LAWS, INSTITUTIONS AND THE CHALLENGES OF GOOD …_INSTITUTIONS... · LAWS, INSTITUTIONS AND THE CHALLENGES OF GOOD GEVERNANCE IN TANZANIA By Eng. PAUL M. MASANJA CEO –TMAA, TANZANIA

THE UNITED REPUBLIC OF TANZANIA

LAWS, INSTITUTIONS AND THE CHALLENGES OF GOOD GEVERNANCE IN TANZANIA

By Eng. PAUL M. MASANJACEO – TMAA, TANZANIA

Presented at: The International Conference on Public-Private Partnershipsfor Sustainable Development: Toward a Framework for Resource Extraction Industries.

Montreal, Canada29th – 31st March, 2012

An Overview of the Mineral Sector in Tanzania

Relevant Policies and Laws

Salient Features of the Mining Act, 2010

Mining Regulations

National Level Regulatory Institutions

Good Governance

Mining for Sustainable Development in Tanzania

Public-Private Partnership

Challenges in Bringing Sustainable Development in Mining

Conclusion and Recommendations

Some Statistics

OUTLINE

MINERAL OCCURRENCE IN TANZANIA

MINERAL SECTOR OVERVIEW

North Mara

Geita

Bulyanhulu

Buzwagi

Golden Pride

Tulawaka

Kabanga

TanzaniteOne

Liganga

Mchuchuma

Shanta Chunya

Williamson

MINING PERFORMANCE (1997 Vs 2010)

MINERAL SECTOR OVERVIEW (cont’d)

1997 2010

Mineral exports (USD million) 26.66 1,508.71

Sector growth (at 2001 prices) 7.7% 10.7%

Employment in LSM - Direct

- Indirect

1,700

35,000

13,000

260,000

Government revenue from LSM (USD million) 2 78

Contribution to the GDP (at 2001 prices) 1.4% 2.7%

Foreign Direct Investment (USD billion) 1.3 > 2.5

Small Scale Miners < 20,000 > 600,000

APPLICABLE POLICIES AND LAWS TO THE MINERAL SECTOR

Policy/ Legislation Responsible Ministry or Institution

The Mineral Policy of 2009 Ministry of Energy and Minerals

The National Land Policy of 1996 Ministry of Land and Human Settlement

The National Forest Policy of 1996 Ministry of Natural Resources and Tourism

The National Water Policy of 2002 Ministry of Water and Irrigation

The Sustainable Industrial

Development Policy of 1996

Ministry of Industry and Trade

The Mining Act of 2010 Ministry of Energy and Minerals

The Tanzania Investment Act of

1997

Prime Minister’s Office, Planning Commission

& Ministry of Finance and Economic Affairs.

The Environmental Management

Act of 2004

Vice President’s Office, Division of

Environment

Applicable Policies and Laws to the Mineral Sector


The Income Tax Act of 2004 Tanzania Revenue Authority

The Finance Act of 2005 Ministry of Finance and Economic Affairs.

The Water Utilization and

Control Act of 1974

Ministry of Water and Irrigation.

The Forest Act of 2002 Ministry of Natural Resources and Tourism.

The Occupational Health and

Safety Act of 2003

Ministry of Labour, Employment and Youth

Development & Ministry of Health and Social

Welfare

The Employment and Labour

Relations Act of 2004

Ministry of Labour, Employment and Youth

Development.

The National Economic

Empowerment Act of 2004

Prime Minister’s Office, Planning Commission.

The Land Act of 1999 Ministry of Land and Human Settlement

Applicable Policies and Laws to the Mineral Sector


The Village Land Act of 1999 Ministry of Land and Human Settlement

The Land Use Planning

Commissions Act of 1984

Ministry of Land and Human Settlement

The Wildlife Conservation Act of

1974

Ministry of Natural Resources and Tourism

The Explosives Act of 1963 Ministry of Energy and Minerals

The Fisheries Act of 1974 Ministry of Livestock and Fisheries

Development

The Beekeeping Act of 2002 Ministry of Livestock and Fisheries

Development


Mineral Rights for small scale operations (involving initial Capex ofless than USD 100,000) - reserved exclusively to TanzanianCitizens and Corporate Bodies under the exclusive control ofTanzania Citizens.

Licenses to mine gemstones to be granted to Tanzanians, exceptfor cases where skills, technology or huge capital is required todevelop the ore body. However, participation of a foreign investorwould have to be below 50%.

