Tanzania, China seal 532km gas pipeline deal; GVT contemplating steps to take after Dowans ruling


JF-Expert Member
Aug 2, 2010


30th September 2011

Two gas processing plants generating 3900MW also expected to be constructed
Government contemplating steps to take after court ruling on award to Dowans


Energy and Minerals minister William Ngeleja briefs journalists in Dar es Salaam yesterday on plans to generate 3,900 MW using natural gas. To his right is the ministry's permanent secretary, Eliakim Maswi.

Tanzania and China have signed a USD1.0 billion agreement for the construction of a 532-km gas pipeline from Mnazi Bay and Songo Songo to Dar es Salaam in efforts to ease power shortage in the country.

The pact also involves the construction of two gas processing plants able to generate 3,900 megawatts.

Energy and Minerals minister William Ngeleja told journalists in Dar es Salaam yesterday that the contract was signed in Beijing on Tuesday after the government of Tanzania convinced China's Exim Bank to provide it with a soft loan.

He said Tanzania will contribute one-tenth of the total cost, with the Chinese government covering the remaining 90 per cent, adding that implementation of the Engineering, Procurement and Construction (EPC) pact envisages increased production of gas to be used in generating power in the country.

According to the minister, the project will be implemented in two phases – the first involving the construction of a 24-inch gas cylinder for the 25km from Songo Songo Island to Somanga Fungu in Kilwa District and a 36-inch gas pipeline for the 207 km from Somanga Fungu to Dar es Salaam.

He said the second phase would meanwhile entail the construction of a 36-inch gas pipeline for the 285km from Mnazi Bay to Somanga Fungu.

He noted that preparations for the implementation of the project would start in the second week of next month, with experts from the China Petroleum Technology and Development Corporation (CPTDC) conducting a feasibility study.

"Experts from (Tanzania's) Ardhi University have started carrying out Environment and Social Impact Assessment in the areas where the gas pipeline will pass. The government has already set aside 6.5bn/- for use by the Tanzania Petroleum Development Corporation (TPDC) in implementing the work, including compensating people who will be affected by the project," explained Ngeleja.

He said the project was officially scheduled for completion by March 2013 but owing to the seriousness of the power crisis facing the county, the government had requested CPTDC to speed up the construction and have the project done by December 2012.

"The completion of the project will enable the 36-inch gas cylinder to produce 784 million standard cubic feet of gas per day capable of powering 3,900 MW," he said.

He also pointed out that the new demand for power generated from natural gas is estimated to reach 1,583MW by 2015, adding that the current demand countrywide does not exceed 1,000MW.

The minister also noted that all that Tanzania currently has is a 16-inch pipeline capable of transporting 105 million standard cubic feet of gas per day.

He said that infrastructure for the project will be wholly owned by the government through TPDC.

Meanwhile, minister Ngeleja said the government is contemplating measures to take after receiving an official report on the High Court decision to register a 94bn/- award settlement applied for by Dowans Holding SA and Dowans Tanzania Limited against the Tanzania Electric Supply Company (Tanesco).

"I have just read the news in the media and I am waiting for the official report to reach my table and, as a government, we will thereafter decide what to do next," he said.

On Wednesday the High Court registered the hotly contested 94bn/- award settlement applied for by Dowans Holding SA and Dowans Tanzania Limited against Tanesco, bringing to the fore the issue of who would pay the hefty amount of money.

The High Court threw out an objection filed by Tanesco against the registration of the award. It also ordered Tanesco to pay the cost Dowans incurred on the case.


Nahisi NSSF watakuwa na mtu kwenye idara ya project ana sabotage

haiwezekani business plans za NSSF zikawa zinatekelezwa na WaChina

huu mradi wa kupanua piipeline toka songo songo nadhani mpaka akina zitto walienda Malaysia kukutana na Tenaga

