The companies involved in the extractive sectors of minerals, oil, and natural gas in Tanzania contributed more than TZS 1.8 trillion (US$ 660.5) to government agencies in 2022.
The announcement was made by the Minister of Minerals, Hon. Anthony Mavunde, during the launch of the 14th report from the Extractive Industries Transparency Initiative (TEITI) for the 2021/22 financial year.
The report provides contextual information on the mining, oil, and natural gas sectors in Tanzania, including recent developments in the sectors. Also, it identifies Government agencies that collected payments from the extractive companies, describes payment flows, and reports payments made.
Minister Mavunde emphasized the report’s insights into the contributions of these sectors to the community and urged development stakeholders to utilize the data in discussions, workshops, and various forums related to national development, particularly in the relevant sectors.
The report presents a comparative analysis of revenues from 44 companies, including 26 mining companies, 7 natural gas firms, and 11 service providers throughout the entire value chain of minerals, oil, and gas.
In discussing the success of the Community Engagement Program in service provision within the mining sector, Minister Mavunde noted that for the 2023/24 fiscal year, 3.1 trillion shillings were allocated for the procurement of goods and service delivery in the mining sector.
Dr. Mathayo David Mathayo, Chair of the Parliamentary Committee on Energy and Minerals, praised the TEITI for its commendable work in prioritizing transparency and accountability regarding revenues generated from minerals, oil, and gas for the benefit of the nation.
Deputy Secretary-General Msafiri Mbibo also commended TEITI as an autonomous institution addressing extractive issues, stating that its reports answer various questions from the public and stakeholders concerning the sector.
Earlier, Ludovick Utouh, Chair of the TEITI Committee, discussed the progress and achievements of reporting, noting that in November 2023, the EITI Board indicated that Tanzania had achieved a third-level ranking in meeting international standards set by the EITI.
Utouh added that in the EITI assessment for 2019, TEITI achieved a score of 82.5% for stakeholder engagement and 73.5% for transparency.
Mariam Mgaya, Acting Executive Secretary of TEITI, outlined the organization’s responsibilities, highlighting its key role in verifying and presenting reports on corporate accountability in revenue and tax payments by extractive companies in Tanzania’s mining, oil, and gas sectors.
Tanzania Mining Revenues
The TEITI’s Report indicates that in the financial year 2021/22, Tanzania realized a total minerals production worth TZS 8,733,734,873,702.51 higher than TZS 8,189,646,117,014.64 recorded in 2020/21.
The mining and quarrying sector, including natural gas, experienced growth in the fiscal year 2022, contributing 9.1% to GDP, up from 7.3% in 2021.
The highest production values were derived from gold, followed by coal, copper concentrates, gold from medium-scale mining, and building materials.