Govt reinstates wharfage fee collection command to TPA

By Joseph Mwendapole , The Guardian
Published at 04:45 AM Jun 15 2024
Dar Port
Photo: Courtesy of TPA
Dar Port

THE government has decided to reinstate the mandate of collecting wharfage charges to Tanzania Ports Authority (TPA) to enable it get sufficient funds to improve its operations.

Finance Minister Dr Mwigulu Nchemba said this in the National Assembly on Thursday when tabling national budget estimates for the financial year 2024/2025.

He proposed amendment of the Ports Act, 2004 to facilitate the same. Currently, the revenue is collected by the Tanzania Revenue Authority (TRA).

He said that the revenue collected will be deposited into the account of TPA at the Bank of Tanzania and the use of such funds will be authorised by the Paymaster General.

Dr Nchemba said the aim of the decision is to enable TPA to get enough funds on time in order to improve infrastructure of the port and increase its efficiency.

“I propose an amendment to the Port Act of 2004 to restore the responsibility of collecting revenues for the use of port infrastructure to the port management," he said.

Maulid Ismail, one of the port stakeholders suggested that when preparing payment of the port fees, the government should ensure that TPA and TRA systems are interacted with so that customers pay exactly what is billed.

Emmanuel Mallya, an expert in port issues in the country, praised the government's decision to let TPA collect the fees, saying it will help the authority improve its infrastructure and operations in general.

Mallya, who is a member of the Board of Trustees of the Tanzania Shipping Agents Association (TASAA), said it is good for TRA to continue with its general tax collection duties.

“Now if you want to collect more taxes, you must leave the port to be able to run itself and improve the infrastructure and other sensitive services within the jurisdiction," he said.

Contributing to the Ministry of Transport’s budget estimates recently, some MPs said that in order for TRA to collect more taxes, TPA should be allowed to collect wharfage so that it can be able to improve its infrastructure, services and port security.

Speaking during the debate, Special Seat Member of Parliament Esther Maleko said the government should allow the authority to collect wharfage fees instead of TRA.