Govt directs investors to adhere to the laws

Monday September 11 2017
pic investors-law

Deputy Minister for Energy and Minerals, Dr Medard Kalemani

Dar es Salaam. Deputy Minister for Energy and Minerals, Dr Medard Kalemani has today, September 11, warned investors in the mineral and natural gas industry to abide by laws and regulations governing the sector.

Speaking at the sideline of the Tanzania Oil and Gas Congress here, Mr Kalemani said obedience with the law meant, among others, timely payment of tax, tasking the Tanzania Revenue Authority (TRA) and Ministry of Finance and Planning to frequently inspect and take appropriate action against companies which do not pay tax.

"The Ministry of Finance and Planning and TRA should launch countrywide crackdown on companies evading taxes, and take legal measures against them because the act denied the country with prerequisite revenue," he said.

"Companies saying they were making loses should pack its belongings and go. We have been saying so, and yet we insist, if they can't pay tax they should leave," he added.

Speaking on the congress, Mr Kalemani said it was appropriate platform for the country to outline its opportunities to investors in the sector and deliberate means challenges facing the sector could be addressed for benefit of the two sides.

Meanwhile, Mr Kalemani said 668 megawatts of electricity produced by natural gas is injected in the national grid with expectations that 5,000 megawatts would be generated by 2020 that will strongly aid the country's industrialisation strategy.

Advertisement

"Also, we are promoting use of natural gas for domestic use in Dar es Salaam, Mtwara and Lindi Regions. Later on, the project will be extended to other regions an effort that will discourage use of charcoal to the benefit of environment protection," he said.

Lands, Water, Energy and Environment minister in the Revolutionary Government of Zanzibar, Ms Salama Abdul Talib, said after endorsing a law on natural gas and oil, preparing regulations and forming a regulatory body, Zanzibar was now inviting local and foreign companies to invest in the Isles.

Pietro Fiorentini Tanzania director and partner, Mr Abdulsamad Abdulrahim, said natural gas extractive industry had many challenges in the country in spite of the Parliament's endorsement of a law on local content.

"Hopefully, this meeting will highlight these challenges in order to ensure Tanzanians are fully participated in the sector," he said.