Dowans: Another Richmond in making?

Tanesco finally stops payments to Dowans

2008-08-05 10:03:10
By Correspondent Felister Peter


The Tanzania Electric Supply Company (Tanesco) has officially stopped consuming power and paying the daily 183m/- capacity charges to Dowans Tanzania Ltd, following the official termination of their contract on Friday.

This was revealed yesterday by the state-owned power firm`s Public Communication Manager, Badra Masoud, in an interview with The Guardian in Dar es Salaam.

``There have been no further payments to Dowans since August 1 this year. Tanesco is no longer consuming power generated by Dowans,`` said Masoud.

She repeated earlier remarks by Tanesco officials that the firm no longer needs additional sources of electricity because its own power-generating plants can meet existing demand.

However, she would not be drawn into saying whether they have received any court summons following Dowans` reported decision to file a case against Tanesco after the latter company`s contract termination notice.

Dowans and Tanesco entered into the contract after Richmond Development Company LLC failed to generate 100MW, as agreed on June 23, 2006.

The contract was floated after power-generation dams ran dry following prolonged drought.

Tanesco managing director Idris Rashid announced at a news conference in Dar es Salaam in June that his company had decided to terminate its emergency power generation contract with Dowans.

He said his firm planned to decommission the services of Dowans with effects from this month after finding out that the manner in which the contract with Richmond was reached violated the Public Procurement Act.

Dr Rashid explained that the contract between Tanesco and Richmond had no legal mandate and the transfer of the contract from REDVO to Richmond and later on to Dowans Holding SA Limited and eventually to Dowans Tanzania Ltd did not conform to the terms of the contract and was therefore illegal.

According to Dr Rashid, Dowans was generating 100MW but Tanesco had already installed its own 100MW plant and was no longer in need of outside assistance.

The Public Procurement Regulatory Authority (PPRA) was later quoted as saying high-ranking government officials had remarkably influenced the awarding of the tender to Richmond.

However, Richmond failed to generate the 100MW agreed under the contract although it continued to be paid a daily 152m/- in capacity charges.

Surprisingly, the Prime Minister`s Office still decided to extend the Richmond deal.

However, National Assembly Speaker Samwel Sitta on October 11, 2007 formed a special House committee chaired by Kyela legislator Harrison Mwakyembe to investigate the circumstances that made the government enter into the contract.

The committee presented its report in the House in February 2008, declaring that Richmond lacked the experience, expertise and financial capability for carrying out the task.

Then prime minister Edward Lowassa resigned alongside former ministers Nazir Karamagi (Energy and Minerals) and Dr Ibrahim Msabaha (East African Co-operation), citing political accountability over the scam.

SOURCE: Guardian

Je mpaka hapo TANESCO ilishalipa jumla ya shilingi ngapi tangu mkataba uanze?

Shamba la bibi, tuone sasa kama wataweza kuwauzia umeme wa-Iran kutoka Ubungo. ama kweli Tanzania inaliwa na wenye meno makali kama ya mamba.

Je, Tanesco wana plan gani kukitokea dharura? Wamejiandaa vipi?

Malipo kwa siku yalikuwa ni shilingi 152 milioni kama sikosei na mkataba ulianza June 23, 2006 kwa hiyo ni siku 799 toka June 23, 2006 mpaka Juy 31, 2008

152,000,000*799= 121,448,000,000 (shilingi)

A TWISTED TALE of two Richmond Companies: One in the US, another right here in Tanzania.

1 2 3 4 5 (0 votes) Written by THISDAY REPORTER
Wednesday, 27 February 2008
THE US-based Richmond Development Company LLC (RDEVCO), which has turned out to be a legally non-existent entity, was awarded the 172.9bn/- power generation contract under dubious circumstances several months before its Tanzanian namesake even acquired a formal business licence to operate in the country. While the executive director of the Tanzania Investment Centre (TIC), Emmanuel Ole Naiko, this week vehemently defended his agency's decision to award a certificate of tax incentives to Richmond Development Company (Tanzania) Limited, it is understood that this locally-registered branch of the US-based 'briefcase' company did not even exist at the time the contract was signed.

