DAR ES SALAAM, Tanzania- Tanzania and Uganda have signed a memorandum of understanding (MoU) to transform the northeastern Tanzanian port city of Tanga into a regional energy hub, in a move aimed at deepening energy cooperation and expanding investment across East Africa.
The agreement was signed on Thursday at State House in Dar es Salaam in the presence of Tanzanian President Samia Suluhu Hassan and Ugandan President Yoweri Museveni, who was in Tanzania for a working visit.
According to Tanzania’s Directorate of Presidential Communications, the agreement seeks to leverage Tanga’s strategic location and existing energy transport infrastructure to strengthen its role in regional energy trade.
Tanzania’s Energy Minister Deogratius Ndejembi said the initiative would position Tanga as a key centre for energy-related activities while strengthening economic cooperation between the two countries.
“The agreement aims to leverage Tanga’s strategic geographic position and existing energy transport infrastructure to transform it into a key regional energy hub,” Ndejembi said.
He said the initiative is expected to unlock new investment opportunities in the energy sector, strengthen regional economic integration and enhance East Africa’s participation in global energy markets.
The agreement builds on the growing energy links between Tanzania and Uganda, particularly through the East African Crude Oil Pipeline (EACOP) project.
Tanga is the planned terminus of the pipeline, which is being constructed to transport crude oil from Hoima in western Uganda to the Chongoleani peninsula near Tanga on Tanzania’s Indian Ocean coast.
The pipeline is expected to provide Uganda with an export route for its crude oil while positioning Tanzania as a major transit and logistics partner in the regional petroleum industry.
Uganda’s Minister of Energy and Mineral Development, Monica Masanza, described the MoU as an important milestone in strengthening long-term cooperation between the two countries.
She said energy, oil and mining remain critical to Africa’s economic transformation and that closer cooperation could generate wider benefits beyond the energy sector.
Masanza said the initiative has the potential to create employment opportunities for young people, boost cross-border trade and deepen economic ties between Tanzania and Uganda.
The proposed development of Tanga as an energy hub could also increase the city’s importance as a logistics and investment centre, particularly as East African countries seek to expand energy infrastructure and improve regional connectivity.
For Tanzania, the initiative could strengthen the country’s position as an energy transit and trading centre by building on Tanga’s port infrastructure and its connection to major regional energy projects.
For Uganda, deeper cooperation with Tanzania offers an established route to international markets for its petroleum resources and could support the development of associated industries and services.
The agreement comes as East African countries continue to pursue regional infrastructure and energy projects intended to reduce trade barriers, attract investment and strengthen economic integration.
The MoU marks another step in the expanding Tanzania-Uganda partnership, with both governments positioning energy cooperation as a driver of regional economic development and integration.
