The Zanzibar state-owned fuel and water regulatory authority (ZURA) and Dar es Salaam-based GULF Bulk Petroleum Tanzania Limited (GBP) have reached an agreement on importing petroleum products in bulk.
Last year, the government transformed the system to pave the way for a single company to have the right to import petroleum products in Zanzibar instead of the old system where each company was the right to import fuel.
This is the first time the company has been granted the right to import oil in Zanzibar since its inception in 2012.
The Revolutionary Government of Zanzibar (SMZ) has signed a contract for the importation of petroleum, diesel, kerosene and jet fuel Zanzibar and GBP Tanzania Limited of Dar es Salaam to reduce the challenge of access to such energy.
Speaking at the event, the Minister of Water, Energy and Minerals, Suleiman Masoud Makame, said the agreement was based on a tender process undertaken to secure a company that would supply fuel in bulk.
He said the move came after the government noticed that the system reduce the shortage of fuel which was hitting Zanzibar repeatedly.
The Minister said the agreement was based on the company’s ability and willingness to ensure oil products were available at all times.
“We had a system for every oil company to import as much oil as he could, but the government has seen fit to find one importer to bring petroleum products in bulks,” he said.
He said it was the government’s expectation that the system will address the existing challenges facing the sector.
He commended the company for agreeing to work with Zanzibar and promised that the government will provide all kinds of cooperation.
GBP’s Legal Manager, Bilal Juma Bilal, commended the government for trusting the company as they are committed to ensuring it delivers its responsibility to serve the Isle’s fuel consumption.
He also commended ZURA for closely working together until they reached the agreement.
The deal is likely to help alleviate the problem of rising monthly fuel prices, which is a huge burden on fuel consumers.
In August 2019 the government purchased a new oil tanker Mv Mkombozi II cost Sh36billion.
The tanker was purchased to address the frequent fuel shortages facing Zanzibar.
Zanzibar consumes more than 10 million liters of fuel per month.
The Zanzibar state-owned fuel and water regulatory authority (ZURA) and Dar es Salaam-based GULF Bulk Petroleum Tanzania Limited (GBP) have reached an agreement on importing petroleum products in bulk.
Last year, the government transformed the system to pave the way for a single company to have the right to import petroleum products in Zanzibar instead of the old system where each company was the right to import fuel.
This is the first time the company has been granted the right to import oil in Zanzibar since its inception in 2012.
The Revolutionary Government of Zanzibar (SMZ) has signed a contract for the importation of petroleum, diesel, kerosene and jet fuel Zanzibar and GBP Tanzania Limited of Dar es Salaam to reduce the challenge of access to such energy.
Speaking at the event, the Minister of Water, Energy and Minerals, Suleiman Masoud Makame, said the agreement was based on a tender process undertaken to secure a company that would supply fuel in bulk.
He said the move came after the government noticed that the system reduce the shortage of fuel which was hitting Zanzibar repeatedly.
The Minister said the agreement was based on the company’s ability and willingness to ensure oil products were available at all times.
“We had a system for every oil company to import as much oil as he could, but the government has seen fit to find one importer to bring petroleum products in bulks,” he said.
He said it was the government’s expectation that the system will address the existing challenges facing the sector.
He commended the company for agreeing to work with Zanzibar and promised that the government will provide all kinds of cooperation.
GBP’s Legal Manager, Bilal Juma Bilal, commended the government for trusting the company as they are committed to ensuring it delivers its responsibility to serve the Isle’s fuel consumption.
He also commended ZURA for closely working together until they reached the agreement.
The deal is likely to help alleviate the problem of rising monthly fuel prices, which is a huge burden on fuel consumers.
In August 2019 the government purchased a new oil tanker Mv Mkombozi II cost Sh36billion.
The tanker was purchased to address the frequent fuel shortages facing Zanzibar.
Zanzibar consumes more than 10 million liters of fuel per month.
