Introduction
Petroleum sector is categorized into two categories namely upstream and downstream. Upstream activities involves exploration and production activities, while downstream includes importation, storage, transformation, export, inland transportation of crude oil and refined petroleum products, wholesale and retail distribution of petroleum products including liquefied petroleum gas. In the context of The Energy and Water Utilities Regulatory Authority Act, Cap 414 the petroleum downstream is referred to as the regulated petroleum sub-sector.
Tanzania consumes about 1.54 million cubic metres per annum of petroleum products wholly imported from Mediterranean, Arabian Gulf and sometimes from Durban, South Africa. Effective from January 2000, petroleum downstream sub-sector was liberalized enabling Oil marketing companies to individually procure and trade petroleum products in accordance to their market requirements and setting pump prices based on the prevailing market forces.
Legislation
The petroleum downstream sub-sector is governed by the Petroleum (Conservation) Act. Cap 392, as amended from time to time. The Ministry of Energy and Minerals is drafting Petroleum Supply Bill, to provide guidance on petroleum industry development in Tanzania and reflect the principles embedded in the National Energy Policy, 2003.
Regulated Services
Regulated activities include importation, oil transformation, transportation, distribution, storage, sale and handling of petroleum products. EWURA issues wholesale, retail, storage installations, refinery, road petroleum tankers and pipeline transportation licences. It also issues petrol station and depot construction permits. Licence application forms, rules, regulations and guidelines can be downloaded for appropriate usage.
Technical Regulation
EWURA is responsible for carrying out technical regulation in the petroleum sub-sector. Technical regulation include benchmarking standards; codes of practice; levels of investments; planning and procurements for major projects; heath, safety and environmental issues. In case of petroleum products transportation by pipeline Economic regulations include but not limited to reviewing and setting rates and charges. Tariff Review Guidelines can be downloaded for appropriate usage. Prices, rates and charges of any other regulated activities under petroleum sector are governed by market forces, but where the activity is predominantly monopoly, EWURA may intervene and set the rates/charges. |
Indicative Fuel Prices
1st - 15th June 08
1st - 15th June 08
16th - 31st May 08
16th - 31st May 08
1st - 15th May 08
15th -30th April 08
15th-31st Mar 08
16th-29th Feb 08
1st-15th Jan 08
16th -31st Dec 07
1st-15th Dec 07
15th-30th Nov 07
5th-30th Oct 07
Economic Regulation in the Petroleum Downstream Sub-Sector in Tanzania
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