Following the recent tabling and discussion of the Controller and Auditor General's (CAG) report on the Independent Power Tanzania Limited (IPTL) Tegeta Escrow Account (TEA) in parliament and the subsequent public outcry regarding revelations of unprecedented fraud, we, the undersigned Civil Society Organizations (CSOs)  wish to communicate our joint position on the controversy.

One of the basic features of extractive industry transparency initiative (EITI) is that it provides citizens with information which they can use to demand for accountability which ultimately results to resource good governance; Greater appreciation of the contributions of Extractive Iindustry (EIs) to the country forinstance EIs contributed 10.6% of Government revenue in 2011/12. This is inclusive of VAT (1.5%) and contributions to pension funds (0.6%). This was pointed out during the Policy Forum Breakfast debate by Mr.

Civil Society Organisations (CSOs) have called upon the government to create greater transparency in state-investor contracts as well as revenues that companies pay the government of Tanzania.

The call was made by CSOs during a training session to familiarise CSOs with the new EITI Standards and the principles of good extractives revenue management, many expressed that this would partly help deal with the problem of lack of accountable management of the sector.

African civil society organisations and a coalition of leading international development organisations have called for global policymakers to adopt measures to counter the hundreds of billions of dollars siphoned out of the continent through money laundering and industrial scale corporate tax avoidance.

The Financial Transparency Coalition’s (FTC) two-day high-level conference with Policy Forum held in Dar es Salaam last week was attended by 150 senior politicians, prominent international lawyers, academics, anti-corruption specialists and campaigners.

They heard:

September 5th, 2013 –The Global Movement for Budget Transparency, Accountability and Participation (BTAP) urges the world´s 20 economic powers to set a good example and to commit to advancing budget transparency, accountability and participation in their countries. The G20 countries should not only focus on discussing how to advance transparency and fight tax-avoidance, they should also launch strong and decisive strategies to promote budget transparency and accountability in their own countries, setting a good example to the rest of the world.

US President Barack Obama and the media might be traveling to my country this week to talk about such ‘sexy’ matters as the US’ economic race with China or peace and security issues. However if America is truly serious about pushing democratic governance around the world, it’s the less ‘sexy’ matters that are even more crucial.

Fellow country men and women, the announcement posted by the Government of the United Republic of Tanzania through Tanzania Petroleum Development Corporation (TPDC) last week for the 4th Tanzania Deep Offshore and North Lake Tanganyika Licensing Round at this juncture triggers serious concerns amongst civil society organisations in Tanzania.

21/5/2013

Chairman,

Tanzania Extractive Industries Transparency Initiative (TEITI)

P.O. Box 9333,

Dar es Salaam,

Tanzania

Dear Sir.

Re. Consultation for Contract Transparency

Reference is made to the EITI International Secretariat updated Communique dated 14 February 2013 on the above subject.

WE, the undersigned Tanzanian Civil Society Organizations virtually convened on 13th March, 2012 to discuss the proposed EU regulations on mandatory disclosure on extractives and logging and its implications to the governance of Tanzanian oil, gas, mineral and forest sectors.

RE-AFFIRMour commitment to promote transparent, effective and efficient management of extractive resources in practice beyond just empty words; this takes strong, robust and credible monitoring mechanisms

Your Excellency the guest of honour, Honourable Peter Mizengo Pinda – The Prime Minister of the United Republic of Tanzania,

Distinguished guests at the high table,

Your Excellency representatives of diplomatic missions,

Representatives from government, private sector and civil society organizations,

Members of the press,

Ladies and gentlemen, a very good morning to you all.