OIL and Gas Local content regulations will come into
effect in November this year, the government has said.
National Economic Empowerment Council (NEEC) acting
Director of Local Content Esther Mmbaga said in Dar es Salaam that both the
policy and law are in place and the government is only finalising the
regulations.
Speaking to the 'Daily News' on the sidelines of the
first oil and gas annual congress, Ms Mmbaga said a lot of work will be needed
to build local capacity skills for effective participation in the new oil and
gas sector.
"The government will work closely with investors to
ensure successful implementation of local content in the country," she
said.
Ms Mmbaga explained that investors will need to provide
information on what they need in terms of skills, products and services and,
NEEC in collaboration with training institutions, will provide Tanzanians with
the required training to attain the needed international standards.
Currently, the government is conducting a baseline study
to identify the competence of Tanzanians to participate to the oil and gas
sector before coming up with short and long-term plans to bridge the gap of
capacity and skills.
"The law requires that Tanzanians be given priority
in employment opportunities in the sector, in terms of providing services and
direct jobs. But, this will only be achieved if we have skilled and capable Tanzanians,"
she explained.
The director noted that in case of skill deficiency in
the country, the contracted foreign companies would be required to get into
joint venture with Tanzanian companies, "the idea is to transfer
technology and skills to local Tanzanians."
During discussions, the Country Chairman of PanAfrican
Energy Tanzania Ltd, Mr Patrick Rutabanzibwa said the local content regulations
are in the interest of Tanzania and investors, offering a viable way to
maximize profits from the industry.
"Consultation with all stakeholders on the issue of
local content is key to successful implementation and maximising profit,"
he explained.
Ponticelli Group Business Development Director Vicent
Ladougne said local content is beneficial for both the country and investors in
terms of increasing local employment and maximising profits.
Mr Ladougne whose group is in construction across Africa
said employment of citizens from the countries in which construction works are
executed is inevitable.
"The local content has always been our priority in
all the countries we work in. Our aim is to minimise costs of bringing in
experts, we maximise local employees through training," he explained.
He added: "Our biggest achievement is training
thousands of locals in areas that we need, this way we cut down on costs of
bringing in foreign experts."
Energy and Water Utilities Regulatory Authority (EWURA)
Gas distribution manager, Mr Thobias Rwelamila assured investors that whatever
is done, the government will collaborate with all stakeholders.
Source: allAfrica