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MPs query TICTS lease extension
2008-01-24 09:24:47
By Hannah Mwandoloma
Members of the Parliamentary Committee on Infrastructure yesterday challenged the government to explain why it extended a contract with the Tanzania International Container Terminal Services (TICTS) to 25 years before the end of an initial agreement.
TICTS was originally contracted to offer container services at the Dar es Salaam port for 10 years but before the expiry of the agreed time, the government extended the lease to 25 years.
Speaking during a committee meeting in Dar es Salaam yesterday, MP Anna Kilango Malecela (Same West) said the government should review the agreement and revert to the initial 10 year-contract period because TICTS was still under probation and people were not satisfied with its performance.
``I don`t understand why the government extended the lease. Was the decision made for public interest or the interests of just a few people in top positions?`` asked Kilango.
She said the contract extension occurred during the election campaign in October 2005, inviting suspicion that the move was deliberately done to benefit a minority in the government system.
Ruangwa MP Gigfrid Ng’itu urged the government to allow legislators to go through the contract, adding that denying them access amounted to violating the MPs’ constitutional rights.
Acting Permanent Secretary in the Ministry of Infrastructure Development, Dr. Bartholomew Bwire Rufunjo, said the government extended the lease because of the good work undertaken by TICTS.
Rufunjo said TICTS had done a wonderful job at the beginning. He however, said the government would work on the MPs’ recommendations.
``You wanted to know why the government had extended the contract period. This is my answer.
I appreciate your inputs. When we sit at the ministry, we are going to discuss the issue and see what we can do,`` said Rufunjo.
Rufunjo said the government was going to review the contract to ensure that TICS improved their services.
On the MPs` request to access the TICTS, Rufunjo said there were procedures to be followed whenever one wanted to view the contract.
Members of the committee also complained about container congestion at the Dar es Salaam port, saying the problem should be solved immediately because it was inconveniencing the importers.
Committee Chairman Muhamed Misanga said the speed of clearing containers at the port was not impressive.
``Containers from China and Japan take about three weeks but surprisingly, those destined for Zanzibar take two to five months. This is serious. Something has to be done,`` said Misanga.
TICTS General Manager David Cotty said the delaying of containers destined for Zanzibar would soon be solved because a bigger ship was coming at the end of this week.
``The ships that transfer containers from Dar es Salaam to Zanzibar are too small, each with the capacity of ferrying only 60 containers. However, the new one will have the capacity of shipping 200 containers,`` said Cotty.
Director General of Tanzania Port Authority (TPA) Efrem Mgawe said two big shipping lines are expected to start anchoring this month at Mtwara port in order to reduce Dar port congestion.
TICTS’ ten year contract was signed on May 5, 2000. It was commissioned to run and operate the container terminal, work which started on September 10, 2000.
On October 2005, the government extended the lease by 15 more years.
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