Having a Standard Mineral Development Agreement (MDA). MDAssigned only for projects with initial Capex exceeding USD 100million.

MDAs to be reviewed every 5 years.

Government may negotiate with holder of Mineral Right to acquirefree-carried interest and state participation in mining dependingon the type of minerals and the level of investment.


Royalty is now charged on the gross value of minerals, rather thannet back value as before. Royalty rates are as follows: precious andbase metals - 4%; diamonds and gemstones 5%; Uranium 5%;other minerals 3%.

Prospecting Licenses (PLs) - granted for a period of 3 years; ateach renewal at least 50% of the area is relinquished.

Expired or relinquished areas under PLs to be held by the licensingauthority for 4 months to determine whether the area is suitablefor small scale mining.

Duration of Special Mining Licence is capped at the expected life ofthe ore body indicated in the feasibility study or such period as theapplicant may request, or whichever period is shorter.


Mining entities are obliged to give preference to local procurementof goods and services .

Mining entities are required to provide for the posting of arehabilitation bond to finance the costs of rehabilitating andmaking safe the mining area on termination of mining operations.

Requirement for implementation of plan on compensation,relocation and resettlement of the owners or occupiers of the landbefore commencement of mining operations.

Requirement for listing with a domestic stock exchange.

MINING REGULATIONS

Six Mining Regulations have been established under the MiningAct of 2010 to regulate mining activities in the country. Theseare:

1. The Mining (Environmental Protection for Small Scale Mining)Regulations, 2010

2. The Mining (Mineral Beneficiation) Regulations, 2010

3. The Mining (Mineral Rights) Regulations, 2010

4. The Mining (Mineral Trading) Regulations, 2010

5. The Mining (Radioactive Minerals) Regulations, 2010

6. The Mining (Safety Occupational Health and EnvironmentalProtection) Regulations, 2010

NATIONAL LEVEL REGULATORY INSTITUTIONS

Institution Role and Responsibility

Ministry of

Energy and

Minerals

Issuing mineral rights

Enforcing laws and regulations for mining and protectionof environment, environmental monitoring and auditing

Mining conflict resolutions

Coordinating CSR initiatives

Vice

President’s

Office

(Division of

Environment)

Responsible for the development of policy options andcoordination of broad-based environment programmesand projects.

Facilitating meaningful involvement of civil society inenvironment activities.

Conducting environment research

Responsible for environment planning, monitoring andcoordination at a national and international level.



Ministry of Water and Irrigation

Enforce laws and regulations for water quality.

Issuance and regulation of water rights.

Enforce water and effluent discharge laws as perstandards.

Ministry of Lands and Human Settlements Development

Issuing of Right of Occupancy.

Land use planning.

Land valuation and compensation.

Ministry of Natural Resources and Tourism

Enforcement of laws and regulations for forestryresources management.

Issuance of permits to conduct mining operations inforest reserved areas.



National Environment Management Council (NEMC)

Conducting environment education and publicawareness.

Serves as a think-tank for the Government onenvironment matters.

Performing environmental audits in all sectors to ensurecompliance with environmental laws and regulations.

Enforcing pollution control measures.

Tanzania Revenue Authority (TRA)

Administering tax laws for the purpose of assessing,collecting and accounting for all revenue to which thoselaws apply.

Monitoring, overseeing and coordinating businessactivities and ensure fair, efficient and effectiveadministration of revenue laws.



Tanzania Revenue Authority (TRA) (cont..)

Monitoring and ensuring collection of fees, levies,charges or any other tax collected by any ministries,departments or divisions of the government asrevenue for the government.

Tanzania Minerals Audit Agency (TMAA)

Mandated to monitor and audit financial and taxrecords of mining entities, and ensuring soundenvironmental management at all mining areas forlarge, medium and small scale miners.

Tanzania Extractive Industries Transparency Initiative (TEITI)

Tanzania joined EITI on 16th February, 2009. TEITIseeks to create the missing transparency andaccountability in revenue flows from the extractiveindustry.

NATIONAL LEVEL REGULATORY INSTITUTIONS & NGOs


Tanzania Extractive Industries Transparency Initiative (TEITI)

TEITI produced its first report on 11th February, 2011.Major finding in that first report was difference of TZS46.5 billion between revenues confirmed to have beenreceived by the Government from mining entities andpayments reported by mining entities. This figure isequivalent to USD 36 million.

Further reconciliation done recently by a consultant(BDO) on revenue received by the Government frommining entities cut down the un-reconciled figure toUSD 376,000 only.

