Africa-Press – Tanzania. THE government has encouraged local entrepreneurs to bid for various tenders to be announced ahead of the construction of the multi-billion East African Crude Oil Pipeline (EACOP).
It was revealed on Wednesday that the project will source 17 types of products from Tanzania, as part of implementation of the local content requirement.
Speaking on Thursday when gracing a local content forum for the project, the Minister for Energy Mr January Makamba said the government is working hard to create an enabling environment for local entrepreneurs to participate in the construction of the project.
He said, since 80 per cent of the construction work of the 1443 km long pipeline will be done in Tanzania, then it was the government’s expectation to see a good number of local entrepreneurs take part in the project.
“Some of the services that have been reserved for Tanzanian companies during the project execution include transportation, security, food and beverage and hotel accommodation as well as catering,” he said.
A list also has office supplies, land survey, lifting equipment, locally available construction materials, civil works, communication services and waste management.
The minister also explained that, during construction, the project will create over 10,000 employment opportunities for Tanzanians, while 1,000 others will be hired after the project becomes operational.
As a way of deliberating its commitment to the project, Mr Makamba said the government has already issued a total of 259bn/- being a contribution for the country’s participation in the construction.
In the project, Tanzania is represented by the Tanzania Petroleum Development Corporation (TPDC) that owns a 15 per cent share under the supervisor –the East African Crude Oil Pipeline (EACOP) Company.
“The project will enable Tanzania to acquire enough experience to execute other energy projects to be implemented in the near future,” he said, adding that the country is looking forward to becoming a serious energy power house in the region.
For his part, TPDC Director General Dr James Mataragio said the government has already paid a total of 2.2bn/- being compensation for priority areas and that those who have received the money have already been served with the notice to vacate the premises.
“Some 25bn/- others will be paid in the next phase that will involve the construction of the pipeline,” he said, adding that the corporation has also been issuing public education to residents of eight regions directly crossed by the pipeline route.
“So far, the sessions have been issued in three regions of Tanga, Kagera and Geita,” he noted, urging Tanzanians to make better use of the project by tapping the available opportunities.
For his part, the EACOP Head of Local Content, Olivier Foulonneau, said the company will give priority to Tanzanian nationals and ensure all the contractors promote employment and exceed minimum requirements as stipulated by the law.
The law requires that Tanzanian citizens must acquire a minimum of 15 per cent in the management team, 30 per cent in the technical team and 70 per cent for other tasks.
“We will generate a total of 300 employment opportunities from the thermal insulation application workshop that will be built in Sojo village, Nzega District in Tabora Region,” he said.
