AVAILABILITY OF FUEL IN THE COUNTRY IMPROVING – DR. BITEKO

Hon. Dr. Doto Biteko, Deputy Prime Minister and Minister for Energy, has stated that the availability of fuel in the country continues to improve, and that the oil trade has remained transparent due to increased competition in the sector.

Dr. Biteko made these remarks during the launch of EWURA’s Energy Sector Development Reports (covering electricity, petroleum, and natural gas) at a ceremony held in Dodoma.

He expressed satisfaction with the cooperation received from oil companies, noting that this collaboration aims to ensure that citizens have access to petroleum products at affordable and reliable prices.

Dr. Biteko also warned that no one should attempt to disrupt or sabotage the Bulk Procurement System for oil imports, as it is this system that has led to the current improvements in fuel availability.

He added that the improvement in fuel availability is also a result of efforts to encourage local investors to build fuel stations in small towns and rural areas to widen the distribution network.

Earlier, the Director General of the Energy and Water Utilities Regulatory Authority (EWURA), Dr. James Andilile, said the oil sector has continued to strengthen due to sufficient competition brought about by the large number of participants in fuel import tenders.

Dr. Andilile noted that despite challenges arising from global political dynamics and changes in U.S. economic policies, Tanzania, under the coordination of PBPA, has managed to maintain a continuous supply of fuel.

He further stated that the launch of these reports is a legal requirement, and that a similar report has already been published for the water sector.

The report indicates that the importation of key petroleum products increased by 12.1%. This growth in imports is mainly attributed to economic growth, considering that the country’s Gross Domestic Product (GDP) stood at 5.1% in 2023 and is projected to increase to 5.7% in 2024.

Domestic imports increased by 10.9%, while transit imports rose by 13.1%. The increase in transit imports is linked to probable economic growth in neighboring countries and greater use of the Dar es Salaam and Tanga ports for transit cargo.

Imports for the domestic market increased by 10.19%, while imports for neighboring countries rose by 13.1%. The increase in fuel exports to neighboring countries is attributed to increased use of Tanzania’s routes through the Dar es Salaam and Tanga ports.

Additionally, the report states that in the fiscal year 2023/2024, PBPA announced a total of 116 fuel import tenders—an increase of 9 tenders compared to 107 tenders in 2022/2023. This increase in the number of tenders has been driven by the rising demand for fuel both within the country and from neighboring countries that use Tanzania’s ports.