NGOs National watchdog – initiating dialogue on nationaleconomic, social and environment concern’s amongstakeholders.

ACTORS IN THE REGULATED AREAS

Area Main Actors (Government Ministries and Institutions)

Economic Ministry of Energy and Minerals;

Ministry of Finance and Economic Affairs;

Tanzania Revenue Authority;

Bank of Tanzania;

Tanzania Minerals Audit Agency;

Tanzania Investment Center; and

Planning Commission.

Environment Vice President’s Office – Division of Environment;

Ministry of Energy and Minerals;

National Environment Management Council; and

Tanzania Minerals Audit Agency.

Area Main Actors (Government Ministries and Institutions)

Social Ministry of Energy and Minerals;

Ministry of Community Development, Gender andChildren; and

Ministry of Health and Social Welfare.

ACTORS IN THE REGULATED AREAS (Cont..)

GOOD GOVERNANCE

Characteristics of good governance are:

Rule of law;

Participation;

Transparency;

Responsiveness;

Consensus-oriented;

Accountability;

Equity and inclusiveness; and

Effectiveness and efficiency.

GOOD GOVERNANCE

2011 Assessment of African Governance by Mo Ibrahim Foundation

Tanzania was ranked 13th out of 53 countries for governance quality.

Tanzania was ranked 2nd out of 12 countries in East Africa.

Category Tanzania Score Africa Average Score

Rule of Law 55% 48%

Accountability 47% 43%

Human Rights 60% 45%

Participation 58% 42%

Tanzania was ranked 100th out of 180 countries surveyed in 2011 as perGlobal Corruption Index. Tanzania scored 3, where 0 is perceived ashighly corrupt and 10 as very clean.

GOOD GOVERNANCE

2012 Annual ranking of countries in terms of political risks formining investment – by Behre Dolbear

Tanzania has been ranked 4th in Africa after scoring 32 pointsout of 70.

Botswana has been ranked 1st after scoring 37 points. The otherhighly ranked African countries are Ghana (36 points) andNamibia (33 points).

Zambia scored 26 points; and South Africa scored 25 points.

Australia is the highly ranked country in the world with 57points.

Criteria used are: economic system, political system, degree ofsocial issues affecting mining, delays in receiving permits,degree of corruption, stability of the country’s currency, andcompetitiveness of the nation’s tax policy.

MINING FOR SUSTAINABLE DEVELOPMENT IN TANZANIA

Sustainable Development (SD) is defined as development that meetsthe needs of the present without compromising the ability of futuregenerations to meet their own needs. (World Commission on Environmentand Development – the Brundtland Commission).

Mining in Tanzania, like in any other country, faces the most difficultsustainability challenges than other industries. In order for miningprojects to secure social licence to operate, the industry has to respond tosuch challenges by engaging its many different stakeholders.

Sustainable development challenges in mining can be grouped into 3pillars – Economic, Environment and Social.


SD Pillar Issues Key Stakeholders

Economic Distribution of revenues;

Contribution of mining to GDP;

Employment; Procurement; Value

addition

Government, Local Authorities, Local

Communities, Employees, Trade Unions,

Contractors, Customers, Shareholders,

Insurers, Media, Suppliers, Creditors,

NGOs.

Environment Land use, land management,

rehabilitation, solid waste

management, water management

(effluents and leachates), air

pollution, global warming and

other environmental impacts of

mining.


Communities, Employees, Shareholders,

Insurers, Media, Creditors, NGOs.

Social Employment opportunities,

education and skills development,

human rights, wealth distribution,

corruption, OHS matters.


Communities, Employees, Trade Unions,

Insurers, Media, NGOs.


Sustainable Development in mining as per the 3 pillars(economic, environment, social) calls for:

Win for the Investor;

Win for the Government; and

Win for the Community

(WIN – WIN - WIN)

PUBLIC PRIVATE PARTNERSHIP (PPP)

In Tanzania, PPP is governed by the Public-Private Partnership Act, No 18 of 2010 andits Regulations made under Section 28 of the Act.

The Act aims at promoting private sector participation in the provision of publicservices through public-private partnership projects in terms of investment capital,managerial skills and technology.

Table 1: Some PPP Projects in the Extractive Industries in Tanzania

Company Project Focus

DeBeers Ltd (Initiated in 2006)

Mwadui Community

Diamond Partnership

(MCDP) with the following

partners: DeBeers,

Williamson Diamond Limited,

and the United Republic of

Tanzania represented at

national, regional, district

and local levels.

