Africa Seeks to Harness Gas for Industrial Growth, Not Just Export

African countries have been urged to transform their approach to natural gas by using the resource to power industries, create jobs and drive economic growth instead of exporting it in raw form.

The call was made during the two-day Africa50 General Shareholders' Meeting and Infra for Africa Forum in Dar es Salaam, where leaders discussed ways of using Africa's natural resources to support sustainable development.

Tanzania is seeking to use its natural gas reserves to support industrialisation through value addition, electricity generation and manufacturing. Mozambique has introduced measures to ensure revenues from its growing Liquefied Natural Gas (LNG) sector contribute directly to national development.

The country's Sovereign Wealth Fund framework allocates 40% of LNG revenues for future economic stability, while 60% is invested in industrialisation projects, including power infrastructure and industrial parks. Mozambique expects LNG production capacity to increase from 3.4 million tonnes annually to 38 million tonnes by 2028.

Nigeria also said it is changing its energy strategy by prioritising domestic use of natural gas to support industries and improve access to electricity. Nigeria's Minister of State for Petroleum Resources (Gas), Mr Ekperikpe Ekpo, said the country had for many years focused on exporting the resource while many industries struggled with energy shortages.