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JF-Expert Member
- May 10, 2012
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Kigoma North Member of Parliament (MP), who is also the shadow Minister for Finance, Mr Zitto Kabwe said in an opinion paper to congratulate the decision by the Minister for Energy and Minerals, Professor Sospeter Muhongo, to delay the fourth licensing round which was due to be held in Houston, Texas on Thursday this week.
Mr Kabwe said it's a travesty that the government should continue giving multinational corporations oil and gas extraction licences while there is no competent policy or legislation to guide such a process. In his opinion paper, Mr Kabwe said that delaying of the licensing round alone is not enough."We are now informed that the licensing round has been delayed. This is not enough and more work needs to be done. The Fourth Licensing Round
The Chairman of the Parliamentary Public Organisation Accounts Committee (POAC),Mr Zitto Kabwe (Kigoma North – Chadema)
should be put on hold and postponed for ten years.
"In this, we echo the demand of Parliament's Energy and Minerals Committee earlier this year (April 2012, Annual Report of the Committee) and the concerns of other informed citizens," he wrote.
He said that Tanzania is on the precipice of an economic evolution with the recent discoveries of gas with confirmed reserves of 43 Trillion Cubic feet (TCF), roughly valued at 430 billion US dollars. He said that the country's nascent oil and gas industry is set to expand greatly with the upcoming Fourth Licensing Round, which, according to Minister Sospeter Muhongo, is scheduled to be launched in Houston, Texas on September 13.
"It is very unfortunate that the recommendation to postpone the licensing round, supported by a Parliamentary Committee on Public Investments (POAC) and approved by a Parliamentary resolution, was largely ignored by the Ministry and TPDC," the Chadema legislator argued.Asked to comment on Kabwe's suggestions for a decade long delay in licensing oil and gas companies, Prof Muhongo replied via a text message, saying that he is away on official business.Recent discoveries in natural gas mainly along the Indian Ocean coastline, has attracted many multinational corporations including Brazil's Petrobas, Norway's Stateoil, British Gas which is in the process of buying Ophir Energy's stake and ExxonMobil of the US
Mr Kabwe said it's a travesty that the government should continue giving multinational corporations oil and gas extraction licences while there is no competent policy or legislation to guide such a process. In his opinion paper, Mr Kabwe said that delaying of the licensing round alone is not enough."We are now informed that the licensing round has been delayed. This is not enough and more work needs to be done. The Fourth Licensing Round
The Chairman of the Parliamentary Public Organisation Accounts Committee (POAC),Mr Zitto Kabwe (Kigoma North – Chadema)
"In this, we echo the demand of Parliament's Energy and Minerals Committee earlier this year (April 2012, Annual Report of the Committee) and the concerns of other informed citizens," he wrote.
He said that Tanzania is on the precipice of an economic evolution with the recent discoveries of gas with confirmed reserves of 43 Trillion Cubic feet (TCF), roughly valued at 430 billion US dollars. He said that the country's nascent oil and gas industry is set to expand greatly with the upcoming Fourth Licensing Round, which, according to Minister Sospeter Muhongo, is scheduled to be launched in Houston, Texas on September 13.
"It is very unfortunate that the recommendation to postpone the licensing round, supported by a Parliamentary Committee on Public Investments (POAC) and approved by a Parliamentary resolution, was largely ignored by the Ministry and TPDC," the Chadema legislator argued.Asked to comment on Kabwe's suggestions for a decade long delay in licensing oil and gas companies, Prof Muhongo replied via a text message, saying that he is away on official business.Recent discoveries in natural gas mainly along the Indian Ocean coastline, has attracted many multinational corporations including Brazil's Petrobas, Norway's Stateoil, British Gas which is in the process of buying Ophir Energy's stake and ExxonMobil of the US