Its overarching goal is to alleviate poverty and

improve the health and wellbeing of small scale

informal diamond mining communities around

the Williamson mine at Mwadui.

The project focuses on capacity building and

technical support to the small scale miners in

the area; facilitating mobile community

banking at local level; addressing HIV/AIDS

and malaria prevention and management.


Gulf Resources Ltd (Initiated in 2008)

MSP Project Determining potential of a public-private partnership for the

development, modernization and expansion of the Mtwara Sea

Port, regulating the associated Export Processing Zones and

Free Port facility (“the MSP Project”). The MSP Project forms

part of the major Mtwara Infrastructure Corridor Development

Initiative.

African Barrick Gold (ABG)

Various PPP

Projects

Barrick injected USD 28 million in 2007 into the national rural

electrification programme in the form of public-private

partnership. The project was aimed at extending electric poles

all the way to the remote Tarime District, Mara Region,

eventually integrating the area into the national power grid.

The company collaborated with the Government through

Tanzania Electric Supply Company (TANESCO).

Barrick invested $500,000 in a partnership with TANESCO to

bring electricity to the community of Kakola and surrounding

areas near Bulyanhulu Gold Mine.




Various PPP

Projects

Barrick established the Lake Zone Health Initiative, a public-

private partnership project aimed at combating HIV/AIDS,

malaria and tuberculosis in the Lake Zone. Tanzania’s Lake

Zone is home to nine million residents.

Barrick partnered with NGO Bridge2AID and the Tanzanian

Government to increase access to emergency dentistry in rural

areas in the country.

Barrick launched Maendeleo Fund in 2011 which will have a

USD 10 million annual budget to fund projects that improve

the quality of life in communities where ABG operates.

Investments under this project will focus on community

development, health, education, environment, water projects,

skills and training programs, and support to NGOs.




Various PPP

Projects

ABG signed an agreement early this year with the seven

villages surrounding the North Mara Gold Mine to invest

USD 8.5 million over the next three years in improving the

quality of life in the communities around. The money will be

spent on provision of clean water, development of school

infrastructure, upgrading of a local health centre to a

hospital, rehabilitating village offices, improving road

infrastructure, extension of overhead electricity lines and

collection of garbage. The villages to benefit from this

project are Nyang’oto, Kewanja, Matongo, Kerende, Genkuru,

Nyamwaga and Nyakunguru.

Anglo-Gold Ashanti at GGM

Kilimanjaro

Challenge

Project and

other PPP

projects

Project initiated by the mining company in 2002 aimed at

fighting HIV/AIDS in the country. The company has been

organizing annual climbs of Mt Kilimanjaro to raise money

for HIV/AIDS initiatives.

The company spent over USD 10 million from year 2000 to

2011 on CSR projects.



TanzaniteOneLtd

Merelani Controlled

Area Project

To control smuggling of Tanzanite from the area and

create value addition within the mining area.

Naisinyai Secondary

School Construction

Project

To enhance literacy level and participation in

MKUKUTA strategy.

Small Mine Assistance

Program

To provide geological, mining, survey, safety,

logistical, operational and other guidance and

support to small scale mines with the aim of building

and developing the entire Tanzanite mining industry

and sound stakeholder relations.

Free Carried Government Interest

Requirement as per

Section 10 of the

Mining Act, 2010

The level of free-carried interest and state

participation in any mining operations under Special

Mining Licence is negotiated upon between the

Government and a mineral right holder depending on

the type of minerals and the level of investment.


CHALLENGES

Challenges faced in bringing in SD between extractive industries andcommunities they work in:

1. Community dissatisfaction and expectation gap:

Mining activities are normally carried out in remote areas where there is poorinfrastructure and services. This pushes hard the Government and respectivemining companies to improve them.

Each mining company has its own CSR policy. As a result, some communitiesare dissatisfied with the level of CSR projects undertaken in their areas bymining companies around them in comparison to others within the country.This calls for a common CSR Framework.

Local communities tend to compare revenue generated by mining companiesversus the amount spent on CSR projects in their areas. After realizing the gap,they become dissatisfied. This however comes out of ignorance of what themining companies spend in order to generate that revenue, which is capitalinvestment, operating expenses, taxes and royalties paid to the Governmentand payments of interest on loans.

CHALLENGES

Some communities are unhappy with most of the CSR projects implemented intheir areas in that they are not top in their priority list. They normally arguethat most of such projects are implemented for the mining company’s ownbenefits. For example, repairing roads leading to the mine site, or drawingwater pipes that mining companies themselves need.

