Zitto na Demokrasia

Zitto na Demokrasia

Hope out of Relative Frustrations

with 20 comments

Yesterday in the company of my fellow parliamentarians Hon. Nasir from Korogwe, Hon. David Kafulila from Kigoma South and Hon. Sarah Msafiri Special seats Morogoro we started our  study tour to The Kingdom of Netherlands to learn more on their oil and gas sector and what best practices we can draw from them.

Our first briefing of the day on the Dutch Oil and Gas sector was  how licensing is done and how revenue is collected and managed. We were informed that the Dutch government receives a total of 11bn Euros as state revenue from the sector as of last year. They collect 85% of the total revenue from Oil and Gas from Groningen field (the biggest field in Europe). Out of this 45% is from taxes collected from Oil and Gas Companies (largely Shell and ExxonMobil) and 40% from taxes and dividend from the State Oil and Gas company EBN. For other fields the state receives between 40% and 65% of the total revenue. In all licences except in old ones the state has shares and participates in companies. The Dutch don’t use Production Sharing System (PSA) as is the case in Tanzania whereby companies are largely contractors. The biggest advantage of a PSA system is that the State remains the owner of the resource. However, the revenue implications of either system, Dutch or Tanzanian, are minimum and largely semantic. It is all about GOVERNANCE – Transparency and Accountability of the whole sector.

We also had the pleasure of meeting the Deputy Prime Minister Mr. Maxime Verhagen. Took the opportunity to extend sincere greetings from the people of Tanzania and reiterate that our Cooperation shall be sustainable and mature – a partnership of equals, unlike the donor-recipient status quo.

I reminded him about our proven natural gas reserves so far nears 19 Trillion Cubic Feet(TCF) with the recent discoveries from five wells owned by the BritishGas/Ophir partnership (11 TCF), StatOil discoveries from one well (5.3 TCF) and the remaining smaller discoveries at Songosongo, MnaziBay, Mkuranga and Nyuni in Kilwa district.

I expressed to the Deputy Prime Minister about our desire to see Tanzania as a country in Africa whereby resource wealth goes hand in hand with democracy and development of the people of Tanzania. Echoing the vigor and desires of many of the up and coming young leaders in Tanzania who are committed to creating a new kind of leadership that is people centered and gives hope to the masses. That it is possible for an African country to be rich in Oil and Gas and still be properly governed and is democratic. And that it is possible to use the country’s vast resource wealth in the development of the people of Tanzania. That we don’t want to repeat mistakes of others (including Nigeria which lost billions of Petrodollars and the Dutch on ‘dutch disease’) and not repeating the same mistakes as we did  in Mining sector.

The Deputy Prime Minister assured us of the readiness on his government to support us in developing our Natural gas sub-sector especially through human resources development. This agenda was further discussed at the foreign ministry and it was generally agreed to establish a Scholarship Program for Tanzanians on Oil and Gas in order to increase our pool of experts in the sector.

He suggested that Tanzania uses its natural gas reserves towards infrastructure development and cutting down on the national debt for the benefit of the future generation. He explained to us the desire of the Netherlands to be a “Gas Hub” of Europe through developing Ports for LNG like the one in Amsterdam.

The delegation continues with the visit on Tuesday by visiting various natural gas facilities. We are determined to learn and transfer the knowledge into our new policy for Natural gas, Gas Master plan and Petroleum Revenue management legislations and strategies.

I am optimistic out of existing relatively murky frustrations. Tanzania has a great FUTURE ahead. We must build the future we want. Our preparedness and building oversight institutions are fundamental for proper managing of these resources.

Committed to working towards a democratic and prosperous United Republic of Tanzania that is endowed with massive gas reserves Natural Gas (United republic of Natural Gas).


20 Responses

Subscribe to comments with RSS.

  1. Kindly, i would like to thank you personally Hon..Zitto for your readiness to our country development,also my thanks should reach Hon.Kafulila as well as Hon.Sarah Msafiri for their kindly support to our parliamentary activities. wishing you the success trip and bring us the positive impacts due to your capability and desire.thanks for information.

    Imani Moshi

    May 22, 2012 at 2:03 PM

    • Hon, Zitto, it is such a wonderful experience you have drawn from there. It is in no doubt, though unrevealed dream, that Tanzania has a bright future AHEAD. Make sure upon your coming back the matter should not end in papers. Spread the goodness of oil and gas to the unreachable people to know there wealth and shouldn’t be deprived of.

