Energy and Petroleum Cabinet Secretary John Munyes says the planned gas pipeline from Dares Salaam to Mombasa will help reduce gas prices in the Country.
This comes after Kenya and Tanzania signed a bilateral agreement to start working on a gas pipeline from Dar es Salaam to Mombasa in what is part of a long-term project to share energy resources.
A joint communique said it will enhance “energy sufficiency” with Kenya keen on importing gas from Tanzania’s nascent plant.
The signed deal will see Tanzania construct a 600km gas pipeline from Dar es Salaam to Mombasa through Tanga at the cost of Ksh 100 billion.
Munyes further expressed optimism that the gas pipeline will aid in improving already existing infrastructure between the two Countries as well as improve bilateral trade relations.
“The advantages of getting gas readily from a neighbouring friendly Country, cannot be underscored. It will help reduce the cost of gas which is vital for many industries,” he stated.
The CS who was speaking in Lamu Port further stated that the two Countries have plans to interconnect the Mombasa and Lamu Port to the Bagamoyo Port in a bid to improve infrastructure and logistics interconnectivity within the East African countries.
The MoU between the two Kenya and Tanzania on Cooperation in Natural Gas Transportation means respective energy and petroleum ministries can start negotiating the design, cost and other logistical needs for the pipeline to be built.
The Energy and Petroleum CS said the design works for the Turkana-Lamu oil pipeline are on course saying the National Government remains committed towards ensuring the commercial viability of oil in Turkana.
“Design works for the Lokichar-Lamu crude oil pipeline has already been done and it is now a matter of coming up with a strategy between the Kenya Pipeline Company, the National Land Commission and the Energy and Petroleum ministry to work around a plan on compensating those residents who will be affected once the construction of the oil and gas pipeline commences,” he added.
The conclusion of the design work now paves the way for the hiring of a contractor to implement the project under an engineering, procurement and construction basis.
The Turkana-Lamu oil pipeline is expected to be completed in less than two years just in time for the planned 2021 commercial production of the Lokichar oil later this year.