Oryx contributes 1.2tri/- to GDP, creates 26000 jobs

DAR ES SALAAM: THE Oryx Energies Tanzania’s operations have contributed 1.2tri/- to the nation’s Gross Domestic Product (GDP) over the four-year period from 2021 to 2024.

This substantial contribution underscores the vital role that the company plays in Tanzania’s energy sector and its broader economic landscape.

The revelations were made during a visit by Parliamentary Committee on Energy and Minerals to the Lubricants and LPG plants of Oryx Energies Tanzania, located in Dar es Salaam, yesterday.

Committee Chairperson, Ms Subira Mgalu highlighted that Oryx Energies has been a key player, contributing approximately 1.2tri/- to the national revenue from 2021 to 2024.

She further noted that the company has created 1,000 direct jobs and approximately 25,000 indirect jobs, reflecting its significant impact on employment.

“Significant investments have been made by Oryx thanks to the favorable investment environment established by the sixth-phase government,” Ms Mgalu stated.

She added that the company’s success is a testament to the conducive environment created by the government, including well-equipped laboratories and highly qualified professionals.

She also emphasized the government’s ongoing support for clean energy initiatives, which has resulted in LPG usage increasing from 6 to 25 per cent.

The committee also urged investors in the sector to prioritize investments that benefit the nation and align with the interests of citizens. The committee also emphasized that such investments should comply with national laws, promote environmental sustainability, and foster job creation.

The committee further called on the private sector to continue collaborating with the government to ensure the security of fuel and gas supplies. This includes developing critical infrastructure such as storage facilities and distribution centres for LPG.

Oryx Energies Tanzania Managing Director Imani Mtafya stated that over the four-year period, the company has created 1,000 direct jobs—99 per cent of which are held by Tanzanians  and 25,000 indirect jobs, praising the support from the government in advancing the clean energy sector.

Furthermore, Mr. Benoit Araman, Managing Director of Oryx Gas Tanzania Ltd (OGTL), explained that a second phase of investment worth 14 million US dollars (approximately 32 billion shillings) is currently underway.

This expansion aims to increase the LPG plant’s storage capacity, thereby improving supply security and broadening access to LPG across Tanzania.

The ongoing work includes constructing additional storage facilities to ensure a reliable supply of this strategic product.

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Mr Araman emphasized, “This investment is part of our efforts to ensure sustainable LPG supply, support market growth, and guarantee safety for Tanzanians using LPG daily. Developing infrastructure is crucial to meeting rising demand, and we are committed to supporting this vision.”

He also highlighted that, thanks to the collective efforts of the government and the private sector, the LPG market in Tanzania has experienced strong growth, with annual increases of around 17-18 per cent.

To sustain this momentum, continued investment in infrastructure is necessary to prevent shortages and ensure all consumers have access to clean energy solutions by 2034.