Assessment of Effectiveness of Institutions governing the Petroleum Sector in Zanzibar

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University of Dar es salaam
The study sets out to assess the effectiveness of the institutions governing the petroleum sector in Zanzibar. The research objectives were to identify key governance mandates/ roles played by petroleum institutions in Zanzibar and to determine the effectiveness of implementation of the identified roles. Both secondary and primary data were used in the study. The study found that the key governance roles performed by the petroleum institutions in Zanzibar include commercial roles, operational regulatory and supervisory/ monitoring roles. This means that there are petroleum institutions which are commercial, which they conduct petroleum business on behalf of the Revolutionary Government of Zanzibar. This is done through drilling petroleum or hiring the contractor by sharing costs and profits. Also it involves sharing operational functions, such as supplying electricity to Zanzibar citizens; regularly activities (upstream and downstream) that relate to exploration. Drilling and importation; supply and final consumption of petroleum in Zanzibar. Other roles include supervisory role, whereby institutions monitor all petroleum operations. Also, it was found that the petroleum institutions performed their respective roles effectively; this was confirmed through interview responses and by observing a number of on-going activities including issuance of tender to obtaining contractors, increased revenues, capacity building to employees and introduction of strong Acts and regulations. Based on the findings, it is recommended among others that there should be a regular review of Acts, policies and regulation for effective implementation of the role assigned to these petroleum institutions and introduction of separate law that will define the roles of the National Oil Company instead of merging them in the same Act which is Oil and Gas (upstream) Act, 2016. Despite effectiveness of these institutions, there are areas which need some improvement. These include amendment of Zanzibar Oil ND Gas Management Act as required by the section 2 subsection 2 of the Tanzania Oil and Gas Management Act 2015, establishment of the petroleum Bulk Procurement Authority in Zanzibar, opening of two major accounts for accumulating revenues generated from the petroleum resources, and establish new and independent sources of electric power production in Zanzibar. Also, this study conducted based at the existing petroleum situation in Zanzibar, hence further studies should be conducted on other areas around the world to see if the same situation is existing elsewhere, other studies should be done at some time in future when petroleum activities/roles commences so as to examine the situation in depth. Further studies should be done to reflect other categories of institutions such as NGOs, policy makers and development partners in order to reflect their effectiveness on implementing the petroleum role.
Available in print form, East Africana Collection, Dr. Wilbert Chagula Library, Class mark (THS EAF HD 9577.A3Z3M63)
Petroleum Industry and Trade,, Management,, Public Institution,, Zanzibar
Mohamed, M. S(2020)Assessment of Effectiveness of Institutions governing the Petroleum Sector in Zanzibar.Master dissertation,University of Dar es Salaam, Dar es Salaam.