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Kiwira mine workers protest, point fingers at Mkapa
THISDAY CORRESPONDENT
Mbeya
SCORES of workers of Kiwira Coal and Power Company Limited rallied outside the plant over the weekend to protest over delayed salary payments, blasting former President Benjamin Mkapa for his dubious involvement in the privatization of the formerly state-run mine.
Employees of the coal mine located in Mbeya Region staged a protest demonstration, seeking President Jakaya Kikwetes intervention in the matter.
They criticized the Mkapa administration in the controversial privatization of the mine in 2005, and blamed the ex-president for the current predicament facing the workers.
They carried placards with messages blasting the mines shareholders and urging the government of the day to take definitive steps to end the turmoil.
The workers said they have gone without salaries for at least five months, and accused the management of the troubled mine of ignoring their grievances.
Among other things, the workers questioned Mkapas involvement in the privatization of the coal mine, which was sold under dubious circumstances to a company formed by the ex-president and the then Minister for Energy and Minerals, Daniel Yona.
JK you are our only hope. What is Kiwiras fate? Why have you forsaken us? stated some of the placards carried by the workers.
The workers demanded a final decision on the fate of the factory, saying they were angered at the way it is being run.
They furthermore criticized shareholders for failing to make any significant capital injection and vehemently questioned the $271m (approx. 350bn/-) deal between the company and the state-owned Tanzania Electric Supply Company Limited (TANESCO).
While the 20-year contract calls for Kiwira coal mine to supply up to 200MW to the national power grid, the said loss-making company can now manage to supply just 1-2MW of electricity to TANESCO.
The opposition camp in parliament has been demanding action from the government on the privatization of the Kiwira coal mine, asserting that the national constitution does not grant any ex-president absolute immunity from criminal prosecution.
Debating this years (2008/09) budget estimates of the Prime Ministers Office, opposition legislators openly questioned the sale of the coal mine to TANPOWER Resources Limited, a private company jointly set up by Mkapa, Yona and immediate family members in 2004 while both were still in public office.
Several months ago, the government promised to make a formal statement to the National Assembly on the controversial privatization of the Kiwira coal mine.
However, the statement by incumbent Energy and Minerals Minister William Ngeleja has not been made to date.
About 85 per cent of shares in Kiwira Coal and Power Ltd are currently owned by TANPOWER Resources Ltd. The government currently retains just 15 per cent of shares in Kiwira.
Investigations by THISDAY have already uncovered that TANPOWER Resources swiftly assumed ownership of the previously state-owned Kiwira coal mine after being registered by then president Mkapa and senior minister Yona, with very few other people in government actually aware of what was actually going on.
According to THISDAY findings, Tanpower Resources was officially registered on December 29, 2004, and within just six months had succeeded in acquiring most of the majority shares in the renamed Kiwira Coal and Power Ltd.
Tanpower Resources was the joint brainchild of Mkapa and Yona, formed during the later stages of the third phase government when one was still serving as president of the United Republic and the other as minister for energy and minerals, respectively.
At the time of the companys establishment in 2004, its first listed directors were the then first lady Mrs Anna Mkapa; the then minister for energy and minerals Daniel Yona; Nicholas Mkapa (the president and Mrs Mkapas son); Joseph Mbuna (Nicholas Mkapas father-in-law); and Evans Mapundi.
THISDAY CORRESPONDENT
Mbeya
SCORES of workers of Kiwira Coal and Power Company Limited rallied outside the plant over the weekend to protest over delayed salary payments, blasting former President Benjamin Mkapa for his dubious involvement in the privatization of the formerly state-run mine.
Employees of the coal mine located in Mbeya Region staged a protest demonstration, seeking President Jakaya Kikwetes intervention in the matter.
They criticized the Mkapa administration in the controversial privatization of the mine in 2005, and blamed the ex-president for the current predicament facing the workers.
They carried placards with messages blasting the mines shareholders and urging the government of the day to take definitive steps to end the turmoil.
The workers said they have gone without salaries for at least five months, and accused the management of the troubled mine of ignoring their grievances.
Among other things, the workers questioned Mkapas involvement in the privatization of the coal mine, which was sold under dubious circumstances to a company formed by the ex-president and the then Minister for Energy and Minerals, Daniel Yona.
JK you are our only hope. What is Kiwiras fate? Why have you forsaken us? stated some of the placards carried by the workers.
The workers demanded a final decision on the fate of the factory, saying they were angered at the way it is being run.
They furthermore criticized shareholders for failing to make any significant capital injection and vehemently questioned the $271m (approx. 350bn/-) deal between the company and the state-owned Tanzania Electric Supply Company Limited (TANESCO).
While the 20-year contract calls for Kiwira coal mine to supply up to 200MW to the national power grid, the said loss-making company can now manage to supply just 1-2MW of electricity to TANESCO.
The opposition camp in parliament has been demanding action from the government on the privatization of the Kiwira coal mine, asserting that the national constitution does not grant any ex-president absolute immunity from criminal prosecution.
Debating this years (2008/09) budget estimates of the Prime Ministers Office, opposition legislators openly questioned the sale of the coal mine to TANPOWER Resources Limited, a private company jointly set up by Mkapa, Yona and immediate family members in 2004 while both were still in public office.
Several months ago, the government promised to make a formal statement to the National Assembly on the controversial privatization of the Kiwira coal mine.
However, the statement by incumbent Energy and Minerals Minister William Ngeleja has not been made to date.
About 85 per cent of shares in Kiwira Coal and Power Ltd are currently owned by TANPOWER Resources Ltd. The government currently retains just 15 per cent of shares in Kiwira.
Investigations by THISDAY have already uncovered that TANPOWER Resources swiftly assumed ownership of the previously state-owned Kiwira coal mine after being registered by then president Mkapa and senior minister Yona, with very few other people in government actually aware of what was actually going on.
According to THISDAY findings, Tanpower Resources was officially registered on December 29, 2004, and within just six months had succeeded in acquiring most of the majority shares in the renamed Kiwira Coal and Power Ltd.
Tanpower Resources was the joint brainchild of Mkapa and Yona, formed during the later stages of the third phase government when one was still serving as president of the United Republic and the other as minister for energy and minerals, respectively.
At the time of the companys establishment in 2004, its first listed directors were the then first lady Mrs Anna Mkapa; the then minister for energy and minerals Daniel Yona; Nicholas Mkapa (the president and Mrs Mkapas son); Joseph Mbuna (Nicholas Mkapas father-in-law); and Evans Mapundi.