RDEVCO entered into the controversial emergency contract to provide 105.6 megawatts of turbine-charged power to the Tanzania Electric Supply Company Limited (TANESCO) on June 23, 2006.

However, its Tanzanian namesake - which apparently has the same principals as the legally non-existent US company � only received a formal business licence from the Ministry of Industry, Trade and Marketing on October 10, 2006 (almost four months later).

On the same day that it got its business licence, Richmond Development Company (Tanzania) Limited was awarded a certificate of tax incentives by the TIC in Dar es Salaam, with Naeem A. Gire listed as a director.

Naeem is understood to be a relative of Mohamed A. Gire, one of the stated owners of RDEVCO along with Dr Mohammed S. Huque.

According to documents seen by THISDAY, Richmond Development Company (Tanzania) Limited was officially registered by the Business Registration Licensing Authority (BRELA) on July 12, 2006 - about three weeks after the dubious contract between RDEVCO and TANESCO was signed.

Although well-placed sources say the company was given a certificate of incorporation number 57014 by BRELA, it has also been learnt that shortly after this registration, the company�s file mysteriously disappeared from BRELA�s official records.

Six months into the contract with TANESCO, serious questions started being raised about RDEVCO's ability to perform its obligations when it failed to deliver the initial consignment of power generation units.

It is understood that at this juncture, the TANESCO board of directors belatedly hired an international law firm based in the United States, Hunton & Williams LLP, to do a background check on RDEVCO and give its legal opinion on the contract.

The law firm based in Richmond, Virginia, which employs more than 1,000 attorneys, discovered that RDEVCO had committed multiple breaches of the emergency power agreement, including failure to deliver the power plant specified in the contract; failure to commission a unit or units of the plant in accordance with the contractually-mandated time schedule; and failure to obtain insurance coverage required by the agreement.

Perhaps the most shocking breach of contract uncovered by the US law firm was RDEVCO's ''misrepresentation of its corporate status in Tanzania and in Texas, USA, at the time of contract.''

According to the contract itself, RDEVCO is described as ''a company incorporated under the laws of the state of Texas, USA, having its address at 5825 Schmacher, Houston, Texas 77057, USA.''

In section 5.1 of the contract, RDEVCO presents itself as ''a company limited by shares, duly organized, validly existing and in good standing under the laws of Tanzania.'' However, on the date the agreement was signed (June 26, 2006), there was no such company under that name registered in Tanzania.

As already stated, RDEVCO's local namesake - Richmond Development Company (Tanzania) Limited - was registered about a month after the agreement was signed, and is therefore technically not a party to the contract.

On the other hand, a search of Texas Secretary of State (the equivalent of Tanzania's BRELA) records by the US law firm in October 2006 (four months after the contract with TANESCO was signed) uncovered that no company named Richmond Development Company LLC (RDEVCO) was at that time registered in Texas either.

The law firm concluded that with RDEVCO being a legally non-existent company and committing multiple other breaches of the contract, TANESCO could terminate the contract.

But surprisingly, as already documented by the report of the parliamentary probe committee that investigated the dubious deal, former prime minister Edward Lowassa, TANESCO and the Ministry of Energy and Minerals all failed to grasp this opportunity and cancel the contract.

The report findings of the Bunge committee also established that RDEVCO was a 'briefcase' or mailbox company, without any legal status either in the US or Tanzania, and advised the government to go ahead and terminate the contract.

Source link: thisday.co.tz

Wheewww.....finally.....Na sasa tuone aidha mgao uishe au Kibiti-Lindi kupitike.

Safi..! Ila wamechelewa..

Ni nzuri lakini nataka kuona tukipunguziwa bei ya umeme kwa kiasi kikubwa.

Vinginevyo nitaendelea kutowaelewa.

Govt plans suing Dowans

2008-08-11 09:19:18
By Gadiosa Lamtey


The government has said it is contemplating legal action against Dowans Tanzania Ltd following the termination of the power purchase agreement (PPA) with the company some two weeks ago.

