– An LPG Gas cylinder cost about 35.000 Tanzanian shilling in Tanzania (1700 Kenyan shilling).
Tanga Region is expected to see the rapid development in all the sectors of economy, thanks to the Lake Group investments in liquefied petroleum gas (LPG) terminal in the region.
The government has so far recommended Lake Group for its oil terminal investment, the largest in East and Central Africa expected to accommodate 2,000 metric tonnes of gas while employing 100 workers.
Speaking last weekend at the opening of the terminal, Minister of Energy and Minerals George Simbachawene said the opening of the depot in the region is in-line with the government’s effort in making Tanga stable economically.
Simbachawene said the coming of the LPG will boost economic activities in the region and also open it to the rest parts of the country.
“I commend Lake Group for this development project; LPG will create many job opportunities for our youth. Let me assure you that the government will help your company to achieve its set goals,” he said.
He said the LPG investment in the region is in-line with government efforts to ensure that the public have access to gas instead of charcoal and firewood which he said are contributing to the deforestation in the country.
“Deforestation doesn’t just threaten our climate; it threatens the livelihoods that rely on forests for food and economic activity.
Forests also serve as habitats to rare and undiscovered animal and plant species and play a key role in providing water and preventing flooding and erosion, as the government. We want to see our people using gas as it is cheaper than charcoal and firewood it is also environmental friendly,” he said.
Lake Group Country Sales and Business Development Manager Jamal Yahya said his firm is currently operating a LPG cylinder filling plant at Mikocheni, Dar es Salaam with the capacity to store 30MT LPG and fill more than 2MT LPG or about 1200 cylinders in a day.
Yahya said the newly opened LPG in the region is expected to boost economic development in the country, saying they are proud of being the first in Africa to introduce composite LPG cylinders. (These cylinders have been in Kenya for about 1.5 year or so)
“This region is a strategic place for the gas business; it borders Kenya and some of our neighboring countries where we sell the energy. This establishment of the business will therefore make Tanga Port more active,” he said.
However, he asked the government to create an environment which is free to local business people to operate their businesses.
“We need more government support for the local business people. We are selling a gas cylinder for 35,000/- instead of 50,000/- because we are committed to seeing many Tanzanians using the energy,” he said.
According to him, the government should ensure that there is subsidy in this sector to enable low gas price to customers,” he said.
He also disclosed that his company would be selling gas cylinders to all teachers in the region on installment so as to improve environmental standards in the region.
The official reaffirmed his company’s commitment saying it would continue exploring long term investment opportunities and use the country as a hub for its operations.
Lake Group is involved in importation, storage, distribution and marketing of white petroleum products including huge import terminal at Kigamboni with direct pipeline access to oil import jetty.
The firm has a depot with a storage capacity of 38 million litres while also owning logistic fleet of 300 tankers and 67 retail stations to provide fuel to customers.