MPs push for major energy projects

DODOMA: MEMBERS of Parliament have advised the government to kick off the implementation of stalled mega projects available in the country so as to widen the base for economic growth.

The MPs offered advice in the august House yesterday when debating the budget framework proposal and the National Development Plan for the 2025/2026 fiscal year.

Mahonda MP, Abdalla Ali Mwinyi (CCM) said that among the projects that have been long overdue include the Liquified Natural Gas (LNG) project in Lindi Region, which he cited as a major project which if properly implemented can pump into the country’s economy a total of 7 billion US dollars each year.

“Economic experts say that for the country to have a bigger economy, its Gross Domestic Product (GDP) should go up to double digits and if the LNG project is well implemented, our country’s GDP is likely to increase from the current 5.5 per cent to between 8 and 9 per cent,’’ he said. He asked the government to expedite its negotiations with proponents of the project, so that the country can benefit.

He was supported by nominated MP, Professor Shukrani Manya, who requested the government to apply a similar political will it used to implement the Standard Gauge Railway (SGR) and the Julius Nyerere Hydropower Project (JNHPP) to implement the LNG project.

“Tanzanians’ happiness will double if the projects that are being sung year after year will equally be implemented as immediately as possible and these include the LNG, Mchuchuma and Liganga projects,’’ he said.

According to him, if the LNG project is completed, it will be a catalyst to fertiliser factories and save billions of shillings that are spent in importing fertiliser from outside the country.

“This project has always been featured every year whenever ministers table budget speeches, I want to hear from the Minister of State, President’s Office (Planning and Investment) on the government’s plans regarding this project,’’ added Prof Manya.

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The lawmaker suggested that when the government is doing negotiations for example in the LNG project, professionalism should be highly observed so that the government does not incur more cost in projects of public interest.

Ndanda MP, Cecil Mwambe (CCM), asked the government to make sure that the Mchuchuma and Liganga project was expedited in order to help the country have enough products from the project.

“If we properly implement this project, we will save billions of shillings we are currently spending to import iron from outside the country,’’ said Mr Mwambe.

Liganga and Mchuchuma are two mineral deposits about 50 kilometres apart in Ludewa District, with estimated reserves of 126 million (iron ore) and 428 million (coal) metric tonnes, respectively, expected to be mined for more than 100 years.

At the current market prices of the minerals, iron ore (118 US dollars per tonne) and coal (141 US dollars per tonne), the project has an estimated staggering value of 75 billion US dollars.

The Mchuchuma Project area covers about 141 square kilometres and the Liganga Steel Complex covers 179 Square Kilometres.

In addition to iron and coal, the Liganga mine is rich in Vanadium Pentoxide, Titanium, Ammonium Sulphate and Sulphur, which are said to be more valuable than the iron ore itself.

The Liganga project is expected to be the second largest iron-to-steel project in Africa after that of South Africa.