Energy and Minerals minister William Ngeleja made the revelation in an exclusive interview with The Guardian in Dar es Salaam mid last week.

He said his office was consulting ``other members of the government machinery`` over the matter, adding that the decision of whether to sue could be made this week.

The minister`s remarks come hardly a week after the state-owned Tanzania Electric Supply Company (Tanesco) stopped paying Dowans a daily 183m/- in capacity charges, saying it no longer needed ``emergency power`` generated by the latter firm.

``We haven`t decided yet whether to take legal measures against Dowans because their power generating machines are still here (at the site). The picture will be clearer after we have had consultations with the Attorney General?s Chambers,`` explained the minister.

Expressing optimism that everything would be sorted out by this week, he noted: ``The government and its various advisory and implementation agencies need time to work on the matter because there are lots of delicate issues to look at.``

Tanesco managing director Idris Rashid said in a separate interview that it was not upon his firm to take Dowans to court, elaborating: ``In our capacity as Tanesco, we won`t take any legal action against Dowans. The matter is in government?s hands.``

He pointed out that the most they could do was to stop consuming power generated by Dowans and subsequently stopping paying the staggering capacity charges, over which there has been a countrywide outcry.

The controversial power purchase contract with Dowans officially ended at the beginning of this month, Tanesco Public Communication Manager Badra Masoud confirmed to reporters in Dar es Salaam last week.

She reiterated earlier remarks that Tanesco was comfortable even without additional sources of electricity because its own power-generating plants could meet existing demand.

Dowans and Tanesco entered into the contract after Richmond Development Company LLC failed to generate 100MW as per June 23, 2006 agreement, floated after power-
generation dams ran dry following prolonged drought.

Dr Rashid told journalists in Dar es Salaam in June that Tanesco had decided to terminate its emergency power generation contract with Dowans.

He said they were planning to decommission Dowans with effect from this month after discovering that the manner in which the contract with Richmond was reached was murky and violated the Public Procurement Act.

He stated that the contract between Tanesco and 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.

``Dowans was generating 100MW but Tanesco has already installed its own 100-MW plant and is no longer in need of outside assistance,`` the Tanesco MD added.

The Public Procurement Regulatory Authority (PPRA) was later quoted as saying high-ranking government officials had remarkably influenced the awarding of the tender to Richmond.

Richmond failed to generate the 100-MW agreed under the contract although it continued to be paid a daily 152m/- in capacity charges but, surprisingly, the Prime Minister`s Office still decided to extend the Richmond deal.

However, National Assembly Speaker Samwel Sitta on October 11, 2007 formed a special House committee chaired by Kyela legislator Harrison Mwakyembe to investigate the circumstances that made the government enter into the misty contract.

The committee tabled its report in the House in February this year, stating that Richmond lacked the experience, expertise and financial capability that the carrying out of the task demanded.

Then prime minister Edward Lowassa resigned alongside former energy and minerals ministers Nazir Karamagi and Dr Ibrahim Msabaha soon after, quoting political accountability over the scandal.

SOURCE: Guardian

Jamani, ile Tarehe moja mbona imepita na hakuna cha kuondoa majenereta wala nini, ilikuwa ni mkwara wa kinyonga kwamba ana mbio sanaaa au nini, wakati yeye hana hata mbio?hahahaha. au wale jamaa yale majenereta wameshaondoa?

kwa haya ya Richmond mie nabaki kuwa Tomaso, (hadi nione ndo nisadiki) mbona mapendekezo ya kamati ya kina Mwakyembe yamepotelea? hili ndo wataliweza?

None sense, Labda wao ndio wasubiri kushitakiwa
Hata wakikimbilia wao kwanza mahakamani watashindwa tuu

Nilisoma mahali fulani sikumbuki ni gazeti gani la hapa nyumbani kuwa tarehe 01 august 2008 TANESCO na Dowans ndoa imekufa. Mlioko huko Dsm nisaidieni,hivi wamengo`a mitambo yao au ilikuwa danganya toto? Na kama hawajang`oa kuna nini kinasubiriwa?

malila said:

Nilisoma mahali fulani sikumbuki ni gazeti gani la hapa nyumbani kuwa tarehe 01 august 2008 TANESCO na Dowans ndoa imekufa. Mlioko huko Dsm nisaidieni,hivi wamengo`a mitambo yao au ilikuwa danganya toto? Na kama hawajang`oa kuna nini kinasubiriwa?

