Tanzania

Статус ИПДО Значимой прогресс
Joined EITI in 2009
Последние данные от года 2016
Веб-сайт EITI Tanzania
Last updated 20 December 2018

Overview

Tanzania is predominantly a mining country with both small and large-scale operations dominated by nine major mines: seven for gold and one each for diamonds and tanzanite. The government joined the EITI as part of a wider reform efforts to make the sector more competitive and maximise the benefits from mining.

The past few years have seen a big increase in exploration for gas and oil along the coast. Production of natural gas from large proven reserves has started to ease Tanzania’s chronic power shortage. However, future revenues are severely threatened the lower prices for natural gas and gold.  Furthermore, there are ongoing public debates  on whether the state receives a ‘fair share’ from its extractive deals, and how revenues are being used to the benefit of citizens.

Extractive industries contribution

  • 35 %
    to exports
  • 5 %
    to GDP
  • 1 %
    to government revenue
  • NA
    to employment

Beneficial ownership disclosure

Progress on implementing beneficial ownership disclosure

In 2015 Tanzania enacted an EITI law that requires all extractive companies in the country to disclose their beneficial owners. In preparing for beneficial ownership transparency, TEITI has also produced an inception report, reviewing the legal and institutional framework for beneficial ownership transparency. Tanzania also published an evaluation report from their participation in the beneficial ownership pilot. 

Tanzania EITI plans to organize a series of activities to review current legal and institutional framework for beneficial ownership and build the capacity of relevant stakeholders for the implementation of beneficial ownership. In February 2016, the Tanzania EITI Committee also commissioned a study for disclosing the beneficial ownership of sixty-eight extractive companies that had participated in the reporting of the 2012/13 and 2013/14 Tanzania EITI Reports. 

We are committed to the EITI process because it is aligned with our policy of promoting transparency and accountability in the management and use of our natural resources. It is critical for promoting sustainable development and poverty eradication in the country.
Jakaya Mrisho Kikwete, former President of Tanzania

Production

Tanzania is Africa’s fourth largest gold producer and accounts for 1.3% of total global production. Tanzania is also the only country in the world which produces tanzanite. Gas production is concentrated in the south in the Songo Songo and Mnazi bay fields.

Natural resources

Tanzania is a mineral-rich country with resources such as gold, diamonds, tanzanite and coal. Tanzanian soil also contains iron ore, base metals, uranium and gemstones. Recent oil and gas exploration activities have proved that there are offshore gas reserves in the south of the country. So far, no crude oil discovery has been made.

CommodityReservesUnitSignificance
Gas57trillion cubic feet
Gold1,600qmetric tons
Diamonds
Tanzanite

Revenue collection

The extractive industries contribute approximately 1% of total government revenue in Tanzania. Extractive sector revenues has declined in the last years, with USD 228 million having been collected in fiscal year 2015/16, down from USD 754 million in 2014/15. Mineral royalty was the largest revenue stream in fiscal year 2015/2016 (36% of government revenues from extractives), while corporation tax was the second largest contributer (29%).

Initializing chart.

Reconciled revenues by company (Top 5 companies)

Revenue allocation

The Budget Act of 2015 mandates revenue transfers between national and national sub-national entities. It also provides provisions for auditing expenditures. In Tanzania, transfers of extractive revenues to sub-national entities are not made separately from other revenues. Revenues from all sources are put in a consolidated account from which the government provides allocations to spending entities including subnational levels of government. 

Social and economic contribution

The extractive industry contribution to total GDP was 4.8% in 2016. t is estimated that 1.4% of GDP is accounted for by the extractive informal sector. Overall, the extractive sector contributes less than 1% of the formal employment in Tanzania. In 2016, large-scale mining operations employed 6501 people (Tanzania EITI 2015/2016 Report).

 

 

Innovations

The EITI encourages multi-stakeholder groups to explore innovative approaches to make the EITI more relevant and useful.

Implementation

Tanzania EITI (TEITI) aims to maximise the monetary, social, and environmental value of mining and more recently gas, by deepening extractives transparency and improving revenue collection. TEITI is encouraging the government and companies operating in the extractive sector to establish an open contract and license registry. The MSG is also considering to include the forestry sector in the scope of EITI Reports, as the sector contributes significantly to the national economy.

Read more in Tanzania EITI's 2016 Annual Progress Report »

Governance

On 17 November 2009, the Deputy Minister of Energy and Minerals officially inaugurated Tanzania’s EITI Multi-Stakeholder Working Group. The Working Group consists of five members each from government, companies, and civil society. The Chair of the Working Group is Judge Mark Bomani. A dedicated EITI law was passed in August 2015 which institutionalises the role of the Multi-Stakeholder Working Group and legally enforces timely and accurate reporting by companies and government agencies covered by EITI Reports.

Timeline

 

Validation

Tanzania's Validation against the 2016 Standard commenced on 1 January 2017. Tanzania was found to have achieved meaningful progress in implementing the EITI Standard in October 2017.

Tanzania's progress by requirement

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