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The East African : Sep 15th 2014
12 OFF LIST OF UNION MATTERS The EastAfrican NEWS SEPTEMBER 13-19,2014 Tanzania not able to c≥eate jobs fo≥ 800,000 annually By ERICK KABENDERA The East African TANZANIA’S ECONOMY is incapable of creating employment for the 800,000 new job seekers every year despite its impressive economic growth of 7 per cent over the past decade and rapid expansion of new sectors like communication and construction. According to the World Members of the Constituent Assembly in Tanzania’s Parliament. Picture: File Dar’s CCM, CUF to push for gas, oil to be taken off current law Zanziba≥ wants to establish its own pa≥astatal to issue explo≥ation licences to multinational companies By ERICK KABENDERA The East African A s Tanzania prepares to discuss minimum amendments to the Constitution ahead of the general election next year, Zanzibar’s main opposition party, Civic United Front (CUF), and the ruling Chama Mapinduzi (CCM) have agreed to use the opportunity to push for removal of oil and gas from the current law. According to Ismail Jussa Ladhu, the CUF deputy secretary for Zanzibar, the party will seek further reforms — when the process to amend the 1977 Constitution begins — to have oil and gas removed from the list of Union matters and allow Zanzibar to sign its own exploration deals, a position that is supported by the Zanzibari arm of the ruling party. “We as a political party feel the same way as CUF on that issue of oil and gas ... and that is why oil and gas does not appear as a Union matter in the draft constitution,” the CCM deputy secretary general for Zanzibar, Vuai Ali Vuai, said. Zanzibar is hoping to ride on the wave of the consensus reached by the political parties that form the Tanzania Centre for Democracy (TCD) during a meeting with President Jakaya Kikwete last week to stall the troubled Constitution review process and instead agree on minimum reforms to electoral laws to make the playing field even for all parties ahead of the elections next year. The TCD encompasses all major political parties in the country. The parties agreed the process, which was now at the Constituent Assembly level in Dodoma, should be stalled because a consensus on various issues, particularly the form of government, could not be reached in time for the general elections. The opposition had aban- doned the process in April, accusing the Assembly of ignoring the people’s opinion presented by the Constitution Review Commission proposing a three-tier government, limitation of terms for members of the legislative assembly, capacity of the voters to remove non performing MPs and possibility to protest presidential poll results in court, among other things. After walking out of the Assembly, the opposition parties, under the umbrella Ukawa, called for minimum electoral reforms. Their proposal sailed through during the TCD meeting with the President. The issues to be tabled for amendment include provision for private candidates, an independent electoral commission, and a clause requiring that a candidate must garner more than 50 per cent of all valid votes to be declared president. However, after their boycott, Ukawa had other demands apart from those agreed after the Kikwete/ TCD talks. These included putting in place a Constitutional requirement for presidential candidates to participate in open debates during campaigns, to remove oil and gas from Union matters in order for Zanzibar to be free in exploration of oil and gas without interference from the Mainland; to allow Zanzibar to be free to engage in international co-operation as an independent entity. Others were to give Preven- tion and Combating of Corruption Bureau the mandate to prosecute corruption cases without depending on the discretion of DPP, to make it necessary for public leaders to declare their property and provide for reverse of burden of proof; to guarantee freedom of information and to put the powers to ban media outlets under the mandate of the judiciary, and the right to question in court the presidential election results. Mineral oil resources, in- cluding crude oil other categories of oil or products and natural gas appear under item number 15 on the the First Schedule of Constitution’s 22 Union matters. In April 2009, the Zanzi- bar House of Representatives passed a resolution declaring that natural resources were not a Union matter and forwarded the request to the Union government to be ta- SOVEREIGNITY Zanzibar wants establishing its own parastatals to issue exploration licences to multinational companies. Removing natural resources from the union issues Zanzibar establishing its own ports and dealing with issues related to international relations independently bled in parliament. An agreement on the issue is yet to be reached. The second draft of the Constitution before the Assembly has only seven Union matters, which do not include oil and gas. The draft provides for people living in a resource area in either part of the United Republic to decide what they deem proper use of a resource in their area. According to Mr Ladhu, the current Zanzibar was establishing its own parastatal to issue exploration licences to multinational companies. Removing natural resources from the union issues together with Zanzibar establishing its own ports and dealing with issues related to international relations independently was part of efforts to demand more sovereignty for Zanzibar, according to Mr Ladhu. He said all the issues would be tabled for consideration in the expected amendments. Additional reporting by Christopher Kidanka The port of Dar es Salaam.The World Bank report urges that the port be privately run. Picture: File Bank the rapid expansion of emerging sectors had not accelerated job creation outside the traditional sectors like agriculture. New sectors have regis- tered double-digit growth but 85 per cent of Tanzanians are still employed in traditional sectors such as agriculture. This means they have one of the lowest average incomes per worker in the world at $1,200 despite the low unemployment rate. “Up to eight out of 10 Tanzanians will continue to be employed in these sectors. Even modest improvements will lead to productivity gains and employment; adding one or two employees in small farms and non-farm businesses will create one million jobs every year,” Jacques Morisset, the World Bank lead economist for Tanzania, Uganda and Burundi, said during the launch of a report titled, “Productive Jobs Wanted” presided over by President Jakaya Kikwete. Mr Morisset said the number of entrants into the job market expected to reach one million a year by 2030. The report, authoured by the World Bank and Tanzania’s President Planning Commission was aimed at building accountability among policy-makers. It cites high poverty levels at 30 per cent, rapidly rising population and rural-urban migration as some of Tanzania’s key challenges and advises the government to tap into opportunities presented by the small non-agricultural businesses which have been growing at a fast pace partly due to rapid urbanisation. The report further recom- mends that government to considers easing export bans to help farmers to bank on external markets when food prices go up, modernise the port of Dar es Salaam and rehabilitate the central railway. Dr Josephant Kweka, Tan- zania’s country director at Trademark East Africa said the government needed to take bold steps to tackle corruption and inefficiencies at the Dar es Salaam port as part of efforts to help the country move towards export markets and accommodate the increasing labour force. Infrastructure develop- ment at the port was key in addressing jobs since the infrastructure was old and outdated therefore the private sector should be given an opportunity to make financial investments in the port while the government remained the regulator, according to Dr Kweka. He further recommended that the private sector operates the port and Tanzania Ports Authority (TPA) to be only a landlord to enable business to operate smoothly. “It is important to consid- er handing over the port to be run by the private sector. There is need for a mindset change and zero tolerance to corruption. If that is done it would help leverage Tanzania’s position in the region as a transport hub,” Dr Kweka said. A previous report by World Bank said Tanzania and its landlocked neighbours could boost their annual gross domestic product (GDP) by up to $1.8 billion and $830 million respectively through improving the efficiency of the port of Dar es Salaam.
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