a tripartite report - Unctad

TANZANIA
SOURCE
YEAR
2007/8 2008/9 2009/10
World Bank 1,791,837,017 2,948,580,624 271,873,487
Government of the United Republic of Tanzania 142,903,899 57,953,238 2,672,006,724
Internal Sources 6,629,300 215,350,000 400,000,000
TOTAL
Source: FCC, Strategic Plan 2010–2013
1,941,370,216 3,221,883,862 3,343,880,211
In 2007/8 and 2008/9, the World Bank funded
about 92 per cent of the FCC budget, which
dropped to 8 per cent of the total budget in
2009/10. The World Bank funding was under the
“Privatization and Private Sector Development
Project” (PPSDP). The World Bank had actually
been funding the operations since 2005, which is
a unique case in the region.
Under the Section 78 of the FCA, mandatory funding
sources have been prescribed as follows:
(1) Funds of the Commission will comprise of –
(a) fees not exceeding 2.5 per cent of business licences;
(b) any grants, donations, bequests or other contributions
made to the Commission;
(c) funds allocated to the Commission from the
funds of EWURA, SUMATRA, the Tanzania Communications
Regulatory Authority, the Tanzania
Civil Aviation Authority and such other regulatory
authorities for work done by the Commission or as
provided in the other relevant legislation or as may
be agreed between the Commission and those
authorities respectively,
(d) funds allocated to the Commission by Parliament;
(e) fees collected by the Commission;
(f) all other payment due to the Commission in
respect of any matter incidental to its functions;
ing
fees and other fees to be paid by persons in
connection with the procedures of the Commission.
(3) The Commission shall disclose details of the
sources of its funds in the Annual Report.
Following the end of the PPSDP, the FCC and the
FCT came up with a Fair Competition (Commission
and Tribunal) Funding Regulations, 2010, which
71
were gazetted through the Government Notice No.
208 of 11th June 2010 83 . However, collection of the
2.5 per cent fee from every business/trading license
through the Gazette Notice has been affected by
the Government policy directive aimed at curtailing
multiplicity of payments that the business community
has to make to the public sector institutions.
As regards the funding from the sector regulators,
this has not worked out very well as the funding
is in practice at the pleasure of the sector regulator.
The energy regulator EWURA, pays higher
and regular payments more because the Director-
General of the FCC is the Vice-Chairman of the
EWURA Board, while there is no such linkage with
the other regulators. In particular, the TCRA, which
is probably the wealthiest, had been very reluctant
to fund the FCC. Unfortunately, there is no appeal
process for the FCC for such despite the provision
under Section 78(c).
4.3.2 Fines and Fees
The bulk of the internal sources of revenue for the
petition
authorities in the region, the FCC can is-
however accrue to the FCC but are surrendered
to the Treasury. On the other hand, the fees collected
through mergers, exemptions and other
applications to the FCC are retained by the FCC.
collected the following fees:
Tender Fees – 2,050,000
Counterfeit destruction fees – 40,800,000
Counterfeit penalty fees – 172,500,000
Merger Filing Fees – 83,000,000
Total 298,350,000
Source: FCC
TANZANIA