Parliamentary Report TANZANIA Bill provides checks on contractors
INTRODUCTION OF NEW BILL The first session of the 13th sitting of the National Assem- bly began on 28 October in Dodoma, where Mr Charles Mwera Nyanguru (CHADE- MA) was sworn in as a new Member for Tarime Con- stituency after winning a by- election following the death of Chacha Wangwe in July 2008. The Minister for Infrastruc-
ture Development, Hon. Dr Shukuru Kawambwa, intro- duced a Bill, the Contractors (Amendment) Act on 28 Octo- ber,saying that the bill sought to enhance “standards, profession- alism and workmanship in the construction industry which was one of the fastest growing sectors of the economy”. The main proposals includ- ed giving powers to the Con- tractors Registration Board to deregister firms that had failed to meet high standards in the execution of projects. In addition, the Board was
given the power to sue firms and individuals engaged in con- struction activities without securing proper registration in accordance with the law, with “the authority to disqualify those engaged in shoddy con- struction projects that endan- gered people’s lives”.
Hon.Ludovick Mwananzi-
la (CCM) confirmed that the Committee had supported the proposed amendments. The House was further informed about the Committee’s strong urge on the government to work closely with the Board in the registration of contractors, monitoring and regulating their operations. Spokesperson for the oppo-
sition, Hon. Zitto Kabwe (CHADEMA), stated that it had supported the proposed amendments and also called for both serious punishment for the dishonest officials of the Board and the prosecution of those who performed
below standards. Contributing to the debate,
Hon.Godfrey Zambi (CCM), suggested that the Engineers Registration Board, the Nation- al Construction Council, the Tanzania Bureau of Standards and the Contractors Registra- tion Board work more closely for a better performance. A special appeal was made to the local contractors to work collectively and “pull resources together and work in teams rather than each going it alone”. By so doing, he said they would be able to “secure loans and execute more capital intensive projects”. Hon. Abdallah Mtutura
(CCM), supported the appeal arguing that working together would have enabled them to qualify for the award of the biggest and most lucrative projects that were currently given to foreign companies.He urged for solidarity among the local contractors in order to develop the capacity that would enable them to enhance their capital base and profes- sionalism. The Bill was passed on 28 October 2008.
ENERGY AND MINERALS The Chairman of the Parlia- mentary Committee on Energy and Minerals, Hon. William Shellukindo (CCM), intro- duced the debate on the report of the Presidential Mining Sec- tor Review team on 29 Octo-
ber.The report had been previ- ously presented before the House during the June-August budget session. The main recommendations of the team included the over- haul of the mining sector and the establishment of an authority to oversee all mining ventures in the country; the review of taxes and royalties paid by the multinational com- panies; and the joint share- holding between the govern- ment and the investors in new
mining projects.
The House was informed that the Committee had rec- ommended that the govern- ment refrain from signing any new agreement before the House had endorsed amend- ments to the Mining Act, 1998. The House was further
informed about the Commit- tee’s insistence for maximum transparency in the processes related to the negotiations of the mining contracts until the final signing of the relevant contracts, drawing the atten- tion to the observation by the review team that the mining business contracts seemed to have been above the law. A reduction of the validity of mining contracts from 25 to 10 years with a review every five years and a review of the current practices by mining companies to export raw materials for further purifica- tion outside the country was also recommended. Other recommendations included the banning of export of raw
Raphael Chegeni (CCM) added that it was “a disgrace that we have to beg for gener- al budget support from foreign countries when we have all the mines with us. Let us review our contracts and curb non- payment tax because it denies our country’s income”. Mr Kabwe called on the
Hon.Anne Kilango
gemstones and the govern- ment to stop selling its shares in Buckreef Gold Mine, Kiwira Coal Mine and Williamson Diamonds Mine Ltd.
Contributing to the debate,
Hon. Anne Kilango (CCM) supported the recommenda- tion to immediately ban the export of raw tanzanite point- ing out that it was time that Tanzanians gain dividends from their resources. Hon. Dr.
government to review its poli- cy of selling shares in the min- ing sector noting that there was a lot of ambiguity, adding that “the government sold its mine to Sutton Resource for USD 20 million, but the com- pany later sold it to Barrick for USD 348 million and the sales were floated on the Toronto Stock Market...”. Hon. Christopher Ole Sendeka (CCM) criticized the government for not imple- menting the recommendations of the committees and com- missions on the mining sector. “We have witnessed five com- missions and committees in the mining sector for the past few years and nothing has changed”, he noted. Hon. Said Amour Arfi (CHADEMA) also added that failure to implement the rec- ommendations would lead to loss of confidence on the part of the people and the govern- ment and was a waste of tax- payers’ money. He said “I think we should direct the govern- ment to act on these recom- mendations otherwise it will be meaningless to have such committees”. Hon. Nimrod Mkono (CCM) asked “what is being concealed about Buhemba (goldmine)? The government has sent teams several times including some ministers but nothing has been reported”. Closing the debate, the Min-
ister for Energy and Minerals, Hon. Willima Ngeleja (CCM) promised to work on the concerns and proposals raised during the debate.
The Parliamentarian 2008/Issue Four 369
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