NMB Bank has signed a Memorandum of Understanding (MoU) with Oryx Gas Tanzania geared towards accelerating the use of Liquefied Petroleum Gas (LPG) in the country.
The NMB Chief of Retail Banking, Mr Filbert Mponzi, said on Monday the strategic partnership with Oryx Gas compliments the government’s strategy of ensuring access to modern, clean and safe energy sources.
“Our collaboration with Oryx Gas will increase the supply of LPG at discounted prices for our customers across the country. As a bank, sustainability of the environment is one of our top priorities, and we believe this campaign will act as a pathway to enable people to make a quick energy transition,” Mr Mponzi said.
The move will help Tanzanians reduce exposure to unhealthy wood smoke and decrease pressure on the depletion of forest resources.
The MoU aligns with SDG 7 that calls for universal access to modern energy services for all by 2030.
He noted that the bank’s customers across the country will now purchase complete LPG starter-packs at discounted prices through the bank’s digital payment solutions.
The partnership with Oryx Gas also seeks to develop the entire LPG value chain through the provision of cheap loans to LPG wholesalers, retailers and distributors across the country.
“As a bank, we will provide loans at low interest to people in the LPG value chain to ensure that their businesses prosper. Our aim is to take centre-stage in closing the gap of access to clean cooking solutions for unreached populations in Tanzania,” Mponzi said.
He noted that the bank, during this fiscal year, has set aside 2.0bn/- that will be used to accelerate the implementation of projects across the country that contribute to reducing carbon emissions.
“We earlier launched an ambitious one million tree planting campaign earlier this year as part of our efforts to reduce carbon emissions across the country, and as we speak, the project is progressing well and all indicators show that we will surpass that target,” he added.
Earlier, the Oryx Gas Managing Director Benoit Araman said the company presently commands the largest market share with 57 distribution channels across the country.
“We are glad to sign this MoU with NMB Bank and we believe this new partnership will not only help to bridge the existing LPG gap but also ensure that people right at the grassroots level have access to affordable LPG,” he said.