Kampala (Platts)--1Nov2012/511 am EDT/911 GMT
Tanzania's energy regulator, the Energy and Water Regulatory Authority, has ordered oil marketers to procure transit fuel from vessels that supply neighboring landlocked counties for local supply to ease the national fuel shortage, an official told Platts Thursday. Ewura spokesman Titus Kaguo said that the regulator instructed Tanzania's Revenue Authority to clear marketers to purchase fuel from vessels meant for neighboring counties for at least 10 days. "We agreed in talks with oil companies that ended on Tuesday to allow transit cargo to supply us for at least 10 day as our own vessels arrive," Kaguo said in a telephone interview.Article continues below...Commodity Pulse Video:Top 250 Energy Company Rankings analysis: oil reigns supreme; commodities diverge across regionsPlatts editors take an in-depth look at Platts Top 250 rankings for 2012 and explain how record average crude prices have seen the oil & gas sector extend its dominance of the world's top energy companies; the disparate fortunes of gas, coal and power utilities & producers across each region; & how Asian & Russian companies dominate where return on invested capital (ROIC) is concerned. Watch the video
Tanzania's energy regulator, the Energy and Water Regulatory Authority, has ordered oil marketers to procure transit fuel from vessels that supply neighboring landlocked counties for local supply to ease the national fuel shortage, an official told Platts Thursday. Ewura spokesman Titus Kaguo said that the regulator instructed Tanzania's Revenue Authority to clear marketers to purchase fuel from vessels meant for neighboring counties for at least 10 days. "We agreed in talks with oil companies that ended on Tuesday to allow transit cargo to supply us for at least 10 day as our own vessels arrive," Kaguo said in a telephone interview.
Article continues below...
Platts editors take an in-depth look at Platts Top 250 rankings for 2012 and explain how record average crude prices have seen the oil & gas sector extend its dominance of the world's top energy companies; the disparate fortunes of gas, coal and power utilities & producers across each region; & how Asian & Russian companies dominate where return on invested capital (ROIC) is concerned.
Watch the video
Adding that the country needed at least 7 million-9 million liters (44,029-56,608 barrels) of fuel, diesel and kerosene, to cover the deficit. Ewura last month said that only one tanker, instead of six, delivered fuel for domestic consumption to the oil jetty at Dar es Salaam port because of port congestion, the local Daily News reported. However, Kaguo said the crisis would end soon because some oil vessels had started to offload at Dar es Salaam port on Wednesday. He added that the country would continue to seek solutions to end persistent shortages by building emergency oil reserves in the near future. Tanzania uses a new bulk oil procurement system where one or a few oil marketing companies import oil in bulk and sell to other oil marketers in the country as opposed to the old joint procurement system where oil companies would import on their own. Tanzanian oil-product demand is 1.54 million mt a year, according to statistics from the Ministry of Energy and Mineral Resources.--Mercy Matsiko, newsdesk@platts.com --Edited by Jonathan Dart, jonathan_dart@platts.com
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