Posts Tagged ‘Kigoma Kaskazini’
Saving in Poor Countries
Saving in Poor Countries
Beyond Cows: Incentives through social security to boost saving
Zitto Kabwe, MP
The Economist (September 20th, 2014) published an article (http://www.economist.com/news/finance-and-economics/21618900-coaxing-does-more-boost-saving-compelling-beyond-cows ) with above caption except that I have replaced ‘coaxing does more to boost saving than compelling’ with reference to social security. The article says that only 18% of the adults in Middle East and Africa have an account at a formal financial institution compared to 80% in high income countries. The poor have to save more as that “would help them to pay for big or unexpected expenses, such as school fees or medical treatment. It would also boost investment and thus accelerate economic growth” The Economist argues.
The article explains about difficulties for poor people to save including lack of self discipline. As a result Commitment savings accounts (CSAS) are growing rapidly. Many poor people in countries like Tanzania join Savings and Credit Societies (SACCOS) because they want to access their cash when in need as well as getting small loans for various purposes. However there are challenges to saving by poor people, “people in poverty often need access to their cash at short notice, whether for medical emergency or to take advantage of a business opportunity” as per the study done by Nava Ashraf of Harvard University as quoted in the article. Tanzania has developed a solution to mentioned challenges by encouraging savings by poor people through social security system.
National Social Security Fund (NSSF) the largest pension fund in East Africa has introduced a scheme to cover informal sector with social protection. Wakulima scheme (peasants scheme) enroll small-holder farmers into the fund by contributing Tanzanian shillings 20,000 (US $12) monthly and members benefit from short term and long term benefits. Short term benefits includes health insurance to members and access to small credits through NSSF member’s SACCOS scheme. Long term benefits include pension after consistent contributions for 10 years and attainment of formal retirement age which is 55 in Tanzania.
Coffee peasants from Kigoma, a remote region west of Tanzania, along the shores of Lake Tanganyika, were the pioneer of the scheme in 2013. They joined through their primary cooperative society of 1500 members and paid their membership contributions six months in advance. Since 2013 coffee buying season they got cheap credit from NSSF to buy coffee beans at interest rate of 9% (previously they were paying 18% to commercial banks). The cooperative, RUMAKO paid back this loan (US$ 1million) within a year after selling their crop. Peasants enjoy health insurance and have access to credits to improve their farms and engage in other enterprising activities. This year coffee production doubled because of access to inputs like fertilizers and pestcides as well as the excitement of socially protected living. NSSF decided to rollout the scheme all over the country in 2014, targeting 400,000 small holder farmers in cooperatives.
With schemes like these and innovations taken, poor countries can build savings culture, boost investments especially in agriculture and agro processing, accelerate growth and massively reduce poverty. Innovations like these mitigate the challenges of short term needs. However governments need to do more by, for example, introducing matching, whereby when a poor person (a peasant) saves a certain amount the government match it with a third of the amount, since poor peasants don’t really retire, introduce a price stabilization insurance coverage or drought insurance. These will provide incentives to save.
Kigoma Kaskazini – a Potential Kerosene Free Constituency?
Parliamentarians perform three core duties – Legislating, representation and oversight.
Ironically, one key duty is not constitutional – constituency promotion. Increasingly in Tanzania a Member of Parliament is judged not on his constitutional duties, but on constituency promotion duties like bringing in development projects such as roads, water, schools, hospitals and medicine etc. to the constituency, creating jobs and by making a lot of noise in Dodoma.
The people of Kigoma Kaskazini credit my service to them through several fronts but two that stand out is the road construction (the 60KM tarmac road Mwandiga-Manyovu & 34KM Kigoma-Kidahwe) and the other my being very vocal in Parliament. During my re-election campaign in 2010 my constituents in various meetings time and again reiterated the following “roads are done; now we want electricity”. True to their word they have been very vocal and holding me to account especially the coffee farmers of Kalinzi who want to add value to their coffee and get a better return.
