Government to review Songas contract

Dodoma. The government has said it will review its contract with Songas once the current one expires in July 2024 to ensure it does not have any flaws.
This was stated today May 18 by the Deputy Minister of Energy Stephen Byabato while answering a key question from the Member of Parliament for Special Seats Jessica Kishoa.

Also Read: Tanzania Gov’t to acquire all Songas shares at $1

Ms Kishoa had questioned how the government is planning to ensure it enters into a new flawless agreement for the benefit of the people by the year 2024.
Responding to the question, Mr Byabato said the agreement between the Government and Songas Company will expire in July, 2024 and in order to ensure the Government has a flawless contract, it will not automatically renew the contract when it expires, and instead it will call for a review.
"The government will renegotiate a new agreement and if all parties agree, a new and productive agreement will be signed," he said.
He said the Government through the Tanzania Electricity Corporation (Tanesco) has formed a team to review the basic issues to be considered in the new agreement for the benefit of the Nation.
In a supplementary question, Chadema’s Special Seats MP Esther Bulaya questioned when the Government will review all contracts so that it does not incur losses, including the contract for Mwalimu Nyerere's hydroelectric dam.
Responding to the question, Byabato said on behalf of the Government he is taking the ideas and opinions expressed and they will continue to work together to reach productive agreements that benefits Tanzania.