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..wang'oe ya nini? bado ipo, labda tanesco watainunua.

Hawajaing'oa wala sidhani kama wana mpango huo.Nimesikia kuwa wana mpango wa kuuza umeme wao kwenye migodi ya madini(sijui kama inaruhusiwa ku_compete na Tanesco kwasasa)

huyu bado anawaza jinsi ufisadi ulivyo muhimu ili aendelee kupumua hapo alipo

Mr. Zero said:

Waziri: Tuliwaza kurejea umeme wa Dowans

2008-09-30 11:42:21
Na Waandishi Wetu


Serikali imesema kuwa kama matatizo ya mgawo wa umeme yaliyosababishwa na kuharibika kwa mitambo mitatu ya kampuni ya Songas yangeendelea bila kupata ufumbuzi wa haraka, ingelazimika kuutumia umeme wa kampuni ya Dowans.

Akizungumza na Nipashe jijini Dar es Salaam jana, Naibu Waziri wa Nishati na Madini, Adam Malima, alisema kama tatizo la mitambo ya Songas lingeendelea ingelazimika kuchukua hatua hiyo kwa vile mitambo ya Dowans haina mushkeli.

``Hivi wewe nchi iko gizani, anajitokeza Dowans anasema kuna mitambo hapa ya umeme, ungekataa? Sisi tusingekataa,``alisema Malima.

Akifafanua, Malima alisema mgogoro kati ya serikali na Dowans haukutokana na kampuni hiyo kushindwa kufua umeme au kuwa na mitambo feki, bali tatizo lilikuwa kwenye mkataba.

``Tatizo la Dowans lilikuwa ubora wa mkataba, ule ulikuwa mbaya, lakini bidhaa zake (umeme) ni safi, wala hatujagombana nao kwa vile eti mitambo yao ni mibaya, hapana.

Mitambo ya Dowans ni safi na wana uwezo wa kuzalisha vema. Wangetupa ofa tusingekataa hata kidogo,``alisema Malima.

Malima alisema watu wenye wasiwasi juu ya suala hilo ni wale wanaochanganya na wasioelewa ugomvi kati ya Serikali na Dowans ulikuwa umesimama wapi.

``Dowans si haramu, mitambo yake si haramu wala umeme wake si haramu, haramu ulikuwa mkataba,`` alisema.

Malima alisema ni ukweli usiopingika kwamba Tanzania ina uhaba mkubwa wa umeme, hivyo serikali imepanga kuchukua hatua za haraka na za kudumu kujiongezea uwezo wa kuzalisha nishati hiyo.

Alisema njia hizo ziko nyingi, lakini moja wapo ni kununua mitambo ya Dowans kama itawezekana.

Malima alisema cha msingi katika kutafuta njia za kuongeza umeme katika gridi ya taifa, serikali inaangalia mikataba yenye maslahi kwa wananchi na wala sio historia ya kampuni yoyote.

Katika hatua nyingine, Shirika la Umeme nchini (Tanesco) jana limetangaza kwisha kwa mgawo wa umeme uliodumu kwa siku tano, kutokana na mtambo mmoja kati ya mitatu ya kuzalisha umeme ya kampuni ya Sangas `kupona`.

Akizungumza na Nipashe ofisini kwake jana, Meneja Mawasiliano wa Tanesco, Badra Masoud, alisema mgawo huo ambao uliamsha hisia za watu wengi, umefikia tamati jana, baada ya kazi ya kurekebisha mitambo ya kampuni ya Songas kuanza.

Alisema wataalam wa kampuni ya Kimarekani ya General Electrical waliwasili nchini usiku wa kuamkia jana, na moja kwa moja wakaanza kazi ya kurekebisha mitambo hiyo.