The umeme vijijini is not an easy agenda and it is tough getting rural electrification projects from Rural Energy Agency (REA) as costs are very high and the government always gives them a small budget. In the 2011/2012 Budget about TZS 6.5bn was allocated to power 12 villages in Kigoma Kaskazini, but not one single shilling has been remitted to REA from the central government to implement the project. Rural electrification has remained a favorite catch phrase from the government and politicians to wananchi and usually elicits a lot of emotion but we have little to show as progress.
Kigoma Region, mainly Kigoma Town, uses diesel-powered thermal generators with installed capacity of 11MW. However, only 3-4MW is being produced – the cost of producing power in Kigoma is very high. While TANESCO spend TZS 1bn monthly to run Kigoma Generators, it collects about TZS 133Million.
Spurred by this and the many challenges that Kigoma has as a region and my constituency are facing, and being a green energy advocate, I have been championing for a green project working with a US based company known as KMR Infrastructure on a biomass project to produce 10MW of electricity in Kigoma and shut off expensive diesel generators.
The other day I had the opportunity and pleasure to meet the CEO of KMRI here in Washington DC and we discussed a number of issues with regard to their biomass project and other green projects/initiatives that I felt I should share. Some of the highlights from my meeting were;
- By displacing TANESCO diesel mini-grids with biomass power it reduces TANESCO operating costs by 45%, generates thousands of local jobs in agriculture and uses local agricultural biofuel supply to displace imported diesel creating longer sustainable benefits to the region
- Up to 25 Million USD will be invested into this biomass power plant in Kigoma over the coming 3 years.
- In this project 1000 families will be provided with 5 hectares of land each for a bamboo plantation and bamboo will provide fuel for power generation. More jobs will be created through the whole value chain including transportation services. With strong linkages to the rural economy, the project is expected to have enormous positive effects to the people of the Region.
- Power will increase in Kigoma, jobs created and TANESCO will cut their costs.
Kerosene Free Constituency
How will this alternative power solution transform the lives of people from low-income househoulds? KMRI had an answer that I coined “a kerosene free constituency” as highlighted below;
Most of Tanzanian villages’ households use kerosene or paraffin lamps for lighting. By setting up centralized solar charging stations, we could make entire villages kerosene free by replacing oil wick lamps with battery powered CFL light. This will reduce monthly lighting bill by 50% for rural households, provide 40 times better lighting and avoid health hazards from using kerosene or paraffin lighting.
The central village charging centers also act as employment opportunity for rural entrepreneurs providing them USD 3-4 per day in income and also creating immediate market based sustainable electrification program for Tanzanian villages.
Leveraging the proposed renewable biomass plant in Kigoma, a distributed renewable energy infrastructure would be setup to make this kerosene free village initiative.
As a starting point the biomass plan will help 20-40 entrepreneurs set up central solar charging stations in villages and charge 50-100 battery powered CFL lamps. The charging centers will use solar power during the day to charge CFL lights and then sell to households charged lamps that provide 15-20 hours of lighting. After the battery is exhausted, the households return the empty battery lights and can buy another charged light for fresh usage, similar to buying additional kerosene for their lamps. This pay per use model is similar to their current buying patterns and so will be easier to adopt as it is in line with existing habits.’
The daily cost of these CFLs will be 50% less than using kerosene for similar hours in a day.
The CFLs apart from being cheaper will provide considerably much better lighting and hence reduce strain on eyes.
Displacing kerosene also has other benefits like avoiding indoor smoke pollution, eye irritation and fire hazards.
In addition to lighting, the central solar station can also be used to charge cell phone batteries avoiding expensive trips to town and cutting cell phone charging costs by more than half. Providing a reliable and cheap source of charging a phone removes a huge constraint in mobile adoption thus promoting more telecommunication usage in rural areas, leading to increased economic activity, banking services, information availability, and reduced travel time.
The biomass power plant provides the necessary centralized infrastructure to equip and train the entrepreneurs, provide technicians to provide ready technical and operational support to the charging stations to ensure their continued successful functioning”.
