Uganda, Tanzania appoint consultant for feasibility study on gas pipeline

Uganda and Tanzania have appointed a consultant to conduct a feasibility study for a proposed gas pipeline connecting the two countries, The Observer reported.

The pipeline will form part of a wider regional oil and gas infrastructure network and provide communities along its route with direct access to gas.

According to the International Energy Agency (IEA), Africa’s gas demand is projected to grow by over 50% by 2030, driven by industrialisation and urbanisation.

Analysts note that the Uganda–Tanzania pipeline could provide a cheaper and cleaner alternative to imported fuels, facilitate regional energy trade under the East African Community (EAC) framework, and attract foreign investment in energy and infrastructure, even as environmental and financing risks remain key considerations.

To reduce land compensation disputes, the two countries agreed that the proposed gas pipeline will follow a separate route from the 1,443km East African Crude Oil Pipeline (EACOP), stretching from Hoima, Uganda, to Tanga port in Tanzania, due for completion in mid-2026.

The gas pipeline feasibility study is expected to define a route closer to population centres rather than running alongside the EACOP, as originally planned.

The Uganda-Kenya gas pipeline forms part of East Africa’s broader effort to develop cross-border energy infrastructure, addressing a regional shortage of reliable natural gas for industrial, commercial, and domestic use.

As bne IntelliNews reported, the Petroleum Authority of Uganda (PAU) in mid-June signed a tripartite Memorandum of Understanding (MoU) with its counterparts in Tanzania (PURA) and Zanzibar (ZPRA) to strengthen regulatory collaboration in the oil and gas sector, as Uganda prepares to deliver its first commercial oil in 2026. 

Earlier talks for Tanzania to take a stake in Uganda’s proposed oil refinery project have slowed, though discussions have not been completely abandoned.