TZ to launch new oil port

Tanga, second biggest port in Tanzania

Tanga, second biggest port in Tanzania

The Tanzanian government is opening up a new entry point for petroleum products into the country. The country’s Energy and Water Utility Regulatory Authority (EWURA) announced Wednesday Tanga port will be the second offloading entry point after Dar es Salaam.

The first consignment at the new port is due to be discharged next month, however EWURA says key players have to agree on cap-prices of petroleum products currently imported under Bulk Procurement System (BPS).

Felix Ngamlagosi the Director General for EWURA, said “we want to decongest the Dar es Salaam port, unlock economic potentials in Tanga and take it as a precaution against any security concern likely to arise at the central port.”

He told oil company representatives in Dar es Salaam that the government had formed a task force to analyse the effectiveness of implementing the plan.

Stephane Gay, Managing Director for Total Tanzania said upcountry depots are critical for the country. However he was concerned of single price for all BPS imports considering the increase in shipping costs.

He warned that Dar es Salaam is competing with Maputo, Mombasa and South Africa and any additional costs of shipping are likely to affect the country’s central port.

While hailing the introduction of a new port, ENOC Africa Ltd Heads of Sales and Marketing says the regulator should prioritize monitoring of the price of imported products so no one would take advantage.

Puma Energy Supply Manager Adam Elinewinga urged the regulatory body to create fair playing field for oil marketing companies.

Petroleum Importation Coordinator (PIC) General Manager Michael Mjinja said Tanga will save consumers money.

“The current reference point is Dar es Salaam. If we start to discharge at Tanga then we can build-up our prices to ensure end user consumers benefits from the introduced port.” he said

Engineer Aman Mafuru, Chairman of the Government Consultative Council (EWURA) and Prof Jamidu Katima Chairman of the Consumer Consultative Council generally supported the idea to discharge oil products at Tanga port.

They argue infrastructure needs to be improved to efficiently accommodate the practical objective of reducing fuel prices especially in northern regions of Manayara, Kilimanjaro, Arusha and Tanga.