Tanzania and Uganda have signed a memorandum of understanding (MoU) to develop Tanga into a regional energy hub, aiming to enhance energy security and trade in East Africa. The agreement leverages Tanga's strategic geographic position and existing energy transport infrastructure, according to Tanzania's minister of energy (eastleighvoice.co.ke).
The initiative includes a $250 million electricity interconnector deal, which will improve regional energy connectivity and support economic growth. The two countries also plan to build a joint refinery, with an investment of KSh 2.6 trillion, to further strengthen their energy cooperation (tuko.co.ke).
This collaboration marks a significant step toward transforming East Africa into one of Africa’s fastest-growing energy corridors. The project is expected to boost regional fuel trade and create new opportunities for energy production and distribution.
The development comes as part of broader efforts to integrate East African economies and reduce dependency on external energy sources. The MoU underscores the growing importance of cross-border cooperation in addressing energy challenges across the region.
