Tanzania ferry fiasco: Temesa struggles under the weight of operational burden

Hindered by funding deficits, outdated fares and political entanglements, Temesa's struggles resonate with citizens, who lament the delays, breakdowns and risks they face in their daily commute.

Citizens complaints

Ferry users interviewed by Mwananchi identified delays upon arrival at the docks, frequent breakdowns, and a lack of ferries as their primary concerns. Salma Ally, a Kigamboni resident and fish vendor at Kibugumo Market in Kigamboni District, exemplifies these issues, stating she often waits for an hour to cross from Kigamboni to Magogoni.

This is different from her expectations of spending 20 to 30 minutes to cross the Fish Market Ferry. “If you want to get fresh fish, you should know that once you reach the passenger building here, you will lose an hour or more waiting for the ferry,” says Ms Salma.

Ms Salma’s statement echoes that of Abudi Abedi, a fishmonger, who says he has to wake up at dawn to get to the market. "I leave Cheka, Kigamboni, at 4:00 am but I arrive at the market at 6:00 in the morning, and sometimes at 7:00 am.

The delay is at the crossing point, he says. The poor condition of the ferries has caused fear for Mauwa

Mussa, a resident of Kigamboni, after a ferry stalled in the middle of the water with her inside.

“I don’t want to remember how it was; everyone prayed in their faith. I lost hope that I could survive because I couldn’t even use the lifebuoys” she says.

Ms Mauwa recounts that when the ferry was towed and passengers disembarked, she was unconscious and even the goods she had were gone.

“They stole all my belongings after I lost consciousness; I suffered losses, anxiety and even now, when I board the ferry, my heart is in my hands, I don’t trust it,” says Ms Mauwa.

With such a situation for Ms Mauwa, Asajile Michael says he has stopped using ferries to cross over to Kigamboni. Instead, he goes through the Julius Nyerere Bridge. Mr Asajile says when the ferry malfunctioned in the middle of the water with his car, he felt doomed.

“I work at the Posta, I live in Kigamboni Machava, I have to take the longer route via the bridge, after the ordeal of the ferry, I don’t board it again. I have even stopped my family,” he says.

No subsidies

Mwananchi has found that challenges causing the deterioration of services are contributed by Temesa’s limited ability to operate these ferries.

This situation is caused by the ferry fare collections failing to cover operating costs and the lack of any subsidies. One of the senior officials within Temesa (name withheld) says the agency operates independently and does not receive subsidies from the government.

He says these circumstances make the operation of the agency’s activities, including ferries, a heavy burden.

However, the official says what comes from the Central Government is funds for major maintenance, permanent staff salaries, and the implementation of major projects.

He says preventive maintenance, ferry repairs, operational costs, and salaries for contract employees, which account for 80 percent of all staff, are all Temesa’s responsibility.

Ferries do not generate enough revenue

The investigation has found that out of all 32 ferries operated by Temesa in the country, 95 percent are operated based on the revenues from the Kigamboni-Magogoni ferries.

This means that the revenues from some ferries outside Dar es Salaam are insufficient even to purchase diesel fuel for operation. The operating funds for these ferries, especially those in Pangani, Lindi, and Mtwara, come from the revenues of the Kigamboni-Magogoni ferries, according to documents seen by Mwananchi.

This situation, according to the Temesa official, burdens the Kigamboni-Magogoni ferries themselves, even though they are not capable of supporting themselves. Temesa CEO Lazaro Kilahala, addressing this, said the agency’s role is to serve the citizens, not to do business.

Because of this role, he said efforts are being made to ensure that services continue to reach the citizens and with the intended quality.

“Our duty is to serve the citizens, not to do business, that’s why if there is an area with low revenue, we have to divert some revenue from here to there, as long as the citizens continue to be served,” he said.

Regarding ferries that operate without making a profit, Kilahala says it depends on the specific location and the number of passengers.