Kigoma will also benefit from MCC funded project on solar power.
The solar project will put solar power on “45 secondary schools, 10 health centres, 120 dispensaries, municipal buildings and businesses across 25 village market centres currently without access to the electricity grid.
Camco International, a global clean energy developer, and Rex Investment Limited (RIL), a solar power contractor based in Tanzania, were just awarded USD 4.7 million for this rural Tanzanian solar power project in the region of Kigoma. Source: Clean Technica.
I am not just dreaming of seeing a Mwamgongo village woman throwing away a koroboi and embracing a cleaner energy at lower costs than kerosene, that costs much more in Kigoma, and in Mwamgongo in particular, compared to other places in Tanzania. Kerosene- free villages are in sight. A ‘koroboi’ free Kigoma Kaskazini is possible.
Hard work and focus are necessary. Going beyond the constitutional duties of a member of Parliament is necessary to transform the lives of our people.
Kigoma Colours. Photography from Kigoma Kaskazini exhibited in Dar es Salaam
Yesterday I opened the photography exhibition ‘Kigoma Colours’ at the Alliance Francaise, Ali Hassan Mwinyi Road, Dar es Salaam. The exhibition will be on till March 3 (Friday 9am-8pm /Saturdays 9am-5pm).
Please find more information here:
Matumizi ya Fedha za Mfuko wa Mbunge Jimbo la Kigoma Kaskazini Awamu ya Tatu(Tshs 21,719,000/=)
Matumizi ya Fedha za Mfuko wa Mbunge Jimbo la Kigoma Kaskazini Awamu ya Tatu(Tshs 21,719,000/=)
Ukiukwaji wa Kanuni za Bodi ya Kahawa Nchini
MHE. SAID A. ARFI (k.n.y. MHE. KABWE Z. ZITTO) aliuliza:-
Kwa mujibu wa Kanuni za Bodi ya Kahawa nchini, ni marufuku Kahawa kuondolewa kutoka Mkoa wenye kiwanda cha kukoboa ikiwa ghafi; Bodi iliagiza Kahawa ibanguliwe kwenye viwanda vilivyopo kwenye Mikoa ilikozalishwa na kuhifadhiwa, lakini Bodi hiyo imekuwa ikikubali kupokea Kahawa kutoka Kigoma bila kubanguliwa na hivyo kuvunja Kanuni zake:-
Je, Serikali inatoa kauli gani juu ya ukiukwaji huo ambao unahujumu ushirika mkoani Kigoma?
NAIBU WAZIRI WA KILIMO, CHAKULA NA USHIRIKA alijibu:-
Mheshimiwa Spika, kabla ya kujibu swali la Mheshimiwa Kabwe Zitto, namwombea Mheshimiwa Zitto na wote wanaougulia huko India, Mwenyezi Mungu abariki dawa zinazowahudumia.
Mheshimiwa Spika, sasa napenda kujibu swali la Mheshimiwa Kabwe Zuberi Zitto, Mbunge wa Kigoma Kaskazini kama ifuatavyo:-
Mheshimiwa Spika, tangu kilimo cha kahawa kianze mkoani Kigoma, kahawa yao ilisafirishwa kubanguliwa mjini Moshi kwenye kiwanda cha Tanganyika Coffee Curing Company (TCCCO). Mwaka 2004/2005 Chama cha Msingi cha Ushirika cha Kanyovu kilijenga kiwanda chake cha kubangulia kahawa huko Matiyazo ambacho kilikidhi ubanguaji wa kahawa yote ya Kigoma. Hata hivyo baadhi ya wanachama wa Kanyovu walijiengua kutoka katika ushirika huo na kuunda umoja wao kwa jina la KACOFA. Wilaya ya Kigoma ilitoa kibali kwa wakulima wanachama wa KACOFA kusafirisha kahawa yao kwenda kubanguliwa TCCCO Moshi. Hali kadhalika, TCCCO pia KACOFA wanapata huduma za mfumo wa Stakabadhi ya Mazao Ghalani ambao haupo mkoani Kigoma.