Community development projects undertaken by mining companies aremostly on the high side during exploration and development stages of themine, but decline afterwards.

2. Inadequate linkage between the mineral sector with other sectors of the economy(finance services, transport, communication, energy, water, engineering, etc.).

3. Weak partnership between Government institutions with NGOs.

4. Inadequate coordination among Government institutions involved in theadministration of the mineral sector.

5. Inadequate human and financial resources on the side of the Government and/orlocal communities to negotiate and oversee implementation of PPP projects bymining companies.

CHALLENGES

6. Inadequate capacity of the Government to evaluate, monitor and audit fiscal andfinancial flows within the mineral sector.

7. Realizing good governance in the sector taking into consideration ideaschampioned in the IGF-MPF and the African Mining Vision.

8. Having in place effective policies for revenue management, benefits sharing, andPPP for infrastructure development.

9. Realizing economic growth at a national level through investment injection inmining, local employment, Government revenue generation (taxes, royalties, fees,etc.) and foreign exchange earnings.

10. Realizing technology transfer and infrastructure development.

11. Managing artisanal and small scale mining activities.

12. Streamlining and harmonizing policies and laws to ensure prosperity during andafter life of the mine.

13. Changing mindsets of all players in the mineral sector in order to achievesustainable development.

CONCLUSION AND RECOMMENDATIONS

Considering the long list and degree of challenges faced in bringing in SD in thecontext of mining in Tanzania, there are no exclusive actions andrecommendations to address them. However, the following actions arerecommended:

1. Keep on enhancing the capacity of the Government to regularly evaluate, monitorand audit mining operations to ensure SD of mining.

2. Keep fine tuning policies, laws, regulations and strategies to ensure a win-win-winsituation between the investor, Government and local communities surroundingthe mines.

3. Optimize exploitation and utilization of the country’s mineral resources.

4. Broaden the geo-scientific knowledge base to boost discovery of mineabledeposits in the country.

5. Enhance the institution role of the Government and local communities indeveloping and negotiating PPP agreements with the mining companies, andoversee its implementations to achieve the intended goals. This will ensurerealization of a win-win public-private partnership which in turn will createsecurity, stability and predictability in mining business.

6. Mining companies should accept and engage fully in the sustainability agenda.They should strive to have the right technology, right philosophy, right CSRpolicies and the right management systems.

7. All stakeholders to work towards achieving good governance, transparency andaccountability in the administration and management of the sector.

8. Developing a tool for performance measurement of CSR initiatives in theextractive industries: Presidential award on Corporate Social Responsibilities andEmpowerment (CSRE) was launched by the President, H.E. Jakaya Mrisho Kikweteon 28th February, 2012 to stimulate implementation of sound CSR initiatives incommunities surrounding the extractive industries projects and ensuresustainable development.

The Presidential award on CSRE will be given annually to the best responsiblecompanies in observing CSRE in undertaking its business.

There are 7 areas of the award, which are Health, Education, Water, InfrastructureDevelopment, Local Procurement, Local Employment and Local Empowerment.

Participants in the award include large scale mining companies; gas extractioncompanies; minerals, oil and gas exploration companies; medium scale miningcompanies; and small scale miners.

CONCLUSION AND RECOMMENDATIONS

Figure: Historical Gold Export Quantity versus Value (2001 – 2011)

Figure: Royalty Paid by Major Gold Mines (2001 - 2011)

Table 1: Historical Taxes Paid by Large Scale Mining Entities(1999 – 2011, Billion TZS)

1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 TOTAL

PAYE 1.7 7.3 12.4 16.6 18.5 11.5 17.4 11.8 22.3 44.0 52.6 49.9 90.3 356.3

SDL 0.6 1.6 1.9 2.6 2.4 3.4 11.8 2.5 3.8 7.5 9.8 11.3 19.5 78.7

WHT 0.5 8.8 8.3 8.4 7.9 7.3 10.0 3.3 3.3 5.6 7.9 13.1 12.3 96.7

VAT - - - - - - - 1.3 3.2 4.0 4.7 4.7 25.8 43.7

Stamp

Duty0.0 0.2 0.2 0.3 0.0 0.1 0.2 0.1 0.0 0.0 0.0 0.2 0.004 1.3

Import

Duty0.3 0.6 0.4 2.2 1.5 3.3 6.4 - - - - - - 14.7

Excise

Duty- - - - - - - 0.1 0.1 2.1 2.1 - - 4.4

Corporate

Tax- - - - 1.7 3.3 3.8 3.1 1.6 4.0 4.5 21.3 50.9 94.2

TOTAL 3.1 18.5 23.2 30.1 31.9 28.8 49.6 22.2 34.2 67.3 81.6 100.5 198.8 690.0

Table 2: Procurement of Goods and Services by Large Scale Miners(2001 – 2011, Million TZS)

