Dar es Salaam, Tanzania: President Yoweri Museveni and Tanzanian President Dr. Samia Suluhu Hassan have launched a new phase of Uganda–Tanzania energy cooperation following the signing of a landmark Memorandum of Understanding (MoU) aimed at strengthening regional energy infrastructure, petroleum trade and economic integration.
Mr Museveni, who was on a two-day working visit to Tanzania, was received by President Samia at State House in Dar es Salaam, where the two Heads of State held bilateral talks focused on enhancing the longstanding relationship between the neighbouring countries.
The leaders later witnessed the signing of the MoU between the Uganda National Oil Company (UNOC), the Tanzania Petroleum Development Corporation (TPDC) and Vitol Bahrain E.C. for the joint development of the Tanga Regional Energy Hub, a project expected to transform East Africa’s energy landscape.
The agreement builds on the strategic cooperation established through the East African Crude Oil Pipeline (EACOP) and seeks to position Tanzania’s port city of Tanga as a regional hub for petroleum storage, logistics, trading and distribution.
The planned energy hub is expected to complement Uganda’s emerging oil and gas industry, including the planned 60,000-barrel-per-day Hoima Refinery, while enhancing regional energy security, facilitating cross-border petroleum trade and supporting sustainable economic growth across East and Central Africa.
Uganda’s Minister of Energy and Mineral Development, Dr. Monica Musenero, described the agreement as a major milestone in advancing regional industrialisation and shared prosperity.
She revealed that feasibility studies for a refined petroleum products pipeline and a regional storage terminal are expected to be completed later this year, while studies for a proposed natural gas pipeline linking Uganda and Tanzania are scheduled for completion by October 2026.
Dr. Musenero also highlighted progress on the Uganda–Tanzania 400kV electricity interconnector project, noting that Uganda has secured US$250 million in World Bank financing for its section of the transmission line.
On the Tanzanian side, Minister of Energy Hon. Deo Ndejembi welcomed the agreement, describing it as a natural progression of the successful partnership forged through EACOP.
He said the proposed Tanga Regional Energy Hub could attract investments exceeding US$20 billion, positioning the region as one of Africa’s major energy logistics centres.
According to Ndejembi, the Tanga Hub and Uganda’s Hoima Refinery are designed to complement rather than compete with each other.
He added that the proposed bidirectional multi-product pipeline would enable refined petroleum products to move efficiently between Uganda and Tanzania, improving supply security while responding to regional market demand.
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