DAR ES SALAAM, Tanzania – In a decisive call to action, Zanzibar President Dr. Hussein Mwinyi has urged East African Community (EAC) member states to establish a regional Petroleum Fund to secure financing for oil and gas extraction amidst the escalating global energy transition. Speaking at the closing ceremony of the East African Petroleum Conference and Exhibition 2025 (EAPCE’25) in Dar es Salaam, Dr. Mwinyi emphasized the urgent need to address the growing challenge of inadequate funding, as traditional financiers increasingly withdraw support due to climate change concerns.
“Inadequate funding is the primary bottleneck for developing our region’s petroleum resources,” Dr. Mwinyi stated. “At a time when global activists intensify their opposition to financing fossil fuel projects, and export credit agencies retreat, we must proactively address how we, as partner states, overcome this challenge.”
The proposed Petroleum Fund aims to provide crucial financial backing for projects, research, innovation, and training across the petroleum sector. This initiative aligns with the EAC Vision 2050, which targets 100% energy access for all citizens by 2050. Dr. Mwinyi highlighted the successful model of the African Petroleum Producers Organisation and the Africa Export-Import Bank’s Africa Energy Bank as an example for the EAC to follow.
The president stressed the importance of extracting petroleum resources, including natural gas and oil, to achieve the region’s energy goals. He advocated for the integration of technological advancements with global decarbonization and energy transition efforts, emphasizing the need to strike a balance between fossil fuels and a just energy transition.
“We must leverage technology to accelerate the exploration and production of our petroleum resources,” Dr. Mwinyi asserted. He also encouraged the continued development of cross-border pipelines, such as the East African Crude Oil Pipeline (EACOP), to enhance regional energy integration. Furthermore, he called for increased licensing of offshore blocks to expand oil and gas production.
The EAPCE’25 conference provided a platform for government leaders, investors, financial institutions, and academics to exchange ideas and explore the region’s energy potential. Deputy Prime Minister and Minister for Energy, Dr. Doto Biteko, praised the conference for facilitating crucial discussions and unlocking regional energy potential.
Energy and Water Utilities Regulatory Authority (EWURA) Senior Petroleum Engineer, Ibrahim Kajugusi, highlighted the importance of integrating natural gas into the energy mix to diversify energy sources and promote economic development. He called for the establishment of supportive regulatory frameworks, policies, and infrastructure expansion incentives.
The call for a regional Petroleum Fund underscores East Africa’s commitment to securing its energy future while navigating the complexities of the global energy transition. By fostering collaboration and innovation, the EAC aims to ensure sustainable energy access and economic growth for its member states.
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