2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 TOTAL

Foreign 75.47 111.90 215.73 102.73 336.08 217.24 467.88 649.78 619.90 546.17 991.29 4,334.17

Local 109.51 125.45 186.15 130.48 237.97 349.60 547.82 554.93 551.77 337.92 379.57 3,511.17

TOTAL 184.98 237.35 401.88 233.21 574.05 566.84 1,015.7 1,204.71 1,171.67 884.09 1,370.86 7,845.34

Table 3: Status of Employment in the Major Gold Mines (Number of Locals versus Expatriates)

YearType of

EmployeeBGM BZGM GGM GPM NMGM TGM TTM WDL

Grand

Total

2005

Expatriates - - 108 16 - - 21 12 157

Locals - - 1,801 276 - - 612 671 3,360

Total - - 1,909 292 - - 633 683 3,517

2006

Expatriates 177 - 116 15 - 51 24 12 395

Locals 2,042 - 1,985 282 - 248 694 725 5,975

Total 2,219 - 2,101 297 - 299 718 737 6,371

2007

Expatriates 180 - 114 15 83 32 25 11 460

Locals 1,787 - 2,338 302 928 283 644 717 6,999

Total 1,967 - 2,452 317 1,011 315 669 728 7,459

2008

Expatriates 140 58 129 34 129 41 26 10 567

Locals 1,687 569 1,964 225 978 325 714 677 7,139

Total 1,827 627 2,093 259 1,107 366 740 687 7,706

2009

Expatriates 185 49 121 27 127 41 29 4 583

Locals 2,012 671 1,814 238 621 338 613 610 6,917

Total 2,197 720 1,935 265 748 379 642 614 7,500

2010

Expatriates 181 105 86 34 138 65 33 8 650

Local 2,266 746 1,792 266 703 356 648 584 7,361

Total 2,447 851 1,878 300 841 421 681 592 8,011

2011

Expatriates 195 132 82 37 157 75 32 8 718

Local 2,430 875 1,601 297 876 473 643 558 7,753

Total 2,625 1,007 1,683 334 1,033 548 675 566 8,471

Table 4: (Revenue Vs Expenditure of 5 LSM: 2005-2009)INCOME STATEMENT/ PROFIT & LOSS (Figures in USD '000s)

Average Total 2009 2008 2007 2006 2005

Gold sales/ Revenue 779,666 3,898,332 1,038,410 849,428 750,237 696,072 564,185

Other operating income 21,580 107,901 19,192 19,766 34,031 20,992 13,920

Revenue for the Year 801,247 4,006,233 1,057,602 869,194 784,268 717,064 578,105

Operating costs (658,887) (3,294,433) (871,998) (749,866) (611,957) (504,868) (555,744)

Operating costs/Revenue 82% 82% 82% 86% 78% 70% 96%

Financing costs (47,215) (236,077) (20,942) (44,019) (67,765) (61,985) (41,367)

Financing costs/Revenue 6% 6% 0% 1% 9% 15% 12%

Government Take:

Royalty 25,379 126,896 32,828 27,323 24,335 23,402 19,008

PAYE 21,221 106,107 37,556 32,689 16,262 9,058 10,542

SDL 4,951 24,754 7,024 5,571 2,739 1,835 7,585

WHT 3,964 19,818 5,708 3,926 1,940 2,209 6,035

Corporate Tax 1,343 6,715 3,188 2,368 84 1,075 -

Others 3,183 15,916 4,420 4,050 2,356 990 4,100

Total Government Take 60,041 300,206 90,724 75,927 47,716 38,569 47,270

Government

take/Revenue7% 7% 9% 9% 6% 5% 8%

THANK YOU

Documents

LAWS, INSTITUTIONS AND THE CHALLENGES OF GOOD …_INSTITUTIONS... · LAWS, INSTITUTIONS AND THE CHALLENGES OF GOOD GEVERNANCE IN TANZANIA By Eng. PAUL M. MASANJA CEO –TMAA, TANZANIA