We wish the Minister, Tanesco well in their new adventure

BY EDITOR

18th May 2013

Editorial Cartoon.

On May 15th, this year, our sister Swahili tabloid, Nipashe, published a front page story in which the Minister for Energy and Minerals, Prof Sospeter Muhongo admitted that the state-owned power utility, Tanesco, had failed --in 49 years -- to produce and distribute reliable electricity.

Following this failure, the government is now inviting private investors in the energy sector to save the nation from imminent power crisis. According to the story, the government plans to restructure Tanesco, under which the cash-strapped power utility would only remain with the duty of connecting electricity, while the production and distribution would be done by private investors.

The minister further stated that Tanesco was overburdened, and that it could not solve the electricity problem facing the country now.

“We are now looking for private investors who could produce and distribute electricity at a cheap price,” he is quoted as saying.

Gone are the days when Tanzania used to rely on donors to fund mega electricity projects, the minister said,  adding, “That is why we are now looking for private investors to solve the problem.”

The minister made another interesting remark when he eluded it wasn’t his duty to unearth the past in order to know who had stolen what -- but simply to resolve the power crisis that has clouded Tanzania for years.
First of all, let us say that we are encouraged by the minister’s bold decisions for two major reasons; one, the minister now believes that it’s Tanesco that failed for the past 49 years -- not his predecessor, William Ngeleja -- who was demonized as incompetent, corrupt and above all a failed man. Second, the minister has now seen the light when he says that his duty wasn’t to unearth the past in order to know who stole what, but, to solve the power crisis that has clouded Tanzania for years.

This is the same man who started his duty last year by inviting anonymous emails and letters from Tanesco employees in order to help him dig into the past to establish who stole what and how. That is why even his budget speech last year mainly dwelt on the past instead of guiding the nation on how to end the power crisis without spending too much time and energy looking into the past.

We are really touched by the Minister’s new mission and we hope it will save this nation.

However, we would like, to state clearly that the rush into restructuring of Tanesco should be thoroughly researched before making any serious move. It shouldn’t be a matter of a week-long lecture, seminars or workshops, but should originate from a research undertaken by our experts who are qualified in energy sector.

For instance what makes us believe that private investors can produce and distribute cheap electricity in a situation where the State has failed? From our understanding the word cheap electricity should be used carefully because at the end of the day investors aren’t running charity, they run business with a mission to post profit at any cost.

Kenya took a similar path a decade ago, but still, its power supply situation is pathetic. Not only that but also the cost of electricity hasn’t declined and consumers are still paying higher bills.

There are three major problems that should be dealt with effectively if this country needs to have reliable power supply. One is having serious investment in affordable electricity done by the State as well as private sector, but with the government playing a leading role.

For the past fifteen years, the government has failed to invest on the electricity sector. What it did were costly temporary measures taken to avert the power rationing. Today, it doesn’t make sense when the minister claims that in 2015 the country will produce 3,000MW -- while for the past 50 years producing 1000 megawatts has been a serious challenge.

Second, we have to stop political interference in the power sector; Tanesco and any other private sector should, be allowed to operate independently. For the past decade, Tanesco has become a political scapegoat for politicians from both the ruling and opposition parties. Tanesco was forced by politicians to sign bogus contracts but at the end of the day, it was left a lone ranger fighting the lose battle in the corridors of justice. The Ministry of Energy and Minerals operated in the past as if it was a board of directors of Tanesco.

Third, Tanesco must have credible leadership which is not politically hand-picked but recruited through international human resource recruiting agencies. We strongly believe that in a nation of 40 million-plus population there are men and women who have the merits to manage Tanesco effectively provided that they are recruited through a competitive system.

If you take the organization diagnosis of Tanesco, you will establish beyond doubtable doubts that its major dilemma has been having the best, credible, honest and above all committed leadership to lead the State owned power utility. You can restructure Tanesco a million times but if there’s no strong leadership, the country would still be in the same mess.

When we talk about leadership hear it also includes the Board of Directors. Who qualifies to be Board’s member and how are they being recruited? Are they men and women who know the electricity sector as well as the energy business and its implication to the economy? We don’t say Board’s members should all be electrical engineers, but they should be competent individuals who have the merits to lead the organization.

Above all, despite welcoming private sector, the State should also continue to play the leading role in power sector for security, sustainability and economic factors.

We wish the minister and Tanesco well in their new ‘adventure’ to end the problems that we couldn’t solve during the past 49 years. The truth is it’s not Tanesco that failed but the system(the nation or the State).SOURCE: THE GUARDIAN