Sunday, June 16, 2024

New dawn as TPA cleared to collect wharfage charges

TPA Director General, Plasduce Mbossa.

PHOTO: COURTESY
TPA Director General, Plasduce Mbossa.

 By Joseph Mwendapole , The Guardian

THE government has decided to give back to the Tanzania Ports Authority (TPA), the responsibility of collecting fees arising from the use of port infrastructure (wharfage) to enable the authority have sufficient revenues to continue improving its operations.

This was said yesterday in parliament in Dodoma by the Minister of Finance, Dr. Mwigulu Nchemba, when presenting the central government budget.  Previously the revenues were being collected by the Tanzania Revenue Authority TRA. 

He said that the revenues that TPA will collect will be kept in a special fund of TPA located in the Bank of Tanzania (BoT) and its use will be done after requesting and obtaining the approval of the chief payer of the government. 

Dr. Mchemba said the aim of the decision is to enable the authority to get enough funds on time in order to improve the infrastructure of the port and increase its efficiency.

"Madam Speaker, I propose an amendment to the Port Law of 2004 to restore the responsibility of collecting the revenues for the use of port infrastructure (wharfage)  to the port management authority," he said. 

One of the stakeholders of the port, Maulid Ismail, suggested that when preparing the payment of the port fee (Wharfage), the government should ensure that the TPA and TRA systems are intact (mifumo isomane) to ensure that customers pay valid and correct payments. 

"Let's make sure the systems of these two authorities,  TRA and TPA, are aligned to ensure that customers pay correct and legal payments without oppressing anyone or losing income and if this is done, it will greatly help the control of tax evasion and fees," said Ismail. 

Speaking at the time of receiving dividends for public organizations recently, President Samia Suluhu Hassan, expressed satisfaction with the success that TPA has achieved to lead among the institutions that gave dividends where the authority gave to the government 153bn/. 

President Samia said the investment made by the government in the port authority has started to pay despite the noise of some who were against the investment. 

An expert on port issues in the country, Emmanuel Mallya, praised the government's decision to let the TPA collect the fee as it will help it improve its infrastructure and operations in general. 

Mallya, who is a member of the Board of Trustees of the Tanzania Shipping Agents Association (TASAA), says it is good for the TRA to continue with its tax collection duties. 

"Now if you want to collect more taxes, you must leave the port to be able to run itself and improve the infrastructure and other sensitive services within the jurisdiction," he said.

Contributing to the Ministry of Transport's budget recently, some MPs said that in order for TRA to collect more taxes, TPA should be allowed to collect wharfage so that it can be able to improve its infrastructure, services and port security. 

Speaking during the debate, the Special Seat Member of Parliament, Esther Maleko, said that in addition to the good work done by the TPA under its Director General, Placidius Mbossa, the government should allow the authority to collect the infrastructure usage fee (wharfage) instead of TRA.

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