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Govt: No Dowans-Tanesco deal
2008-10-18
By Rose Mwalongo
The Government and the Tanzania Electric Supply Company (Tanesco) have categorically refuted claims of a move to buy power generators from Dowans Tanzania Ltd.
The measure was allegedly intended to offset the critical power shortage in the country.
A state-run Sunday newspaper, quoting an impeccable source, said in its latest edition that the country`s giant utility firm had written a letter to the government urging the authorities to approve the sale.
According to the report, in its application, Tanesco had sought permission to take part in the procurement process of the 35 mw gas turbines lying idle at Ubungo in Dar es Salaam.
However, Energy and Minerals minister William Ngeleja yesterday told The Guardian that he was completely unaware of such a move.
``What is wrong? Where did you get this information from?`` said the minister. He said he had just arrived from abroad and therefore knew nothing about it.
Later during the day, this reporter eventually met Minister Ngeleja in his office. The minister categorically stated that the government had no plan to buy or hire any of Dowans turbines.
``The government is keen to abide to regulations. Tanzanians should not worry when it comes to utilization of natural resources. We (the government) are keen about doing things properly and are taking charge of everything appropriately,`` said Ngeleja.
An impeccable source within Dowans told The Guardian that the Dowans management had on Thursday night visited the plants and tested them.
The source said the Dowans boss who had inspected the machines had informed the staff that they were only waiting for the minister to come back from a trip to strike the deal.
``The boss is just waiting for the minister to sign the documents. This (Friday) morning, we expected the deputy minister to visit Dowans plants, then later today or tomorrow, the machines would be put to use,`` informed the source.
Tanesco board chairman, Ambassador Fulgence Kazaura when contacted for comments, appeared to be shocked: ``Tanesco wants to buy power from Dowans! Ask that question to the Managing Director,`` he said.
However, the Tanesco MD was apparently not available for comments.
The Tanesco-Dowans ill-fated wedding ended in August this year with Tanesco claiming that the contract between the two parties was unbearable and could not just continue because the company ``is now generating adequate power`` from its own sources.
Tanesco communication manager Badra Masoud told The Guardian in an exclusive interview on Thursday in Dar es Salaam that she was completely unaware of the said deal
When reached for comments, Energy and Minerals deputy minister Adam Malima said he was not aware of anything in regard to the issue.
``The minister is out of the country at the moment (Thursday) and no one can make decisions regarding the issue in his absence. Whatever speculations you heard about the matter are mere fabrications. I am not aware of anything like that,`` said Malima.
However, a close source to Tanesco confirmed that the government had actually attempted to buy the Dowans generators.
``Dowans owners wanted the government to sign a contract with them before they could switch on their machines. This happened during the recent power rationing crisis,`` said a source, who preferred anonymity.
The source further stated that Dowans had never attempted to switch on its plants since the plant`s closure at midnight on July 30, this year.
A source close to Dowans confirmed that Tanesco had had an encounter with the Dowans entrepreneurs over the same issue, but said ``the boss refused and said he can only do so with the signing of legally binding documents.``
Dowans and Tanesco entered into the contract after Richmond Development Company LLC failed to generate 100mw as stipulated in the June 23, 2006 agreement, which was signed after power-generation dams ran dry following prolonged drought.
Revoking the contract some few months ago, Tanesco said its contract with Richmond had no legal mandate and its transfer from Redvo to Richmond, later on to Dowans Holding SA Limited and eventually to Dowans Tanzania Ltd., did not conform to the original terms and was therefore illegal.
Last month, Tanesco customers connected to the national grid experienced five days of power rationing when Songas switched off three gas turbines for technical reasons.
Another power shedding stint followed some few days later when a Tanesco transformer and one of the Aggreko turbines developed technical hitches.
SOURCE: Guardian
2008-10-18
By Rose Mwalongo
The Government and the Tanzania Electric Supply Company (Tanesco) have categorically refuted claims of a move to buy power generators from Dowans Tanzania Ltd.
The measure was allegedly intended to offset the critical power shortage in the country.
A state-run Sunday newspaper, quoting an impeccable source, said in its latest edition that the country`s giant utility firm had written a letter to the government urging the authorities to approve the sale.
According to the report, in its application, Tanesco had sought permission to take part in the procurement process of the 35 mw gas turbines lying idle at Ubungo in Dar es Salaam.
However, Energy and Minerals minister William Ngeleja yesterday told The Guardian that he was completely unaware of such a move.
``What is wrong? Where did you get this information from?`` said the minister. He said he had just arrived from abroad and therefore knew nothing about it.
Later during the day, this reporter eventually met Minister Ngeleja in his office. The minister categorically stated that the government had no plan to buy or hire any of Dowans turbines.
``The government is keen to abide to regulations. Tanzanians should not worry when it comes to utilization of natural resources. We (the government) are keen about doing things properly and are taking charge of everything appropriately,`` said Ngeleja.
An impeccable source within Dowans told The Guardian that the Dowans management had on Thursday night visited the plants and tested them.
The source said the Dowans boss who had inspected the machines had informed the staff that they were only waiting for the minister to come back from a trip to strike the deal.
``The boss is just waiting for the minister to sign the documents. This (Friday) morning, we expected the deputy minister to visit Dowans plants, then later today or tomorrow, the machines would be put to use,`` informed the source.
Tanesco board chairman, Ambassador Fulgence Kazaura when contacted for comments, appeared to be shocked: ``Tanesco wants to buy power from Dowans! Ask that question to the Managing Director,`` he said.
However, the Tanesco MD was apparently not available for comments.
The Tanesco-Dowans ill-fated wedding ended in August this year with Tanesco claiming that the contract between the two parties was unbearable and could not just continue because the company ``is now generating adequate power`` from its own sources.
Tanesco communication manager Badra Masoud told The Guardian in an exclusive interview on Thursday in Dar es Salaam that she was completely unaware of the said deal
When reached for comments, Energy and Minerals deputy minister Adam Malima said he was not aware of anything in regard to the issue.
``The minister is out of the country at the moment (Thursday) and no one can make decisions regarding the issue in his absence. Whatever speculations you heard about the matter are mere fabrications. I am not aware of anything like that,`` said Malima.
However, a close source to Tanesco confirmed that the government had actually attempted to buy the Dowans generators.
``Dowans owners wanted the government to sign a contract with them before they could switch on their machines. This happened during the recent power rationing crisis,`` said a source, who preferred anonymity.
The source further stated that Dowans had never attempted to switch on its plants since the plant`s closure at midnight on July 30, this year.
A source close to Dowans confirmed that Tanesco had had an encounter with the Dowans entrepreneurs over the same issue, but said ``the boss refused and said he can only do so with the signing of legally binding documents.``
Dowans and Tanesco entered into the contract after Richmond Development Company LLC failed to generate 100mw as stipulated in the June 23, 2006 agreement, which was signed after power-generation dams ran dry following prolonged drought.
Revoking the contract some few months ago, Tanesco said its contract with Richmond had no legal mandate and its transfer from Redvo to Richmond, later on to Dowans Holding SA Limited and eventually to Dowans Tanzania Ltd., did not conform to the original terms and was therefore illegal.
Last month, Tanesco customers connected to the national grid experienced five days of power rationing when Songas switched off three gas turbines for technical reasons.
Another power shedding stint followed some few days later when a Tanesco transformer and one of the Aggreko turbines developed technical hitches.
SOURCE: Guardian