Tanzania – Gas Economy
An Ernst & Young report has described East Africa as the "next epicentre" for global natural gas, something which was a "non-story" ten years ago. With the latest discovery of the vast reserves of Natural Gas in the Southern part of Tanzania, the Interest of the global oil and gas industry in East Africa has peaked. This discovery has forecasted the country as the New Global Gas Power and soon to become key exporter of LNG to fast-growing energy-hungry countries. In September, Tanzania signed a $1.2 billion loan agreement with China for the construction of a Protected content pipeline from the south of the country to Dar es Salaam.
With this discovery Tanzania’s natural gas is estimated to be 47 trillion cubic feet brightening the future of the whole country, opening doors to prospective gains and development benefits. This exciting volume is projected to attract into the country billions of foreign direct investment, which if well managed will transform the national economy by mostly modernizing strategic sectors notably energy, farming and manufacturing creating more African Jobs.
Energy and Minerals Minister Sospeter Muhongo said that the government till date has granted 28 licenses to some 19 companies to explore for gas and oil including some of the world’s biggest Oil & gas companies. This will further create the need to have experts who will be able to deal with the Giant gas and oil companies when signing contracts with them, auditing their finances and regulating their operations. This will promote the generation of opportunities for more Executive Jobs in Africa.
Reuters Africa confirms East Africa's status as one of the world's fastest-growing gas hubs with this recent discovery. In May The World Bank estimated to see a rise in revenue in Tanzania of up to $3 billion a year subsequent to the major offshore gas discoveries. The anticipated revenue gains and investments could mean a significant move towards industrialization for Tanzania. And to conserve this investment the requirement for labor will increase at the same pace creating not only more Jobs in Tanzania, but also jobs in Angola, jobs in Kenya etc. The staffing and Recruitment Agencies around the world will be persistent for the best talent to enhance the African employment Market with the right skills. The new vacancies in Africa will encourage and attract more expats in Africa to make Africa the next biggest Oil and Gas Economy.
Visualizing the future prospect of the country, the Tanzanian President Kiewit has added to the Society’s high expectation of Tanzania becoming a Gas economy by assuring everyone that the Government would do everything possible to guarantee the Tanzanians benefit when the country develops into one of the primary gas suppliers in five years’ time. However in order for this to be possible a lot of effort will need to be made to increase the muscle of the government in order to honor this promise. If Tanzania plays its cards right in managing this resource, the benefits it would accumulate will lead to alleviating the long standing problems of Africa like poverty, lack of Electricity, dependence on donors of benefactors. It can achieve to become a more sufficient and developed economy in the world.