Adequacy of the Legal Framework Governing Bulk Petroleum Procurement in Tanzania: Gaps and Wayfoward

Bulk Petroleum Procurement System is one of the tools used to ensure sustainable supply of petroleum products in Tanzania and neighboring countries. The system has been instrumental in ensuring shipping and supply of petroleum products within and outside Tanzania. Since its establishment, the system has raised mixed reactions from stakeholders in terms of efficiency, inclusiveness and justice to end users and business community. While the government has been able to control petroleum quality, standards and prices and ensured petroleum stability, yet some stakeholders feel partly excluded due to legal and procedural requirement6s. At times, Oil Marketing Companies (OMCs) in Tanzania face challenges caused by geo-political factors, including shortage of foreign currency, price volatility and overdependence on fossil fuels as source of energy. These issues could be resolved through energy transition, policy and legal reforms. This paper critically examines the strengths and weaknesses of the existing legal instruments governing Bulk Petroleum Procurement in Tanzania. It further provides for areas of legal reforms in order to provide for an enforceable framework, binding to all stakeholders in the petroleum supply-chain and ensure sustainable shipping and supply of petroleum products within Tanzania and the neighboring countries. It applies doctrinal methodology in assessment of various rules in relation to procurement of petroleum products in Tanzania.