Tuesday, April 18, 2017

Minister orders legal unit transformation to boost GDP

SYLIVESTER DOMASA in Dodoma
ENERGY and Minerals Ministry is planning absolute transformation to its legal unit seeking to advance contribution of the sectors in the national gross domestic product, GDP.

Currently the Ministry’s mining sector for instance account for only 4 per cent to the GDP, lower than in Zambia and South Africa where the sector contribute 6.2 per cent and 12 per cent of GDP respectively.
Energy and Minerals Minister Professor Sospeter Muhongo rushed to point a finger to the ministry’s legal department for being inactive and obdurate thus accounting for bogus investment contracts. “To be specific, our legal officers are not careful.
It isn’t corruption but negligence and sluggishness,” he said. As a result the Ministry has been spending a lot in unproductive debates including legal cases. The Minister who was addressing Ministry of Energy and Minerals Workers Council announced a need for the lawyers to take extra English class at the British Council in Dar es Salaam to master their language skills.
While some young graduates must be promoted to take over senior position, the Minister said the most of the legal documents including contracts and Memorandum of Understanding (MoU) submitted for approval had numerous errors, not good for the country.
One of the contracts was recently submitted to the Minister involving an investor who is to produce 14Mw, part of the requirement included in the document states; “Tanesco must buy electricity generated by the firm and failure to that it would be entitled to penalties.”
“The same document did not state if the investor would be penalised should it fail to generate the required electricity ... this is part of the serious problem within our legal unit,” Prof Mhongo said.
The Ministry however banned agency and other authorities under the ministry to sign MoUs without approval of the Permanent Secretary or the Minister in charge.
Acting Permanent Secretary in the Ministry Prof James Mdole said such restructuring in the ministry seeks to put the government at a better place ahead of large investments including the construction of Us$30billion Liquefied Natural Gas (LNG) plant planned for Lindi region.
Workers Council Chairperson Maselina Mshumbusi told the Minister there were more than 360 staff who await promotion and the process was taking too long.

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