Mheshimiwa Spika, ili kulinda uasili wa kahawa, Bodi ya Kahawa Tanzania inasimamia na kuhakikisha kwamba kahawa hiyo ya KACOFA inauzwa kama kahawa ya Kigoma bila kuchanganywa na kahawa ya Kilimanjaro kwa kutumia mfumo maalum wa ufuatiliaji yaani traceability.
Mheshimiwa Spika, wakulima wa Kigoma wanashauriwa kuanzisha mfumo wa Stakabadhi ya Mazao Ghalani na kupunguza gharama za uzalishaji katika kiwanda chao ili kuwavuta KACOFA sasa kurudi kukoboa kahawa yao mkoani Kigoma.
MHE. SAID A. ARFI:
Mheshimiwa Spika, pamoja na majibu ambayo hayakukidhi swali lililoulizwa; swali lilikuwa Serikali inatoa kauli gani juu ya ukiukwaji wa taratibu za Bodi ya Kahawa. Lakini, umetoa maelezo na hukutoa kauli ya Serikali juu ya ukiukwaji huo. Hawa viongozi wa Serikali wa Wilaya ya Kigoma waliotoa kibali kinyume na taratibu na kanuni za Bodi wanachukuliwa hatua gani?
Swali la pili; ikiwa hivyo ndivyo, je, sasa Wizara yako iko tayari mahala popote pale wakulima wanapotaka kujitenga na Chama Kikuu cha Ushirika wanaweza kufanya hivyo?
NAIBU WAZIRI WA KILIMO, CHAKULA NA USHIRIKA:
Mheshimiwa Spika, suala la kahawa linatawaliwa na sheria ya kahawa ya mwaka 2001 pamoja na marekebisho yake, na utaratibu wake ni mrefu. Wadau wanaohusika hapo ni wengi; Halmashauri za Wilaya zinahusika. Na nimeeleza katika majibu yangu kwamba Halmashauri ya Wilaya ndiyo iliyotoa kibali na yenyewe nayo ina mamlaka yake ya kufanya hivyo. Lakini pamoja na hayo ni kwamba, nikijibu kwa pamoja na swali la pili lile la wanaotaka kujiengua katika ushirika ni hiyari, hakuna kulazimishwa kwamba wewe lazima uwe ushirika huu, sheria ya ushirika ndivyo inavyosema.
Sasa wale wanapoona kwamba sisi haturidhiki katika ushirika huu, wako huru kabisa kwa mujibu wa sheria kutafuta wanakoona kuna green pasture. Kwa hiyo, kwa maelezo yangu hayo, ninachotaka kusema ni kwamba ukitizama vizuri, hakuna waliokiuka hapa, hakuna makosa makubwa yaliyofanyika. Wale baada ya kuamua kujitenga, Halmashauri ilisoma sheria ikaona hapa tunaweza tukawaruhusu wakaenda, na wakaenda wakakuta mambo ni mazuri kule. Sasa ninachosema ni kwamba kule Kigoma tuboreshe utaratbu huu, tuweke utaratibu wa stakabadhi ghalani, tuwavutie KACOFA ili waweze kurejea kukobolea kahawa yao. Lakini, msimamo wetu ni huo kwamba kahawa ikobolewe katika eneo lile inapozalishwa ili kuweza kuwanufaisha wakulima.
Mkutano wa hadhara kijiji cha Mayange kata ya Matendo
Wanainchi wakisikiliza.Miaka mitano tu!
Meeting with Kidahwe Village Assembly
Meeting with Kidahwe Village Assembly on October 8. Debating accountability issues.
- Meeting with Kidahwe Village Assembly on October 8. Debating accountability issues.
Meeting with Kidahwe Village Assembly on October 8. Debating accountability issues.
Zitto is MP for KIGOMA URBAN and PARTY LEADER of ACT WAZALENDO Party (@ACTWazalendo)
Zitto na Demokrasia 