He explains that some ferries are in areas with few passengers, so the collections come from that small number, and because they have the right to receive services, the government has no choice but to serve them.

Fares do not meet operational costs

The last time ferry fares were raised was in 2012, when the late John Magufuli, was the Minister of Works.

At that time, the fare increased from Sh100 to Sh200, which has remained unchanged for 12 years.

Although the lack of increase is a relief for citizens, the investigation has found that it is another burden for Temesa because the operating costs have increased.

Speaking on condition of anonymity, a Temesa official said the fare remained at Sh200 while the prices of fuel, lubricants, and spare parts doubled.

These circumstances, he says, make operating costs exceed what is collected, thus causing some essential things to not be done. “What you get is not enough to cover the operating costs, in those circumstances, it is impossible to have efficient services,” he said.

“They refuse to raise fares, they want better services, they don’t provide subsidies to the agency, where do you think efficiency will come from?” the source within Temesa queried.

Mwananchi’s investigation has found what is hindering some things, including fare increases, is due to legal reasons.

Section 5 of the 2005 Temesa Act mentions the Minister of Works as the top authority for Temesa.

According to the interpretation of this law, the Minister of Works (currently Innocent Bashungwa) is the one with the authority to set ferry fares.

Documents obtained during Mwananchi’s investigation show a proposal for a ferry fare increase submitted to the Minister of Works and Transport at the time (Prof. Makame Mbarawa), who refused to approve it.

Politics in business

Another reason for the stalemate in fare increases is the political interests of the ruling class.

Another source within the agency says: “They tell you there are many voters in Kigamboni, if you raise the fare, you will alienate the leaders and their people, so let it remain as it is for now.”

“Because the one with the authority to decide on fare increases is the minister who is essentially a politician, he makes decisions based on political interests, not the agency’s viability,” he says.

When asked about fares, Kilahala admitted that fares have not been raised for nearly 12 years and that Temesa has requested this increase before.

However, he says fare changes will depend on a professional assessment which will soon be conducted by a team.

“During those times, it is important for citizens to continue to receive services while the assessment is being conducted, this team will give us the answer to how much the fare should be increased,” he said.

Azam ferries, another burden

In addition to the revenue constraints, the Controller and Auditor General (CAG) in the report for the financial year ending June 30, 2023, identifies other hidden issues regarding ferry leasing payments.

The CAG report indicates that Temesa pays Azam Marine Ltd Sh5 million per day as the cost of leasing ferries Sea Tax 1 and Sea Tax 2. Due to these costs, CAG Charles Kichere, through the report, says the agency paid Azam Marine Ltd Sh1.8 billion per year for that lease from July 1, 2022, to June 30, 2023.

The amount Temesa paid Azam Marine Ltd is one-third of the total annual revenue generated by all the Kigamboni-Magogoni ferries, which is Sh5.76 billion.

Temesa was left with Sh3.93 billion for operating costs, including ferry fuel, labour costs, repairs, and maintenance. However, these funds were insufficient to meet the requirements according to the CAG report.

Mwananchi’s investigation has found that for each passenger boarding Sea Tax 1 (which carries 250 passengers), Temesa pays Azam Marine Ltd Sh300.

Temesa pays these funds while the amount it collects from these passengers at the gates is Sh200.

Thus, it uses Sh100 from other sources to supplement the fare for each passenger boarding Sea Tax.

Not only that, but Temesa is also responsible for paying Sh300 for each passenger, including students and security officers, who are not charged any fare at the gates.

Temesa Director Kilahala told Mwananchi that leasing these ferries was aimed at improving services after MV Magogoni went for maintenance.

“Because the demand is high, that’s why we leased these ferries, but what is more important is service to the citizens,” he insists.

When approached, the minister of Works, Mr Innocent Bashungwa, advised contacting Temesa's CEO for further information on the questions. "Please contact the CEO of Temesa for more clarification on your questions," Mr Bashungwa said via text message.