A 535-kilometer gas pipeline running from Mtwara, Tanzania to Dar es Salaam, the country's capital, and built with a 1.225-billion-U.S.-dollar concessional loan from the Export-Import Bank of China was inaugurated by Tanzanian President Jakaya Kikwete this past weekend.

The project started in June 2013 and was undertaken by China Petroleum Technology and Development Corporation (CPTDC), a subsidiary of China National Petroleum Company (CNPC).

The construction works involved the laying down of 24-36 inches diameter pipeline from Mnazi Bay in Mtwara to Kinyerezi in Dar es Salaam via Somanga Fungu where there was already a spur line from the Songo Songo gas field in Lindi region, also in southern Tanzania.

Speaking shortly after he had commissioned the project, President Kikwete said the inauguration of the project should end power outages facing the east African nation's second largest economy after Kenya and help drive economic growth in the country.

Tanzania has for a long time been facing power shortage due to its dependence on hydro-power generation. Last week, the Tanzania Electric Supply Company (TANESCO), the country's state-owned power utility, announced that it was shutting down all its six hydro-power plants because of decrease of water level in its dams.