Tanzanian parliament passes petroleum law despite opposition due to lack of consultations
"Tanzanian parliament passes petroleum Bill"
Tanzanian lawmakers have passed a new petroleum Bill that creates a regulatory and legal framework to manage discoveries and control of the East African nation's natural gas reserves and possible future oil finds, officials said. Tanzania has an estimated 55.1 trillion cubic feet of gas reserves, the second-largest in the region after Mozambique, and the new law is aimed at speeding up the development of the sector...
It was passed late on Sunday amid stiff opposition and days of debate. Some 40 opposition lawmakers were suspended from parliament after disrupting sessions on Saturday, complaining that the law was being rushed through after inadequate consultation...
Over 30 international gas and oil exploration firms are currently operating in Tanzania, and the Bill sets out royalty production fees to be paid to the government. Under the law, which needs to be signed by President Jakaya Kikwete, the government will take a 60 to 80 per cent share of profit from onshore gas production, and up to 85 per cent from offshore production.