaucratic delays in the permitting process and for reducing both construction costs and approval fees. These changes have opened the door for more investments in the sector," Dr. Biteko said.

He further noted that the number of CNG and energy sector investors had doubled from 25 to 50 in the past fiscal year—a remarkable achievement.

In Dar es Salaam, over 15 new CNG stations have been set up, and mobile trucks are being deployed to distribute CNG to Morogoro and Dodoma, following the regulatory changes.

EWURA's Director General, Dr. James Andilile, emphasized the authority's ongoing efforts to support both local and international investors in the energy sector.

"EWURA has effectively implemented your directives to expand energy services to rural areas. Permit costs have been slashed from 500,000/-  to 50,000/- , and licensing fees from 1,000,000/- to 100,000/- ," Dr. Andilile stated.

He added, "Through close collaboration with the Rural Energy Agency (REA), we have increased the number of fuel stations in rural areas. As of this year, we now have 512 stations, up from 418 last year, making clean energy more accessible to Tanzanians."

Established in 1968, the pipeline was designed to transport crude oil from the Tanzanian coast to Zambia's inland refinery in Ndola.

Recognizing the need to meet growing energy demands, both nations have initiated plans to expand the pipeline's capacity to 5 million tonnes annually. 

This ambitious project involves comprehensive feasibility studies to assess the required renovations and associated costs. The expansion aims to enhance the energy security of both countries and support their economic growth.

In addition to increasing capacity, discussions started in 2022 to construct a new 1,349-kilometer refined petroleum products pipeline. 

This proposed pipeline would run parallel to the existing one, facilitating the efficient transport of refined products from Dar es Salaam to Ndola. 

The estimated investment for this project is US$1.5 billion, reflecting its strategic importance to the region's energy infrastructure.

These developments underscore the commitment of Tanzania and Zambia to modernize their energy infrastructure, ensuring reliable and increased supply of petroleum products to support their growing economies.