Summary
· As debate on the involvement of a Dubai-based firm in the development and improvement of Tanzania’s sea and lake ports raged yesterday, the Tanzania Ports Authority came out and strongly defended the government’s position on the matter
Dar es Salaam. Amid heated debate on the involvement of a Dubai firm
in the development and improvement of Tanzania’s sea and lake gateways, the
Tanzania Ports Authority (TPA) came out yesterday and strongly defended the
government’s position.
TPA director general Plasduce Mbossa
also said there was misinformation being spread by those opposed to the plan.
He was clarifying several issues in
connection with debate on social media with regard to the Intergovernmental
Agreement (IGA) between Tanzania and the emirate of Dubai on social and
economic partnership for the development and improving the performance of sea
and lake ports in Tanzania.
Meanwhile, Parliament said the
resolution about the partnership Tanzania and Dubai IGA on ports was still
being reviewed by its relevant committees, refuting reports by a section of the
media that the document has been endorsed by the House.
National Assembly Speaker Tulia
Ackson clarifies in Parliament in Dodoma yesterday that the august House has
not made a decision on the initial agreement signed between Tanzania and Dubai
on the development and improvement of Tanzania’s sea and lake ports.
PHOTO | EDWIN MJWAHUZI
National Assembly Speaker Tulia
Ackson told the House in Dodoma yesterday that Parliamentary committees
responsible for infrastructure development and investment convened a public
hearing on Tuesday and were still receiving public views via post and email.
She said the resolution was expected
to be tabled in Parliament on June 10, 2023 for debating and approval after the
committee review.
“Parliament will continue supporting
efforts of the sixth phase government, under President Samia Suluhu Hassan, in
growing the economy and development of Tanzanians,” Dr Ackson told lawmakers
amid applause.
“Parliament, through its committees,
is always ready to receive and discuss public opinions, which seek to improve
the implementation of government plans.”
In Dar es Salaam, Mr Mbossa said
those spreading the “falsehood” that there was a 100-year contract for the
lease of ports in Tanzania by Dubai’s DP World were simply advancing their own
interests.
“It seems those who brought the 100
years aspect in the subject have their own interests…it is a complete
distortion of facts.
“What is known so far is that if we
will stay for 12 months without doing anything, or making any progress from the
date of signing the IGA, then the agreement automatically becomes null and
void,” he said.
Mr Mbossa added that what had been
signed so far was the IGA between Tanzania and the Emirati of Dubai on social
and economic partnership for the development and improving performance of sea
and lake ports in Tanzania.
The IGA, he said, spelt out the
cooperation between Tanzania and the emirate of Dubai, adding that the
cooperation will be in areas of training, information and communication
technology and in the development and improvement of ports in general.
Through the IGA, TPA and DP World
come in as implementing bodies. Since it involves two countries, the agreement
had to be endorsed by Parliament in line with Article 63 (3) (e) of the
Constitution of the United Republic of Tanzania of 1977.
“The IGA has been signed but it
cannot become effective without the endorsement of the Parliament,” Mr Mbossa
said.
If the IGA sails through Parliament,
it will pave the way for more other negotiations between TPA and DP World with
regard to implementation of the plan.
The coming negotiations will
culminate in actual investment coming into Tanzania.
“We are talking of the Host
Government Agreement between the country and the company; Concession Agreement
or Lease Agreement for the various issues to be implemented such as information
and communication technology, training, port development, port operations. That
is when we will sign other contracts. These implementation agreements have not
yet been signed. They have neither been negotiated,” Mr Mbossa said.
The HGA and the Concession or Lease
Agreements will have specific time frames. “What the IGA says is that the
agreement will cease to operate as soon as the HGA or the Concession/Lease
Agreement/Project ends. What this means is that actual time for the contract
will be known from the HGA or Concession/Lease agreements that will follow.”
According to Mr Mbossa, what the IGA
does was to give rights to the two countries and allow the implementation to be
conducted swiftly.
On allegations that the port was
being sold, he said selling was not even one of the responsibilities of TPA.
In line with the Ports Act No. 17 of
2004, TPA’s functions include promoting the use, development and management of
ports and their hinterlands and entering into contracts for the purpose of
delegating the powers of the Authority to private operators.
“From there, selling ports is not
one of TPA’s responsibilities. If someone tells you that the port has been
sold, he should also tell you how did it happen? Will someone go away with it?
Will someone else own it? We all know that in Tanzania, even the land is owned
by the government and you are only given the right of occupancy while
foreigners are given derivative rights,” he said.
As for the port, one could be given
the right to build/develop a port and after some time, return it to you. The
second scenario is that of leasing an existing ports or berth and giving the
operator Tanzania’s terms and conditions. This has been done before.
“We used to have a company known as
Hutchison Holdings Limited from Hong Kong which operated locally under the name
of TICTS [Tanzania International Container Terminal Services] which operated
here for 22 years. We did not sell the port to that company and that was why it
left in December, 2022. The port was only leased to the company.”
Mr Mbossa said those propagating
assumptions that the port was being privatised were simply weakening the
government’s initiatives in trying to improve efficiency at the port amid the
growing competition for cargo across the region.
What Tanzania seeks to do with DP
World is attract investment and what will be discussed is how that investment
should come in. It could come in the form of leasing and concession.
On why Tanzania settled for DP
World, Mr Mbossa said a number of issues were considered, including the fact
that most of the cargo that come to the country come from the Middle East, the
Far East and the Indian Ocean zone. “Most ports in East Africa get their cargo
from these regions and that was why we thought it was only prudent to join
them,” he said.
He said DP World operates a dry port
in Rwanda which collects cargo from the Democratic republic of Congo (DRC)
before bringing it to Tanzania or to any other port within the region. That
way, he said, it was prudent for us to cooperate with DP World in an attempt to
simplify the delivery of goods from the DRC to our ports,” he said.
Those arguing why the DP World issue
did not involve Zanzibar were also ignoring the fact that ports were not a
union matter and that was why TPA was only responsible for Tanzania mainland
while another body was responsible for Zanzibar’.
Meanwhile, the debate kept
attracting the attention of pundits yesterday, with ACT-Wazalendo party leader
Zitto Kabwe urging MPs to transparently debate the Parliament’s resolution for
the ratification of the cooperation between the government of Tanzania and
Dubai.
“And where necessary, they need to
make some amendments to clear the air over the areas that seem to be of
contradiction to citizens,” he said in a statement availed to the media.
In an apparent reaction to some
political sentiments, Mr Kabwe said politicians were required to show maturity
by debating the DP World topic without exhibiting sentiments that would tear
the country along the side of the country that they come from.
“We urge Tanzanians to strictly
consider the foundations of truth as they debate this topic and avoid bringing
in any discriminatory feelings which could end up dividing the nation. As
political leaders, we need to be careful with the statements we make lest they
create confusion on a subject that simply requires us to say nothing but the
truth,” he said.
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