Badra alisema wataalam hao (hakuwataja majina) wamefanikiwa kutengeneza mtambo mmoja wenye uwezo wa kuzalisha megawati 40.

Alisema juhudi za kutengeneza mitambo miwili iliyobaki zinaendelea na Songas wametoa taarifa kwamba kazi itakamilika mapema iwezekanavyo.

``Ninawatangazia Watanzania wote wanaopata umeme kutoka katika gridi ya taifa kwamba kuanzia leo (jana) magawo wa umeme umekwisha, umeme utapatikana kama kawaida, na kama ikitokea sehemu moja haina umeme, yatakuwa matizo ya kawaida ya kiufundi, ambayo mara nyingi huwa tunayatolea taarifa,`` alisema.

Badra alisema hivi sasa Tanesco inapata jumla ya megawati 112 kutoka Songas, kiasi ambacho kinatosha kufuta mgawo.

Vilevile, mitambo yote inayomilikiwa na Tanesco nchini kote inafanya kazi nzuri.

Alipoulizwa kuwa Songas inastahili kufanywa nini baada ya kushindwa kuiuzia umeme Tanesco na kusababisha hasara kubwa, Badra alisema kwa kawaida lazima wapigwe faini.

``Unajua tunawalipa Songas kwa kadri wanavyotupa nishati, lazima kuna adhabu tutawapa katika mahesabu yetu ya malipo, lakini hilo tutalijua baadaye, sasa hivi ni mapema mno kulijadili,`` alisema.

Katika hatua nyingine Badra alisema Tanesco imeitisha mdahalo kati yake na wadau wanaotumia umeme, ili kuwapa fursa ya kutoa madukuduku yao.

Badra alisema mdahalo huo unafanyika leo katika Ukumbi wa Karimjee, jijini Dar es Salaam kuanzia saa 8 mchana.
Alisema mdahalo huo ni sehemu ya mikakati ya Tanesco kujiimarisha na kuwapa wateja wake fursa ya kutoa kero zao.

Kwa upande wake, kampuni ya Songas imesema kuwa mtambo wake mmoja aina ya UGT6 katika ya mitatu iliyoharika wenye uwezo wa kuzalisha megawati 40 za umeme, umetengemaa na kuanza kufanya kazi kama kawaida kuanzia juzi.

Taarifa iliyotolewa jana na Msemaji wa kampuni hiyo, Reuben Mwaikinda, ilisema mtambo huo ulifanyiwa matengenezo na wahandisi wa kampuni ya General Electric kutoka Marekani kwa kushirikiana na wa Songas na kwamba ilipofika saa 12 jioni juzi ulianza kufanya kazi na umeme wake kuingizwa moja kwa moja katika gridi ya taifa.
Imeandikwa na Simon Mhina na Abdallah Bawazir.

SOURCE: Nipashe

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Kama serikali inalipa Tsh 240 billion kama capacity charge kwa hizo kampuni za kuzalisha umeme kwa mwaka, hata kama umeme hauzalishwi, kwa mradi huo serikali ingeweza kuondokana na tatizo la umeme kwa gharama hiyo hiyo kwa kununua mitambo yake yenyewe zaidi ya 6 (600 MW) ya MW 100 each ($40 million). na Tanzania tunatumia chini ya 1000 MW kwa nchi nzima.

huyu waziri namfahamu tangu akiwa pale bot,ni mweupe pee kichwani, kwa hili atapata wachache sana. je nikisema kuwa huenda mitambo hiyo ya songas,imeharibiwa kwa makusudi na mafisadi wa richmond ili turudie dowans waendeleee kuneemeka haiwezekani?

Hii wanataka kumsafisha mtu aonekane alionewa na alichokuwa anakifanya kilikuwa sahihi. Kama tuna fedha nyingi namna hiyo ni afadhali kununua mitambo yetu wenyewe na kununua expatriate watao-train Tanzanians ku-manage vyao. Why tunafikiri wageni tu ndio wanaweza? Kila kitu siwezi kila kitu hatuwezi mbona kuhamisha fedha za umma tunaweza certainly kila kitu tunaweza lakini maslahi binafsi mbele kama tai