AfricaPress-Tanzania: TANZANIA Petroleum Development Corporation (TPDC) has repossessed its plot at Msasani Peninsular in Dar es Salaam which was illegally owned.
The repossession of plot No.1259 V is part of the ongoing efforts by the government to repossess all its assets whose ownership is doubtful.
The Permanent Secretary in the Ministry of Energy, Eng Zena Said said on Thursday that the company which was entrusted to oversee the plot took possession of the plot illegally. The plot was officially handed over to the PS yesterday on behalf of the TPDC.
She said that ongoing efforts by the government to repossess its assets whose ownership is questionable has started bearing fruits since several assets had already been recovered.
Ms Said added that the fifth phase government under President John Magufuli formed a special committee to verify government assets in efforts to ensure that they are beneficial to the country.
The PS warned all those who have acquired government assets illegally to voluntarily surrender them because no stone will be left unturned in the ongoing efforts to recover them.
TPDC Managing Director, James Mataragio said that Production Sharing Agreement (PSA) requires companies engaging in oil and gas exploration to handover to the corporation all assets it owned immediately after the expiry of the contract.
He said that in September 4 1981, the government through TPDC entered into an agreement with Shell Petroleum Development Tanzania for exploring and producing oil in the Indian Ocean.
“One of the sections of the agreement required Shell Company to handover to TPDC all its assets it owned during the execution of the project soon after the expiry of the contract,” the MD said.
He added that during the implementation of the project, Shell Company purchased various assets, including plot No.1259 V at Msasani Peninsular in Kinondoni Municipality.
Mr Mataragio added that Shell company hired Baobab Development Ltd to oversee its assets, including buildings and plots at Baobab Village, Msasani Peninsular in Kinondoni.
He said after the PSA expired on April 22, 1992, Shell Company handed over all its assets to TPDC, including plot No.1259 V. After the assets were handed over to TPDC, the corporation continued to use Baobab Development Ltd to oversee its assets until March 22, 2007 when the company terminated its contract.
He added that in September 2007, TPDC discovered that Baobab Development Ltd was working out plans to construct a tennis court, but the corporation wrote to the company to criticise the plan but Baobab continued with construction, claiming that it purchased the plot from Shell company.
“The situation led TPDC to take various measures to ensure that it repossessed the plot, including filing a case in court, which was not successful, and later reported the matter to the police so that it can conduct a thorough investigation over forgery allegations on ownership transfer of the plot,” he said.
Mr Mataragio, however, said that while the police force was proceeding with investigation, on September 21 this year, TPDC was informed that Baobab Tennis Club Limited has voluntarily resolved to return the plot to the government.
Early in June this year, TPDC repossessed one of its buildings which were leased to Sacossa Limited without a valid legal agreement.
The company was also ordered to pay accrued rent of 330m/- to allow TPDC to benefit from the asset which was used as a warehouse