      Wango Chaulo Wango

      May 22, 2012 at 4:57 PM

  2. Good Zitto, there is no need for Tanzania being rated as a poor Nation. We need patriotic leaders to revamp this economy from stack and loss of direction. We are proud of you!


    May 22, 2012 at 2:03 PM

  3. it is obvious attitude for one to seek knowledge as u did sir,but i would expect experts to be given such priorities to learn and be able to formulate strategies rather than politicians.why do we isolate our experts?u should atleast include them in your delegation.

    shija chake msabaha

    May 22, 2012 at 2:45 PM

  4. Nakubali mchango wako,na jitihada zako za kuipigania nchi yako kwa ufujaji wa mali za umma.tupo pamoja mh.

    Christopher .f.kabandi

    May 22, 2012 at 5:14 PM

  5. Ziara hiyo iwe ya mafanikio na manufaa kwa wa- Tanzania. Kila la heri.


    May 22, 2012 at 5:58 PM

    • je, upo uwezekano wa kujua mfumo wao wa elimu ya juu kuhusu mikopo na ada?


      May 22, 2012 at 6:04 PM

  6. vizuri na inapendeza


    May 22, 2012 at 5:58 PM

  7. For sure your only person need to drive our country as our president. God has shown us the way to go so as we can stop this ediert they have taken our country to sobtarge, keep it up@Zitto


    May 22, 2012 at 6:01 PM

  8. hp mtarudi na mawazo endelevu

    Fortunatha Kimati

    May 22, 2012 at 6:02 PM

  9. Big up mheshimiwa kiukweli unastahili pongezi kubwa sana we real do appreciate


    May 22, 2012 at 8:30 PM

  10. Nchi hii itajengwa na wenye moyo na italiwa na wenye meno-A L Mrema.Mh zitto hao wazungu wakueleze kila kitu tukichukua nchi tuepukane na kuibiwa na wajanja


    May 22, 2012 at 8:46 PM

  11. Nchi yetu inahitaji wazalendo kama wewe na mungu akupe maisha marefu na yenye baraka. naamini, kupitia study tour yenu nchi yetu itafanikwa hata kama mafisdi hawataki. tupo nyuma yako endelea kupambana na usikate tamaa.

    yusuph hamisi

    May 22, 2012 at 10:48 PM

  12. Mh zitto,Mh Kafulila na mh L.A Mrema na Mh Msafiri poleni na majukumu makubwa ya kujenga uchumi wa nchi yetu.Aidha ingekuwa busara kama mtakuwa na muda kututembelea na sisi Watanzania tunaofanya kazi katika mahakama za kimataifa za uharifu wa kivita kama vile ICTY,ICC na STL.Tutafarijika sana endapo kama mtafanya hivyo.Karibuni sana


    May 23, 2012 at 12:25 AM

  13. It is good that you dare do something rather just sitting and waiting the Bunge session where most of you sleep and awaken only when the discussion of posho begins. But one thing I want to highlight you Tanzania leaders, you dont take much emphasis on the use of profrssionals. In your trip combination you didnt accampany with at least a Geologist whom I think would contribute something to ripe more fruits


    May 23, 2012 at 2:15 PM

  14. Waheshimiwahongereni sana kwa hatua mnazochukua za makusudi kujifunza na kuwa yayari kutetea raslimali za nchi yetu;maneno ya kuwaeleza ninyi uzuri wa kazi mliyofanya hakuna kwa sasa,zaidi ya kuwashukuru.Iweni na moyo huo huo mpaka kieleweke!

    hobidan mwaijulu

    May 24, 2012 at 3:25 AM

  15. with good intentional leaders we can reach there, however, theres a long way to go.
    I pray that God see us through like He did with China and Japan.
    Pamoja sana.


    May 24, 2012 at 3:43 PM

  16. Keep your spirit up Mr. The brighter future relies upon the spirits, souls and hands of the youth. You are the states man looking the future generations not as who rely on next election.
    We expect
    your tour will bring the Dutch experiences to our resource governance.
    I here by wish you the best of your experiential visit

    isaak kamonga

    May 24, 2012 at 5:34 PM

  17. We are proud of u. May God grant u gd health and wisdom to make Tz in a gd direction.


    May 24, 2012 at 7:50 PM

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

%d bloggers like this: