The tender, which attracted six oil companies including five foreign companies, was awarded to ENOC Africa after offering the lowest Weighted Average Premium per Metric Tonne of USD46 per MT.

 

Other companies that participated in the tender include Addax Energy SA which quoted USD49.18 per MT, Augusta Energy SA (USD49 per MT) and Gapco (K) Ltd (USD48 per MT).

 

Revealing tender results over the weekend, the Petroleum Importation Coordinator (PIC) General Manager, Michael Mjinja said ENOC Africa was pronounced the winner after meeting all the tender requirements.

 

He said the lowest offer by the company would benefit the country, traders and consumers because it will ensure low pricing of fuel in the country.  

“Among the six oil companies, only four returned the tender documents and finally the winner, ENOC Africa was picked,” he said.

 

Mjinja explained further that the company that has won the tender is the only locally registered company.

 

“The consignment it will import will be enough to serve the country for a period of one month and two weeks,” he added.

 

Mjinja said PIC was impressed with the high turn up of local companies to challenge giant foreign international oil companies, which had previously dominated the sector by frequently winning such tenders.

 

“BPS is the most transparent way of public procurement where the winning bidder is decided in the open before representatives of all bidders, everyone endorses the winning bidder,” said Mjinja.

 

ENOC Africa will import 156,863 MT of Automotive Gas & Oils (AGO), 115,490MT of Premium Motor Spirit (PMS – gasoline), 26,269MT of Jet A1 and 1,250MT of Kerosene.

 

“With the transparent manner in which the winning bidder is picked, oil marketing companies are satisfied with the process. They do accept decisions made openly and unanimously in picking the winning bidder,” said Mjinja.

 

When contacted via phone yesterday, the Energy and Water Utilities Regulatory Authority (Ewura) Head of Communication and Public Relations, Titus Kaguo said that BPS has proved to be a system which both consumers and suppliers are happy with and has helped lowered pump prices for fuel, increased government revenue and restored some sanity in the oil trading business.

 

“The system has helped in improving quality of petroleum products, stabilised cup prices, improved taxation and has helped to reduce demurrages at the port. Apart from being transparent and increasing government revenue, BPS has also assisted the country in saving foreign currency used to purchase petroleum products,” he said.

 

The company has won such tender three times in a row.

ENOC Managing Director could not be reached yesterday as his mobile phone was switched off. 

 

But one of the closer allies who sought anonymity said their winning had come as a result of transparency in the entire process that has lowered pump prices for fuel, increased government revenue and restored some professionalism in the oil trade.

 

ENOC Africa, which recently expressed its intention to heavily invest in storage facilities in Tanzania and neighbouring countries, has proved its ability to ensure sustainability in oil supply in Tanzania by winning the tender for the third time.  

 

Tanzania consumes about 1.54 million cubic meters per annum of petroleum products.