leo ngeleja na wenzie wameamua kuwapa wachina....kama walivyowapa Kiwira

I smell sabotage NSSF projects dept
WHAT ABOUT THE RULING FROM THE HIGHEST COURT OF THE LAND, THE COA IN THE VALAMBHIA CASE? The TZ gvt. throughout from 1991-2003, flagrantly disregarded ALL rulings, Judgements from ALL courts in Tanzania. AND now with DOWANS ruling, they want to LOOK&READ the ruling? When in 1991, Mr. Valambhia's DECREE from the high court was sitting on the desk of every minister, still it was blatantly ignored and his legal entitlement was basically "given" to his other partner who lost the case> WHY? Over twenty years, rulings, judgements from the highest court of Tanzania, IGNORED!!!! For what? TO incur costs on a case already determined by the highest court of land, the costs of the case are almost the same as the monetary award for Dowans.
When Mr. Valambhia was shouting at the top of his lungs that his money was being stolen by those few&mighty, he was right!!! Still, NO one did anything. WHEN he was shouting that there was a DAYLITE robbery going on at the BoT, he was right!!!
In 2003, the COA gave a final/conclusive ruling on the Valambhia case, that no more appeals were allowed in this case, and the gvt. should obey the rule of law of the country. What happened? Within a couple of months of this landmark ruling, the former AG, Chenge, who always threw Mr. Valambhia in the courts, threw him back in the courts on an issue that is considered as in the late Mr. Maira's words,"res judicata". Interesting how this "travesty" of Justice was done and "who" were involved to proceed with a rerun of this so called res judicata case with a Time Barred Judgement, & continue with their "legally faulty ruling", a team effort!!!
In the late Mr. Maira's words, Mr. Valambhia's advocate, everything is "invalid" in the so called case.
(The issue was already determined and there exists a Judgement which no one miraculously can locate.)
After the sudden and untimely death of Mr. Valambhia in 2005, the case still languishes at the High court today as a special project of few TZ officials and their friends. AND there is more to this saga. HOW, WHO, WHEN this was done!!!!
(article titled "Chenge faces imprisonment" by Timothy Kahoho, IPP media, October 2003)
In perspective: The case is an open draft at the BoT. The ppl involved in it refer to it as a "war of attrition" never ending, a forever open draft. Everyday the so called project of few TZ officials &their friends continues, money comes out of BoT flows into project gang's pockets. The most expensive case in the history of Tanzania, the Valambhia case, with unprecedented rulings, judgements, all ignored in favor to continue case--where certain lawyers got paid astronomical figures...to the point that "legal" fees surpassed the decretal amount owed to Mr. Valambhia.
WHO BENEFITTED&CONTINUES TO BENEFIT TODAY? Not Mr. Valambhia, for he died in complete financial destitution. Neither the people of Tanzania for the case is incurring losses to the public each day its languishing in the courts. AND not the country itself, for it could be said reading about the case, that the sovereignity of this country was/is flagrantly abused by those claiming to protect it!!
If Mr. Valambhia even inhaled a breath of fresh air, Chenge & others threw him back inside the courts on spurious charges. Every single day of his life in Tanzania was spent in ALL 3 courts of Tanzania. NOT one but 3 courts. Cases were just thrown at him.
For WHAT???? Because a few individuals tremendously BENEFITTED from the stealing of an individual's lawful, legal right. They still continue to benefit today from the case, as in the words of one senior BoT official "there is no case, its their "cash generating machine and no one cares to stop it". A so called "case" on a dead man who is silenced forever!!!& NOW they can accomplish their mission on a dead man.

(In free air breathing Tanzania, Mr. Valambhia was never a free man, his life was under constant threat. ALL they wanted was for him to surrender his lawful, legal right to certain interested individuals.)

(REVEALED: The most expensive legal suit in Dar's history" by Richard Mgamba, June 2009-article is suppressed by gvt. The newspaper should re-release this article to inform the Tanzanian public what really is going on-the TZ public have a right to KNOW)

(JUSTICE DENIED to a man WHO believed that one day the LAW will have a VOICE and rise against the few DECADENT elements in the Tanzania government. In fact, JUSTICE DENIED TO VALAMBHIA is a cash cow for the few individuals in TZ gvt. & incurring LOSSES in the millions to the TZ taxpayer!)
In a country where the founder of the nation VALUED human rights and JUSTICE above all, to have witnessed the senseless abuse of RULE OF LAW and the STEALING of a person's lawful, legal entitlement.
(Article: "Dar Officials Abetting Money Laundering" by F. Rwambali, appeared in the East African on Monday, April 29, 2002)

Mwalimu Nyerere used to say corruption was the enemy of JUSTICE and in the Valambhia case his words have come to be the TRUTH!



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Nahisi NSSF watakuwa na mtu kwenye idara ya project ana sabotage

haiwezekani business plans za NSSF zikawa zinatekelezwa na WaChina
Jamani acheni kuongelea upupu hapa hawa NSSF hawakuwahi kuandika chochote kuhusu bomba pili Nssf hawana utaalamu wa aina yoyote
huu mradi wa kupanua piipeline toka songo songo nadhani mpaka akina zitto walienda Malaysia kukutana na Tenaga

leo ngeleja na wenzie wameamua kuwapa wachina....kama walivyowapa Kiwira

I smell sabotage NSSF projects dept

NSSF nao wamezidi sasa sio siri hawezi kuujingiza kwenye miradi ambayo asimia mia moja hawana utaalamu nayo acheni kutetea upuuzi hapa
Ili kuthibitisha mnacho kisema onyesheni hiyo business plan hapa
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